Ebiz 1 vs 5

My ebiz 1 and ebiz 5 are the exact same stores.  They sell the exact same products.  There are a few main differences between them:

Ebiz 1:
Ranks top 8 on Google for main search terms
No adwords campaign
Free shipping
Products priced slightly higher

Ebiz 5:
Does not show up in google
I spend $50 on adwords a day
Products priced low
Products priced with 00 endings
Shipping is added to each order

For example:
Product ABC is $84.99 with free shipping on Ebiz 1. 
Product ABC is $74.00 with $10.50 shipping on Ebiz 5. 

Product ABC is essentially priced the same on both stores. The overall price difference is only $0.49. But it seems like people like to pay less and then pay for shipping.  I’m wondering if people just expect to pay shipping so my free shipping strategy on Ebiz 1 may not be optimal.  I would like to change it but all my promotions, directory submissions and links all say free shipping on all orders. So I’m pretty much stuck with that on Ebiz 1.

What is very interesting is that Ebiz 5 seems to be doing alot more business that Ebiz 1.  Ebiz 5 has been online for 7 days.  It has made 31 sales.  During this same time frame Ebiz 1 has made 26 sales.  The trend I am seeing is more people purchasing from Ebiz 5 than Ebiz 1.

I am wondering if that is from the cheaper pricing or the high position of my adword ads. I decided to spend $50 a day on ads and to bid very high for the main keywords. This puts my store in the #1 ad slot for most keyword searches.  I am getting about 200 clicks a day and average around 5 sales a day.  So far I’ve spent $375 on adwords.  My profits are $610 and subtracting the adwords gives me $240 profit in 7 days.

At the current rate, I could have another ebiz that makes $1,000 a month after spending $1,200 a month on ads.  The biggest problem with Ebiz 5 is that it doesn’t exist in Google right now.  All traffic has to be paid for and this is not the way to run and sustain a business. I will begin working on SEO and SEM for this site, but for now it seems to be doing fine.

About Kenric

My blog about living life to the fullest by generating passive income through real estate, business and online investments.
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