More Conversions & Less Costs...

10 replies
  • PPC/SEM
  • |
Hi guys,

so since I've started my first PPC Campaign about 2 weeks ago I finally got nice conversions but also not so nice costs... In total I got 1300+ clicks on my ads for example and my conversion value/ cost is at about 2.0 ( looking more like it will go under 2.0).

My main problem is the costs factor for the ads. I already paused the 3 major ads that havent given me any sales but high costs. But I have no idea were to improve to lower the costs and improve the sales. The quality score of my ads is always between 8 and 10, so it cant be because of that. The offers our company has ( retail) are very good and we have a wiiide range ( we sell to different countries and are UK based). I run or rather help to run the German PPC account to help and increase our sales but its not working how I imagined it.

Is there anything I missed? The daily budget isnt that high atm as my campaign is like a 'test' to see how its performing and so far the old campaigns results are better than mine but if i compare them I do pretty much all the same ( except the daily budget and cpc bids are a bit different)

Do you guys have any suggestions as to how I can improve my sales and more important, to lower the costs?


Would be great if you all could help me

Thanks

Nico


P.S.
The campaign is an exact campaign, average ad position 2.3
#adwords #conversions #costs #ppc
  • Profile picture of the author solarwarrior
    Originally Posted by NicoRen View Post

    Hi guys,

    so since I've started my first PPC Campaign about 2 weeks ago I finally got nice conversions but also not so nice costs... In total I got 1300+ clicks on my ads for example and my conversion value/ cost is at about 2.0 ( looking more like it will go under 2.0).

    My main problem is the costs factor for the ads. I already paused the 3 major ads that havent given me any sales but high costs. But I have no idea were to improve to lower the costs and improve the sales. The quality score of my ads is always between 8 and 10, so it cant be because of that. The offers our company has ( retail) are very good and we have a wiiide range ( we sell to different countries and are UK based). I run or rather help to run the German PPC account to help and increase our sales but its not working how I imagined it.

    Is there anything I missed? The daily budget isnt that high atm as my campaign is like a 'test' to see how its performing and so far the old campaigns results are better than mine but if i compare them I do pretty much all the same ( except the daily budget and cpc bids are a bit different)

    Do you guys have any suggestions as to how I can improve my sales and more important, to lower the costs?


    Would be great if you all could help me

    Thanks

    Nico


    P.S.
    The campaign is an exact campaign, average ad position 2.3
    Hi Nico,

    Since you have a great quality score, the only way to move forward is to improve the following factors.

    1. Your lander
    2. Your sales funnel
    3. Keywords

    Make your site has great follow-up procedures in place to make more
    sales from customers who left without purchasing any items from your store.

    Moreover, you can improve your sales funnel to get more sales (upsells) so
    you can increase your profit margin on the backends.

    Lastly, if the existing keywords prove to be unprofitable, try to engage new keywords
    to bid on. They tend to be cheaper if you take the effort to look for them.
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  • Profile picture of the author dburk
    Hi Nico,

    Congratulations on getting your first campaign setup and launched.

    Your 8-10 Quality Scores are a sign that you do not have major account structure issues, and that your ads CTRs are very competitive. Clearly you have written some compelling ad text, good job on that task. Now you should be set to gather the data you need for the first round of optimizations.

    You need data before you can begin your first round of campaign performance optimizations. If your ad spend is high enough you should be approaching the level of data needed to take action. This is the point where you have actionable data to inform your campaign performance optimization decisions.

    Apply Marketing Basics - Start With A Goal

    At this point you just need to begin implementing basic marketing principles that include market segmentation as part of a marketing plan based on a well conceived marketing strategy design to achieve your specific marketing goals. Everything hinges on your specific goals, if they are well defined smart goals it will allow for a better plan and better chance of success. Try to remember marketing is a competition and only the best strategy, plan and execution will win.

    Once you have your primary marketing goal for your campaign clearly defined, you can then identify the key performance metrics that measure your progress towards that specific goal. You might be tempted to skip the process of defining a specific goal, or to just settle for a overly generalized goal, that will put you at a disadvantage. Without a clearly defined goal the direction and progress of your optimizations tactics will be fuzzy at best, and certainly not optimal.

    Segmentation Is The Key Concept

    Stop looking at your campaign results in aggregate, and instead focus on individual market segments. Some ad groups and keywords will have better performance than others. Dig deeper and analyze each individual market segment, and not just each individual keyword, but down to each individual search term.

    Some search terms will cost more and convert less, some will convert more and cost less. Start the process of optimization by adjusting you budget and bids to spend more on search terms that convert more and cost less, and reduce you ad spend on terms that cost more and convert less.

