Search Arbitrage campaigns are very popular these days especially on Native traffic sources like Taboola for example.
With arbitrage campaigns, you don’t even need to deal with creating landing pages or any kind of presell pages, since these campaigns are running with direct linking, so they don’t require an advanced and complicated setup to get started.
So the setup is pretty easy, however arbitrage campaigns have 2 main constraints which are not the easiest to deal with.
These constraints are:
#1 – Most search feed providers require past ad spend proof, as well as they usually accept marketers that have proof of at least $1,000 – 10,000 ad spend per day.
#2 – Sometimes revenue can take up to 2 days to be approved and to be visible in your stats, and because of that it can be hard to optimize your campaigns.
How to Find Search Feed Networks?
You can simply do Google research for the best search feed provider networks, or you can ask more experienced marketers on internet marketing forums, like iAmAffiliate for example.
But to save you some time here are four networks that are good for starting:
- Domain Active
Search Feed Offers
Search feed offers are result feeds of specific keywords for which others are bidding on search engines like Google. So when you promote arbitrage links this is what you promote basically.
Marketers who are buying search traffic on Google can accept clicks from these feeds by checking the ’’Include Google search partners’’ box.
These offers are divided into the following types:
1-Click Flow – When the visitor is directly served with the promoted service/product listing link.
2-Click Flow – When the visitor is served with a pre-lander, that will send him to the promoted service/product listing links.
The offer objective is that we want to make visitors click on the search result served through our search feed. However, the payouts for this might seem to be low. Making these offers convert may seem very hard since the revenue per click (RPC) can be as low as $0.01 to $1.
But in reality, these offers have high conversion rates in general, which can also depend on the GEO and the product or service of course, but in general, the conversion rate is 15% or more on these offers, which is pretty nice.
How to Setup a Campaign
Many marketers are running search feed arbitrage campaigns without even using a campaign tracking tool, they just put search feed links as their final URL.
This may sound good because it’s quick and easy, however, it is not really efficient.
Ad tracking tools are so useful, I can’t even imagine running any kind of campaign without a proper tracking tool.
You can also add different offers and verticals from different search feed networks in a single campaign and RedTrack will A/B test it for you.
Easy Funnel – Targeting 1 GEO
For this, all you need is to create a simple tracking campaign, in which you add only one offer to your flow, and that’s it.
Advanced Funnel – Targeting Multiple GEOs
You can also target and test multiple GEOs within a single campaign with RedTrack, what you need is to set up some rules in your flow, to ensure you send the visitors to the correct search feed/offer.
So when you create your flow in RedTrack, you need to create a separate funnel for each GEO you are targeting.
And one for the untargeted GEO traffic. To set up a funnel for the non-targeted country traffic you need to create a new funnel and in the filter settings selected EXCLUDE, and add the countries that you are TARGETING as a value.
So if the traffic is NOT coming from the USA or UK (in this example) they will be redirected to your Global offer.
Optimizing Your Campaigns
When it comes to arbitrage campaigns and average low payouts, we need to start optimizing as soon as possible to block bad-performing publishers and adjust our bids.
So if you have an average RPC of $0.65 for example, you should block widgets with a low conversion rate after you spend around $1.5 on them.
The most important metrics you need to monitor regularly are:
- Conversion Rate
- RPC (Revenue Per Click)
- ROI (Return On Investment)
Updating your Revenue Manually
Unfortunately, until you get massive data and traffic you will need to upload the conversions manually to your tracker once they are approved.
You will need to manually download the approved conversions from your search feed network as a CSV and upload them to RedTrack to see the correct revenue data in the tracker.
You have to be careful and ensure that you are not posting the same conversion twice, for example, if you upload conversions multiple times a day. Uploading the same conversions twice will give you false results and it will make the optimization hard.
Since it’s not easy to make big profits with a single campaign, dealing with low payouts and aggressive optimization, auto-optimization is extremely helpful when it comes to traffic arbitrage campaigns.
That’s why I like to use TheOptimizer Native. With it, you can even set up Automatic Revenue Update!
If you are uploading your conversions consistently to RedTrack, you should simply set up a schedule on TheOptimizer where you’re basically telling the system to pull your campaigns data every day at a specific hour for Yesterday, Before Yesterday, Last 3 Days or Last 7 days.
Since both the costs and revenues are flowing into our platform, we can easily create auto-optimization rules for our arbitrage campaigns.
Examples for Auto-Optimization Rules:
-Block Widget Rule 1
Considering data from: Past 14 Days / Excluding: Today & Yesterday
IF Traffic Source Spend is greater or equal to $X.X AND ROI is less than -40%
Run rule every 10 or 20 minutes
-Block Widget Rule 2
Considering data from: Past 14 Days / Excluding: None
IF Traffic Source Spend is greater or equal to $X.X AND Tracker Conversion Rate is below YY%
Run rule every 10 or 20 minutes
Considering data from: Last 7 / Excluding: Today & Yesterday
IF Traffic Source Spend is greater or equal to $X.X AND ROI is greater than YY% AND ROI is less than ZZ% AND Hour of the Day [select 3 specific hours in a week]
Set Bid to 80% of the EPC, then do not allow the bid to go below $x.xx AND not above $y.yy
Run rule every 1 hour