This Business News Story Was Uncovered By Us From: https://www.entrepreneurshiplife.com/hidden-math-behind-low-cost-high-volume-traffic-acquisition/
We hope this piece, that was specialy found for you, to think of Tactics to add Thrust into your own online business venture.
Many media buyers do not consider popunder traffic as a serious matter, making decisions without any sufficient calculations. They just determine a bid, choose a geo and trust things will work out for the best. Those who obtain profit from these channels are those who approach it differently. They manage it just like a factory, considering that each element has a specific cost and if the cost surpasses a given level, the element cannot be implemented.
This is not a guide for starters, but some calculations related to high volume low CPM traffic buying. The truth is that if you do these calculations accurately, you can make a campaign that is self-sustaining to scale.
How the unit economics actually work
The important number to start with is eCPM – effective Cost Per Mille. If you’re buying traffic at a CPM of $0.50 to $1.50, you’re paying somewhere between half a cent and one and a half cents per visitor. It sounds insignificant, but you really need to understand what you’re looking for from the back end.
Let’s say you’re running a CPA offer set at $2.00 per conversion. You’re spending $1.00 to acquire 1,000 visitors at a $1.00 CPM. You now need 1 conversion for every 2,000 visits to get your money back. Which means you need a 0.05% conversion rate. This isn’t difficult to do on the correct vertical with a good clean landing page.
For argument’s sake, let’s continue. Your landing page converts at 0.15% giving you 3 conversions per 1,000 visits on the $1.00 spend, netting you $6.00 in CPA payouts. This is a 6x return on ad spend before optimization. The math is easy. Making all of that technically work and not come crumbling down – that’s the hard part.
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