Will PPC Work For You?

The Math Behind Success

Knowing your numbers is essential to run an effective business. By taking your average cost per click and dividing it by your website's conversion rate you can find your Cost Per Acquisition, AKA minimum spend to get 1 conversion. You can then take your Average Order Value, minus your hard costs and CPA to find your gross profit. If that number is positive, it's likely that ads will work for you. If it's negative, you might consider adding the lifetime value of a customer as your AOV. If that number is still negative, it's likely you won't find success in advertising.