
24 May
Posted by Hock as Google AdSense, Google AdWords, Traffic Arbitrage, Yahoo Publisher Network
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AdSense Arbitrage is a hot topic these days with so many people cashing in on it with software and ebooks. The more accurate term should be “traffic arbitrage” since you can apply it not just to AdSense but also any other PPC that has a publisher program.
I just saw this $97 ebook from Roxanne McHenry titled “Cash Cow Keywords” (www.cashcowkeywords.com) which is teaching this model.
There are also some informative posts by Graywolf on his blog here, here and here. I’d like to quote his entry on cash management (a crucial issue to consider):
There are some other points to remember as well like cash management. Let’s say you spend $1000 on Adwords, and get $2000 from AdSense, $1000 profit so what’s the problem? You won’t be getting your AdSense check until the end of the month, and chances are your credit card bill will come before your AdSense check arrives, so make sure you can cover the expense. Letting your bill run up and giving the credit card company 18%-22% of your profit just isn’t cool. If you can’t float the money find a 0% interest credit card.
That’s a very good point, one which I realized early on. If you want to play in this market, make sure you can afford to pay off your credit card bills every month.
Profits can be made with this technique. Although the principle is simple, in practice it takes more experience and knowledge - especially in market selection and PPC management. But once you develop your own system, it almost runs on its own.
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One Response
Dave
May 25th, 2006 at 9:42 pm
1I had this problem. As soon as I got paid the credit card bill was due so I was cutting it close.
Dave
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