One week ago I started an arbitrage experiment. I heard a lot of things about arbitrage with adsense, positive and negative things. After one week I got some results. It is hard to find the right keywords and create a good eye catchy title for your ad. Luckily I made a profit with it after 1 week, it is not big, but at least it is profit.
The niche I was covering was sport cars. I just made a 1 page site on a domain that was collecting dust. It took me 15 minutes to make the site but selecting the right keywords took more than 1 hour. This campaign contains more than 3,000 keywords in total. All found by the keyword tool inside adwords, but selected by me.
My adwords daily budget is set at € 10 a day. I wonder why they don’t show adsense in € for us Europeans. Now I have to calculate how many dollars I spend on adwords and than I can see the profit, not a big issue though. If you also want to try arbitrage, or just adwords to get targeted traffic to your site, you can
Expenses:
The maximum CPC was set on € 0,04 and that was also the average of the 130 clicks I received. This brought the total expenses on € 4.89. The current euro/dollar rate is 1 : 1.360, this means the total expenses in dollars are $ 6.65.
Earnings:
In total the site got 150 impressions which converted in 49 clicks. This is a nice CTR of 32.76 % which brought in $ 17.76.
Profit:
The profit from this experiment is $ 17.76 - $ 6.65 = $ 11.11.
I am not sure if I am going to continue this small project. I have to do some more research first about the rules and how others got banned before. I am thinking of making the page bigger with even more information about the cars I am talking. This way it is looking like a more legit website.
But so far, this experiment is a small success 
If you enjoyed this post, please Subscribe to my Feed 
Share: del.icio.us Reddit Google Netscape StumbleUpon Technorati
August 29th, 2007 at 1:41 pm
The pennies add up
August 29th, 2007 at 5:08 pm
I may have to do this with my http://www.scamstocks.com site.
August 29th, 2007 at 6:23 pm
that is a good idea Steve, would be interesting to watch ! I am sure the CPC is high in that niche
August 30th, 2007 at 6:10 am
Not too bad. I’ve been advertising with Yahoo’s Search ads and it’s brought a few clicks in.
August 30th, 2007 at 8:09 am
It will be a good idea to throw in some affiliate links on the site also. Don’t just rely on the Google Ad clicks for earnings. Use the traffic in some other way also to get you some more $$
August 30th, 2007 at 8:13 am
Also, make sure the affiliates are related to the niche of your website. For Sports Cars, you can add affiliates for Sports car wallpapers / screen savers, spare parts, and even buy your car online affiliate links
Hire a sports car affiliate can also be a good idea.
August 30th, 2007 at 8:21 am
I didn’t think about that yet SEO Reloaded, Thanks for the tips !!
August 30th, 2007 at 1:37 pm
Same here, very useful tips.
August 31st, 2007 at 8:44 pm
[...] on the lookout for new ways to make money online. One of his latest adventures was an experiment in arbitrage. Basically, he started an AdWords campaign that pointed to a landing page, hoping that these [...]
September 1st, 2007 at 1:42 pm
[...] I disabled the arbitrage experiment because a lot of (dutch) people are getting banned lately becauese of having MFA (made for adsense) sites. Few days ago I wrote about the outcome of this experiment which you can read here. [...]