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An Introduction to the Kelly Formula

Today we’re going deep. We’re going to examine a mathematical equation created years ago by a guy named J. L. Kelly. Kelly was a brilliant man who devised a formula that is so rudimentary, yet so critical, it is the foundation for many systems in the world...

Designing a Pay per Click Management System

In the course of working on our latest book, I have put a lot of thought into the concept of a trading-style system for managing a paid search campaign. There is definitely a correlation between investing in securities and investing in paid search. Every keyword you...

Thinking Hard About Pay Per Click Management Strategy

I’ve been reading a lot lately about trading systems – that is, rules-based strategies for making short-term investments in stocks or other securities. So far, most of my personal stock purchases have been made in more of an “investing” mode,...

The Latest Things You Should Know About Google

Here are a couple of items of news from the Google camp that we thought were interesting, and that you should know about.First off, Google now takes the loading time of your landing pages into consideration when determining relevance for AdWords ads. Google requires...

Improving Return on Equity with Pay per Click Marketing

The mark of an exceptional company is the ability to generate ever greater returns on equity. For instance, if your company has $1 million of accounting equity, and you generate $200 thousand in earnings (profit), then your return on equity is 20%. Your goal for next...

Our Thoughts On Several Second Tier Paid Search Platforms

We have been experimenting with second tier, or alternative, paid search platforms. Here are our thoughts on these platforms:Turn. This is a really cool concept. We love the pay per action model, where you specify an amount you are willing to pay for the completion of...