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Is there even any point in trying to do PPC conversion campaigns for low-cost products? Is there ANY universe where this could be profitable?
One of my products makes me about $40, on average, per person.
While much of my thinking about PPC advertising is along the lines of "these PPC advertising platforms are very good at giving you what you ask for (eg, ask for conversions, you'll get conversions; ask for impressions, you'll get impressions; etc)", I struggle to see how a conversion-based Google Ads campaign could become profitable.
Just doing the math on this… click costs tend to be fairly high in such campaigns, so let's imagine $2.00/click. This means to make a $20 profit I'd need a stupendous 10% conversion rate. Break even would required a 5% conversion rate. That seems unlikely to happen, especially given how many PPC advertising platforms are shifting more towards a model of: "Yeah bro just give us the money and we'll use our AI/algorithms to just let it rip and figure out where the money is at here."
What I'm KIND of leaning more towards is… just a dirt-cheap impression-based campaign (display ads, YouTube ads), where I just get absolutely massive piles of impressions for low cost. Given the right targeting, to my eye, if I can get 10,000 impressions for $10, I'd imagine I could get at least ONE such person to convert.
Does anyone here have real-world experience running profitable PPC ad campaigns for low-cost (under $50 gross profit per item sold) products?
Thanks.
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