Advertising tab (which should be the default). For the first scenario, set your budget (Search Ad Cost) at $500,000, set your Ad Click- Through-Rate (CTR) at 0.30%, set your Cost-Per-Click at $1.50, and set your Sales Conversion Rate at 1.50%. What does the Margin of the Sale need to be to break-even on your Search Ad ROI (hint: adjust your Margin ($) setting until your Search Ad Return on Investment at the bottom of the activity box = 0.0%)? Also, at these settings, what is your Cost per Acquisition? (if this seems like a trick question, then you probably have the correct answer)
Advertising tab (which should be the default). For the first scenario, set your budget (Search Ad Cost) at $500,000, set your Ad Click- Through-Rate (CTR) at 0.30%, set your Cost-Per-Click at $1.50, and set your Sales Conversion Rate at 1.50%. What does the Margin of the Sale need to be to break-even on your Search Ad ROI (hint: adjust your Margin ($) setting until your Search Ad Return on Investment at the bottom of the activity box = 0.0%)? Also, at these settings, what is your Cost per Acquisition? (if this seems like a trick question, then you probably have the correct answer)
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
Related questions
Question
Transcribed Image Text:Advertising tab (which should be the default).
For the first scenario, set your budget (Search Ad Cost) at $500,000, set your Ad Click-
Through-Rate (CTR) at 0.30%, set your Cost-Per-Click at $1.50, and set your Sales Conversion
Rate at 1.50%.
What does the Margin of the Sale need to be to break-even on your Search Ad ROI (hint: adjust
your Margin ($) setting until your Search Ad Return on Investment at the bottom of the activity
box = 0.0%)?
Also, at these settings, what is your Cost per Acquisition? (if this seems like a trick question, then you
probably have the correct answer)
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