Optimization of CPA campaigns

Each campaign needs to be updated with new teasers. Optimization is performed to help you understand which teasers are better, and why. To make you see the tendency, and eventually make every teaser and the campaign profitable.

To optimize your CPA campaign follow the steps below:

1)      Give your campaign some time to show the results. You can evaluate the efficiency of campaign not earlier than after 3-5 thousands of clicks.

2)      Analyze the teasers in your campaign. Find those, which get clicks without any conversion (“detracting teasers”) and block them, so they won’t “eat” your budget. Thus traffic after optimization will be delivered through “attracting teasers” (those which attract conversions).

Please mind that minimal amount of clicks per teaser to make a decision regarding its efficiency is 150.

3)      Define Income per Teaser (IPT) with help of the following formula:

Simple: IPT = Earned per Teaser – Spent per Teaser

Extended: IPT  = (Earned per Teaser) – (CPC*Delivered clicks per Teaser as to MGID stats)

4)     Analyze the results of calculation:

If IPT is a positive value – teaser is profitable. Continue rotating it.

If IPT is borderline value – maybe higher volume of clicks is necessary to make the decision

If IPT is slightly lower the borderline to be profitable – teaser should get more clicks to be judged of.

If IPT is a negative value – teaser brings no profit. You should block it.

5)      Apply changes, unblock the campaign (or ask your manager to do this) and wait 3-5 thousand clicks to be delivered to get the results of optimization.

6)      After you got the results, make a complete analysis of the offer. If the conversion rate didn’t improve since the optimization and each unblocked teaser’s IPT is lower than its CPC, then we suggest finding another offer.

Tips:

• Please remember  at the stage of optimization you shouldn’t delete teasers because it’s irreversible. Just block them.
• Minimal amount of clicks per teaser to make a decision regarding its efficiency is 150.
• Remember to use MGID delivered clicks statistics, for analysis purposes, as the budget you spend on the campaign is based on MGID statistics.
• You might find it difficult to get a positive ROI during the whole test campaign, however watch the tendency! If the ROI is going up since the optimization, then it’s going to bring you above the red line eventually and the offer will soon get you profit you’re expecting.