I don’t know much about advertising, but paying nearly $900 for just under 700 clicks seems like a bad return on investment to me. But I guess that depends on what you’re advertising, how much it costs, and how many of those clicks actually resulted in purchases.
But I guess that depends on what you’re advertising, how much it costs, and how many of those clicks actually resulted in purchases.
Agree with that, but also the purpose of the ad may not even have been to generate clicks, just to strengthen brand awareness or whatever. In which case 24k impressions may be pretty good for $900 (although impressions don’t necessarily mean anyone actually paid attention to the ad).
You paid $1.26 every time someone clicked on your advert. How likely is it that someone who clicks on your advert will make a purchase, and how much do you stand to make if they do?
I’ll make up some numbers here as an example. Let’s say that 10% of people who click your advert will make a purchase, and you’ll profit $10 from that sale. So, in that case, you would have paid $1.26 for a 10% chance to earn $10, which has an expected value of 10% × $10 - $1.26 = -$0.26.
You can do a similar calculation using your own numbers as appropriate
Depending on the product/service. The cost of customer acquisition needs to be less than a 1/3 of the cost of the product. If your product costs $100, then this is a great customer acquisition cost. If it’s $1, then pretty bad.
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