Clickbank: Exclusive Getting Started & Scaling Guide-Part 5

iii. SEO (Organic Traffic)
SEO is how to rank in search engines and stay there. This will bring you a lot of targeted traffic for free once you are ranked, though obviously SEO itself costs (cost varies according to niche and competition). I will not go into detail about how to do SEO because there are many people much more knowledgeable than me on SEO; if you search around, there are a lot of very good forum threads and discussion. Basically though, the way of getting quick backlinks is-
1. You build them yourself (e.g. through youtube, facebook, twitter, pinterest, other websites you may have, Q&A sites, blog comments, etc…)
2. Buying them
3. Getting in touch with webmasters and asking if you could provide them with a guest post (a high quality article relevant to their site) in which you would include 1-2 backlinks back to your site.

iv. Paid Traffic – Paid Per Click
Generally it is a good idea to start PPC with bing ads as they are very newbie-friendly and you can find coupons. If you feel comfortable with adwords, you can also put some money in there but in this case you WILL NEED a high quality content site to link. FB ads can be very lucrative too, but there is a specific way to go about it. I’ll discuss it in a minute.

A couple of my top affiliates actually use neither bing nor adwords for ppc – what they do is advertise on related third party sites (they approach
PART 8 – Calculating ROI/Predicting profitability of Paid Traffic webmasters of websites that deal with the niche and deal with them directly in terms of banner space purchase)…and this approach tends to be much cheaper and with a better ROI [return on investment] than either adwords or bing. Of course, it takes time to identify good potential sites and deal with the owners, but it is usually worth it.
If you are generating paid traffic, it is essential you need to know how to calculate profitability.
Let’s say you are running a PPC campaign, where you are driving traffic to a squeeze page/landing page i.e. you are either collecting email leads and promoting to them through follow-ups or sending them to the vendor’s page after warming them up with an article. After setting up your campaign, you see that you are spending on average $1.00 per visitor.
Let’s say that you are promoting product X. From Clickbank’s marketplace, you see that the product has an average $ per sale of $25.5. Notice that $/sale on the marketplace takes into consideration the product’s refund rate, so you will not need to add in extra calculations/assumptions for refunds; these are already factored in.
As the product is paying an avg $/sale of $25.5, that means that you’d need a sale per 25.5 visitors to break even (25.5/1.00= ). At the break-even

If the product is converting at 10% (1 sale per 10 hops), that means that you’ll get $25.5 per $10 spent. point, you are neither making a profit, nor suffering a loss. Anything better than will give you a profit.
Profit = 25.5 – 10 = $15.5
To predict profit of our investment, 15.5 /10 = 1.55
1.55 would be what we can call our profit factor (PF)
Or we can check growth of our investment: 25.5 /10 =2.55..we can call this our growth factor (GF)
Using these factors, we can calculate that if we invest $1,000 into this campaign, the $1,000 will become (1000 x 2.55) = $2,500
And that for every $1,000 we invest, we will end up with a net profit of ($1,000 x 1.55) = $1,550 (i.e. we have earned all our initial $1,000 back plus and ADDITIONAL $1,500).

These calculations can be used to calculate returns on a campaign you are currently running, and also to estimate returns of a campaign you plan to run. For the latter, you can use average CPCs (eg from bing/adwords keyword planners) to estimate cost per visitor and you can use the vendor’s average conversion rates (you need to ask the vendor) to estimate your conversion rate – however, do note that the conversion rate you will get can be significantly more or significantly less than the average rate (more on this in the next section).

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