* The Business of Software

A former community discussing the business of software, from the smallest shareware operation to Microsoft. A part of Joel on Software.

We're closed, folks!

Links:

» Business of Software FAQ
» The Business of Software Conference (held every fall, usually in Boston)
» Forum guidelines (Please read before posting!)

Moderators:

Andy Brice
Successful Software

Doug Nebeker ("Doug")

Jonathan Matthews
Creator of DeepTrawl, CloudTrawl, and LeapDoc

Nicholas Hebb
BreezeTree Software

Bob Walsh
host, Startup Success Podcast author of The Web Startup Success Guide and Micro-ISV: From Vision To Reality

Patrick McKenzie
Bingo Card Creator

Adwords is suitable currently for $24-29 apps?

What is your experience?
Don Pedro Send private email
Saturday, August 24, 2013
 
 
5 years ago, probably. Now it is much harder.

If you have:
-a large market
-a lot of expertise in adwords
-a product with suitable search phrases
-minimal competition in adwords from competitors
Then you might get a decent return on your time and money.

If your conversion rate is 1% (typical) then you can only spend $0.29 per click to break even. It is tough to get many clicks for that these days. If your lifetime value is >$29 (e.g. upgrades) or you sell multiple licences per transaction you might be able to bid a bit higher.

See also:
http://successfulsoftware.net/2013/05/26/the-declining-profitability-of-google-adwords/
Andy Brice Send private email
Saturday, August 24, 2013
 
 
I struggled with a $99 product, at the viable price I couldn't get any bids.
Ducknald Don Send private email
Sunday, August 25, 2013
 
 
My product is a $20 niche product with very high conversion and the adwords budget had been eating all my income.

I just could not find a good adwords setup. When I used broad keywords, my budget was completely eaten up by TOTALLY irrelevant searches. I just could not extend my ignore keyword list fast enough :D When I used exact match, I had about 5 visitors per day who were probably looking for something like my product but still none of them ever purchased.

The broad keywords can be good to find out which keywords people use to get to your product but owing to the noise, I just could not find anything. I mean about 95% of the traffic was irrelevant and I could not continue pouring money into that.

So I stopped my campaign permanently, it's useless for me.
Zka Send private email
Sunday, August 25, 2013
 
 
I recommend to calculate your conversion from organic search traffic.

Create a segment in Google Analytics and include your potential search phrases (like "photo editor"), also include only those countries where you have sales.

Now you will see what conversion you may expect from Adwords and what price you can pay.
Igor Kokarev Send private email
Tuesday, August 27, 2013
 
 

This topic is archived. No further replies will be accepted.

Other recent topics Other recent topics
 
Powered by FogBugz