Pay-Per-Click Profit Calculator - Project Description and Overview

The pay-per-click profit calculator will help you estimate the profitability of your Pay-Per-Click campaigns by selecting profitable keywords and phrases. The formula has been implemented using the Excel spreadsheet formula as described in the Super Affiliate Handbook.

Whenever starting out on a new project to market other people's products, profitability has to be a consideration. Your first steps, then, should include the following (see also the article, "How to Select Keywords - An In-Depth Guide"):

• determine keywords and phrases related to your business interest
• determine the total number of searches performed monthly on your keywords and phrases
• estimate the number of clicks you can expect with your pay-per-click campaign
• estimate the conversion rate of the number of clicks you can expect with your pay-per-click campaign
• estimate the total number of sales you can expect using your expected conversion rate
• estimate the commission earned per sale
• estimate the cost per click of your campaign
• estimate the total profit potential of setting up and managing your campaign to market the product or service

In order to select your keywords and phrases, you will need a good tool for keyword research. I like to use Keyword Elite for this because not only does it allow me to determine the amount of traffic for a keyword or phrase, it lets me see how much advertisers are currently spending on their pay-per-click campaigns (which is good to determine if I might use Google AdSense on the site or not).

Once I've selected my keyword and phrases, I can simply feed them into the Pay-Per-Click Profit Calculator, resulting in a detailed list of profitable keywords, and a bottom line indicating if I should pursue the project or not.

In order to use the calculator, you feed it a simple text file consisting of multiple rows with each row on a new line (see example to the right). Save the list of keywords into a file named something like "keywords.txt" or "keywords.csv" on your PC and remember where you saved it.

Each row in the text file consists of only two columns and represents the keyword or phrase and the estimated traffic expected for the keyword or phrase. If you need a free tool for estimating traffic, try the Overture Search Tool.

In the first column will be the keyword or phrase, and the second column will be the estimated traffic for the keyword or phrase. Each column should be separated by a comma. There are no quotes around the column entries and the total size of the input file must be less than 1k (to deter spam).

The formula used in the Pay-Per-Click calculator is an implementation based on Rosalind's eBook, "The Super Affiliate Handbook". In her eBook, she discusses her formula in more detail.

Visit the Pay-Per-Click Profit Calculator.