ROI calculator overview
The ROI calculator is a 3 in 1 calculator that allows you to determine your return on investment of your Pay Per Click advertising costs. Pay Per Click advertising is a type of online marketing where advertisers pay for visitors to their site on a Cost Per Click (CPC) basis. Pay Per Click Search Engines allow advertisers to bid on specific keywords that are relevant to the products and/or services advertised on their web site. Advertisers submit bids for the CPC amount they wish to pay for their ad to be displayed when specific keywords searched for on search engines. The highest bidder or bidders have their ad displayed, but when another advertiser bids more, your ad may no longer be shown.
The CPC calculator helps you manage your advertising costs by calculating the maximum cost per click (CPC) you can afford based on your visitor numbers and profit.
CPM (Cost per Thousand) is an advertising model based on the cost of 1000 impressions. An impression is the number of times an advertisement is displayed on a web site.
The CPM to CPC converter will help you to work out how much you are actually paying per 'click' when you purchase bulk impressions.
The ROI calculator will help you to decide how much you will make if you spend "x" dollars by weighing the CPC (cost per click) ratio that you intend on paying by your conversion ratio (the percentage of visitors to your site who subscribe, register, purchase etc.).
The ROI calculator is located on the main toolkit window in the Tools section.