AdWords Income

Thursday, December 23, 2004

How Long to Adwords Profits?

Question:
greetings john,

How long did it take til u felt "ah, now i reached a level where i actually do earn money"? I'm doing adwords campaings for 1 month now.

bye,kampi


That's a great question, Kampi.

I deliberated for several months before I opened my first PPC account with Overture. The $50 required seemed like a lot to risk on something I knew nothing about at the time. I wasn't aware of all of the great books I've since read. The company I worked for was dipping their toe in the Overture water to the tune of about $1000 per month, but it was only breaking even at best.

Anyway, money was very tight at that time for me and my family.

I probably got lucky, because I was profitable almost instantly. I was focused on two products that I had first-hand experience with and I knew the markets well - though I wouldn't say my approach was sophisticated at all. Essentially I did what I do now. I bid on the keyword phrases people were searching on when they wanted to buy these products.

I don't want to make it sound overly simple to make money using PPC, because the environment is becoming more competitive. But, at the same time it really is an easy process. The trick is finding unique products that people are searching for - that aren't being marketed by more than a few people.

We're not talking about huge markets - or huge numbers of searches. My best performing campaign receives about 2000 searches per month. But those are primarily people who are in the "buy mode" and my conversion rates are high - 5%.

So. How long it takes to begin making money depends on a little luck and a little persistance. My advice to all is to choose a product to promote that pays $30 or more - but avoid promoting products that have a glut of competition already. Finding these little gems is the trick, but they're out there and if I'm finding them, I know you can too.

While ads and the right keywords are important, the single most important factor in my opinion, is finding the right product. That's where you'll work to earn your money. But, once you find it, then you'll have a reliable profit producer using Adwords.

Some people claim they "test" about 20 products on Adwords to find a single winner.

My experience with Adwords is this:

If it's a product in my specialty niche - the market I know - almost everything I promote is profitable. If it's something other than my niche, it's more miss than hit. I think success requires some inside insight that the Adword money hounds don't have - those people who are just burning through products trying to find one that's profitable.

If you have just a little inside insight, you'll dig up the gems that aren't found mainstream. Or, at the least you'll be promoting them before everyone else and that will offer you several advantages down the line.

If you follow the advice here - and what I've shared in past posts, then I believe you'll be well on your path to producing Adwords income.

Best wishes, John

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