Hi everyone,
I'm a newbie, and have yet to begin my first campaign. I'm reviewing various offers, trying to decide which would be the best to start with. I'm using EPC as a basis to form my decision.
For example, let's say that I'm looking at an offer for Ringtones, and the Network is showing/advertising the network EPC to be $.70, and when I do a keyword analysis on Google, I find out that I can get ad positions 4-6 for $.35. So, as long as I can get some clicks with that position, then I might be able to make some money, right? It looks like a 100% ROI at first glance.
But, when I go a different calculation route: I take the (Payout) X (My Landing Page Conversion Rate) X (Advertiser Landing Page Conversion Rate) = Break Even EPC
This last calculation usually is nowhere near the Affiliate Network's advertised EPC!
So, my question is...are the Affiliate Networks PADDING their EPC figures? Are their EPC figures NOT to be believed?
If I use the latter calculation method, I usually end up just breaking even, or losing money, and it makes me wonder how anyone makes money in this business!
Please advise me on this?