Calculating Your Cost Per Lead Formula

There's a couple of ways to rnacquire web traffic: organic and rnpaid. Paid traffic like pay per click is rnimmediate, however the drawback is rnthat... well it will cost you money. A lot of rnonline marketers (myself included rnfor a long time) shied away from it rncompletely because of that. But imagine if you were able to earn money while rndeveloping your email list at the rnsame time, how would you like that? Email marketing should rnbe an important keystone of your online marketing rnstrategy. Marketing via email allows you to rnharness prospects as they reach your web site so that you can both rnkeep in touch and develop a relationship rnwith that individual but simultaneously so rnthat you will be able to put them through your rnautoresponder powered sales funnel. Ideally every single rnperson who visits your site would rnboth join your mailing list and rnfurthermore buy everything which rnyou would recommend to them. We live in reality, though, so it's essential to rnbe able to calculate your cost per lead as it rnrelates to your email list so I'm going to present a cost per lead formula for rncalculating just that. This statistic is substantial for several reasons; possibly rnmost importantly because by rndetermining how much your new subscribers rnare worth in relation to your autoresponder, you can rncalculate your Adwords campaign's budget rncorrespondingly in such a way that rnthat you know rnthat you'll still be making a profit rnwhile bringing in invaluable rntraffic. This in rnessence means that you could rnvery easily construct your email list rnautomatically without intervention by way of pay per click while at the rnsame time earning money. The cost per lead formula in particular works first rnand foremost by utilizing Google Analytics to set a target for a particular period rnof time, for example over the course of an rnindividual month, as relating to every time somebody clicks on a "sign up" button for your email list after rnsubmitting their email address rnsomewhere on your site. By comparing this to rnthe overall quantity of site rnvisitors which you received in that month's rntime, this tells you the rnproportion of how many rnpeople are joining your list as rnopposed to plainly going rnto your web site without joining. Note that this number can be rnimproved with the constant split testing rnof your images/copy, what incentive that you are rnadvertising to them in exchange for their rnemail address, and how you advertise that sign up button to your site visitors rnno matter if it be by way of a rnlightbox pop up, a sign up widget, etc. After you distinguish the rnpercentage of opt ins rnthat you're receiving, work rnout your average income for each rnsubscriber after they've passed through your sales funnel in full.