PPC Arbi Topics (Finding a paying topic)

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tehmonkey

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Oct 6, 2006
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When doing arbitrage they say you should use high paying keywords. Other than the main 100 highest paying lists out there. How do you find if keywords/niches pay well?

Monkey
 


I was wondering the same thing. I have a page optimized to display ads for the correct term, and the ads displayed are the same as the top bidders for that term, but I am getting clicks that match the prices of a lesser term.
 
What Pax said and keep in mind that a lot of advertisers will only bid big amounts on the ads for search, so those tools are only to get a general idea if it is a high paying niche or not, not how much you will make per click.
 
To figure out the high-paying niches, you should generally look at the total spend/day estimate in the AdWords tools instead of just the max CPC. That combines some quantitative measure of search volume with the bid price.
 
To figure out the high-paying niches, you should generally look at the total spend/day estimate in the AdWords tools instead of just the max CPC. That combines some quantitative measure of search volume with the bid price.

I just looked at what you suggested, however the cost/day is reflected in the avr est. CPC given by Google. Also note that the values given out by Google do NOT correspond to the CPC values reported by Overture.
 
I just looked at what you suggested, however the cost/day is reflected in the avr est. CPC given by Google.
It's the other way around. I think the est. CPC is combined with the search volume (which isn't elsewhere quantified) to produce the cost/day. So it helps you sort high-quality terms out apart from terms like mesothelioma lawyer which might have a high price tag but are virtually worthless because they get searched for once a week and they're almost surely turned off for the content network.
 
It's the other way around. I think the est. CPC is combined with the search volume (which isn't elsewhere quantified) to produce the cost/day. So it helps you sort high-quality terms out apart from terms like mesothelioma lawyer which might have a high price tag but are virtually worthless because they get searched for once a week and they're almost surely turned off for the content network.

I'm not really sure what you just said, but if you look at the Traffic Estimator tool in AdWords, it tells you the following:

Estimated Avg. CPC
Estimated Ad Positions
Estimated Clicks / Day
Estimated Cost / Day


Since it tells you the est. clicks/day and cost per day, the volume *is* quantified, and you can see by calculating it out that the Est. Avg. CPC is just the cost/day divided by the number of est. clicks/day. So in other words, you can get the same information by looking at the CPC estimate since that number incorporates the volume information.

The second and related point I was making is that Google's estimated CPC and Overture's estimate are VASTLY different. I can't say yet with any authority why that is or which of them is correct, but they are different and I haven't got the cash Google claims the high bidders are paying yet on any of my test sites.
 
Since it tells you the est. clicks/day and cost per day, the volume *is* quantified, and you can see by calculating it out that the Est. Avg. CPC is just the cost/day divided by the number of est. clicks/day. So in other words, you can get the same information by looking at the CPC estimate since that number incorporates the volume information.
Right equation... weird way of arranging at it.

We want topics with lots of high paying ads, so we should look a number that incorporates both the CPC and the volume in a single number. That's the cost/day.

cost/day = volume*CPC

You're saying this, which is the same equation rearranged:

CPC = (cost/day)/volume

If you just look at CPC, you have no idea how profitable the keyword will be, because it tells you nothing about the volume. The volume could be anything, if it's offset by a different cost/day.

Basically, look at two keywords like mesothelioma lawyer and dvd burner. Now I'm making these numbers up, but let's say mesothelioma lawyer has $35.00 CPC and dvd burner has $5.00 CPC. So is mesothelioma lawyer that much better? No, it sucks. Because the search volume is pathetic... yet it still shows a high CPC. However, if you look at the total cost/day, you'll see some low number for mesothelioma lawyer but probably tens of thousands of dollars for DVD burner. So DVD burner will have way more searches and way more high-paying ads on the content network.

Your second point is right... all of this stuff is very approximate and none of the numbers should be taken literally to indicate how much you'll make. But in general good numbers = good niche, even if you can't say from the numbers just how good exactly.
 
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