    Optimization Is A Process, Not A One-Time Event

    You might be tempted to simply stop ad spend altogether on segments that have not yet converted well, but at this early stage of campaign optimization you are likely looking at relatively small amounts of data and results will tend to be random. A search term that performed poorly over the past 2 weeks might suddenly perform well over the next 2 weeks, or vice versa. Performance metrics are not always even from one week to the next, you need to gather sufficient data to be reasonably certain of making a valid decision. Making frequent yet gradual adjustments will continuously improve your campaign performance and allow for automatic correction in optimizations as more data is gathered

    As you gather enough data you can begin optimizations on other segmentation methods, common segments to analyze and gather marketing insights for PPC campaigns are Location segments, Device type segments, Hour of day, Day of week, Networks, Ad positions, etc. There are many ways to segment your data, and you can optimize campaigns based on nearly any segmentation scheme that you can conceive. Just get started with the basics and add to it as you gather enough data for more advanced segmentation schemes.

    CRO to the Rescue

    Ad performance optimizations can only get you so far, you need to go beyond the ad and focus on improvements to landing pages, pricing models, checkout process, upsells, cross-sells, and packaging (sales funnels) to improve AOV, or Marketing automation and lead nurturing to improve the value-per-click of your lead generation campaigns. Also customer retention, referral marketing and customer loyalty programs can boost the value-per-click of your PPC campaigns.

    Advanced Marketing Strategies

    A simple strategy is all you need to get started, but to win in a competitive marketplace you need a superior marketing strategy, one that involves multi-channel, multi-step marketing. Develop a strategy that fully utilizes all stages of the marketing funnel to take your campaigns to the next level and to really dominate your niche.

    At 2 weeks in, you've barely scratched the surface of whats possible, buckle-in for a long journey and lots of optimization opportunities to come. Good luck and lets us know if you need advice along the way.

    HTH,

    Don Burk
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    • Profile picture of the author jumbo7901
      Review your keywords and make sure that you have relevant "buyers keywords". We routinely see that marketers tend to bid of lower cost keywords (many times they are not buyers keywords). As a result, their COst per click is low but cost per conversion is very high.
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  • Profile picture of the author Sergio80
    On top of what is already said, make sur your ad groups include highly related keywords and ads that takes visitors to related pages. This will increase your QS and Conversion ratio.
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  • Profile picture of the author spartan14
    I als think as majority of people the succes with ppc contains highly targeted keywords .Because in this way you will get more fast sales
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  • Profile picture of the author vikpathania
    Hi Nico,

    Here I would like to tell you that the conversion rate very much depends on:
    1. Ad Text and quality
    2. Landing page
    3. Offer
    4. Keywords

    As you are saying your ad's quality score lies in between 8-10, that means the ad copies are fine. So, in that case there might be problem with your landing page or the keywords you are targeting.

    1. check whether your landing page is user friendly, and have all the offers that you are mentioning in the ads.

    2. Also, check the search console and Adwords for the queries visitors used to search.. and add them to your keyword list.

    3. Have you added negative keywords. If not, then please make use of negative keywords. Negative keywords can be: free, images, pictures, or many other depending on you services.

    Hope this will work for you.

    Let me know in case you need any further help.
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    • Profile picture of the author NicoRen
      Originally Posted by vikpathania View Post

      3. Have you added negative keywords. If not, then please make use of negative keywords. Negative keywords can be: free, images, pictures, or many other depending on you services.
      The thing is all my campaigns are exact match so I don't think there are any negative keywords I could add as my ads only appear when someone searches for the exact keyword or a close one. Or should I still add a few negatives like you said?
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      • Profile picture of the author vikpathania
        Originally Posted by NicoRen View Post

        The thing is all my campaigns are exact match so I don't think there are any negative keywords I could add as my ads only appear when someone searches for the exact keyword or a close one. Or should I still add a few negatives like you said?

        Ok, in that case you don't need to add the negative keywords. But, if you are using the exact match keywords then it will be tough for you to cut the cost.

        I would suggest you to use different match types (such as: phrase, exact, etc) and some different combination of keywords. Try to make combination of less competitive keywords with less bid rate. Try this at least.

        If you are going to try this don't forget to add negative keywords too.

        You can also take help from Google Support.
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  • Profile picture of the author avemfly619619
    If you want to gain more conversions then you must to get score 8-10 in (quality score) Adward google.
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    • Profile picture of the author NicoRen
      Originally Posted by avemfly619619 View Post

      If you want to gain more conversions then you must to get score 8-10 in (quality score) Adward google.
      I already have at least 8 or higher for all my ads for the quality score, so that isnt the problem.
      The last few days I just kept improving my ads and it definitely helped. I will also start to use different match types soon to hopefully increase it.


      Thanks a lot so far guys
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