PPC / Adwords Campaign ROI Calculator

PPC Campaign ROI calculator; generates the expected return on investment from an pay per click priced advertising campaign. This could be used for an adwords campaign or other CPC bid advertising campaign. Models conversion and sale of an affiliate offer (or house product, if you are running them).Select one of the examples below to see the calculator in action!

Program Type Examples

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Traffic Assumptions

Landing Page Traffic 5000
Merchant / Order Form Clicks 500
Buyers 50
Cost Per Sale $20.00
Payout Per Sale $30.00
Commission $1500
Ad Budget $1000
Campaign Profit $500
Campaign ROI 50%

This PPC ROI calculator analyzes the return on investment for running a PPC campaign. PPC (Pay Per Click) advertising is a common traffic source for affiliate marketers. This calculator estimates how much of the traffic you can convert (get a paid sale) and compares your earnings with the cost of running the campaign. It is intended to help with analysis of prospective campaigns and what-if scenarios. If you have already run the campaign and are trying to package up the results, you may find our marketing roi calculator helpful.

The traffic source is modeled using an advertising budget and an expected average cost per click (CPC) amount. These are combined to get an expected number of visitors. This is presented as traffic coming to the landing page.

We modeled traffic conversion rate as a multi-step process. Visitors arrive at the landing page, where they are presented with your outrageous claims and wishful dreams. A certain percentage are bold enough to proceed to the merchant's site. Once at the merchant / order form, a certain percentage of these brave souls will go ahead and pull out the credit card. A sale will occur, at which point the affiate will earn a commission. (Yay! We get to eat tonight!).

The PPC campaign ROI calculator takes all of these statistics and packages them up into an aggregate report on PPC campaign profit and return on investment. This describes your expected return from the campaign.

The more observant members of the audience are raising their hand at this point to point out various other sources of complexity in the process. We run affiliate offers as well and here are some suggested solutions.

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