Keep These Points in Mind to Increase Conversion Rate for PPC and Google Ads!

Marketing skills and mediums have continued to evolve, taking on massive leaps of change. In the medieval ages, word of mouth was the primary way how you will get your products to be visible in front of your local village. Then with the emergence of the printing press, mass-producing texts became easier. The tool that strengthened the reformation and Renaissance in Europe also helped later to communicate messages. Posters would be put on walls of local streets and people would know where to go to get that product. From that, we went to giant billboards and newspaper ads. Next was the time of television and radio that were the hub for advertisements.

Now, it’s all digital baby!

Think about it! While TVs, radios, newspapers, and billboards still are prevalent, ads on digital media are growing at a tremendous rate. That is because most millennials are now active on social media and are adept at finding what they want in seconds. Not to mention, they are more likely to shop online than compared to people older to them.

This is why most companies run many of their ads online, rather than on TVs.

Google provides a platform for people to publish their ads on Google Search Results Page (SRP). Facebook and Quora have similar options where you can publish their ads on those platforms too. All these are some of the most prominent platforms for putting your ads online. There are innumerable advantages as well. Some of them are:

• It targets the right audience
• Compared to other platforms, internet advertisements are more affordable.
• It can be used as a long term strategy
• It gives highly efficient results
• It provides excellent ROI returns.
• You can also create a huge list of loyal followers
• You can control your ads and how to target them.

To learn more about PPC and Google ads, you can go for the “PPC Ads – Google Adwords Facebook Ads & Bing Ads Using PPC” online course. This course comes with 2.5 hours of video that covers topics such as introduction to PPC, PPC fundamentals, Google Adwords, Tier1 ads, and much more.

But sometimes, people can do minor blunders that can fail the entire business. Chances are that most people aren’t completely familiar with it or are simply beginners, might fail to comprehend the entire process. However, here are some of the tips you should remember if you strive to increase your profits.

Also, learn more about the 3 Step Process to Generate a PPC Strategy!

#1. Inadequately Written Ad and Extensions

Saying that writing powerful description helps in your sale, would be an understatement. Mainly putting ads with CTAs (call to actions) that provoke an urgency is more likely to get clicked faster.

Also, product or service extensions are important as well. The extensions can be in the form of reviews, price, contact numbers, location, and site-link extensions. You can choose your favorite extension and put that with the ad. You will surely miss out on a lot of traffic if you do not provide these extensions.

#2. Lack of Understanding in Conversions and Profit Margins

High revenues with high costs for the company will have a declining effect on your profits. It is the same even if you have an offline business.

When it comes to PPC (Pay-Per-Click) ads, the methodology is nearly similar. You can use this formula to calculate the profit margin for your Google ads campaign.

{( RCP X Margin ) – Clicks} X ( CPC X Clicks) / Total Costs

You can access it from the “Tools and Analysis” section > Add new conversion.

Having an approximate profit margin is an excellent way to set up a Google ad campaign made to win.

#3. Right Keyword Matches

Keywords are usually classified into these three categories:
• Exact Match– When ads show up when that exact keyword is typed on search engines.
• Phrase Match– When ads show up when people type that keyword in that order.
• Broad Match– Your ad can show up even when the keyword is mildly related to it.

It is usually suggested for users to start with the exact matches and spread to phrase and broad matches later. If your impressions are better with exact matches, then there is no need to shift. But if the impressions are poor, then it is recommended that the keywords be changed.

Usually, broad matches are considered are an excellent way to get clicks because it pulls your ad up on anything remotely related to the content of your site.

Also, you can combine all three categories of keywords and bid strategically using the cascading method. You can read more about it here.

#4. Negative Keywords

Not using negative keywords could be considered as a loss of opportunity by many. These keywords have the potential to boost your ROI and target a broader audience. Not to mention, its help in improving your Google AdWords Quality Score.

But there are some things you should also remember while using negative keywords:

• Customize your keywords instead of copy-pasting them across your entire campaign.
• Keep a track of your keywords and their corresponding negative keywords
• Do not go overboard with this negative keyword. Use only whatever is required.

#5. Being unaware of CLV (Customer Lifetime Value)

According to Wouter van der Heijden, he describes CLV as

CLV is the Key Performance Indicator that determines the value of a customer. This determines how much you can spend to recruit customers on the long term, keeping in mind the return purchases of the customer.

The reality is CLV is more complicated than ROI, but they depend on each other to help improve the profits of your company.

If you still haven’t figured out the CLV of your customers, you might not be able to amass huge profits. You have to keep track of how much you are loosing in order to gain a fresh customer. This essentially means that keep an eye on the CLV and the cost of acquiring a new person.

If you are paying $5 to acquire a fresh customer, your CLV should be greater than the amount. In the CLV is lesser than the cost of acquisition, then its a loss for the company.

#6. Bidding on Brand

You should bid on keywords pertaining to your brand and also keep an eye on your brand value. In a survey by Loyalty360, it was seen that 66% of the customers in the US would go for the same brand if they had a good experience from them. So, use every option and way you have at your disposal to project your brand outwards.

Take the example of Coca-Cola that promotes their brand with the help of applications and currently is the top brand on Facebook.

When you bid on your brand, you stop from competitors from poaching on your profits. It also helps in improving customer turnout and in the long -term, build a chain of loyal followers.

Conclusion

In order to make maximum profits, you need to figure out a long-term goal. Effective Google Ads comes with the right words, driving potential customers to your site, and lowering your customer cost per customer.

What do you think of these vital tips? Let us know in the comments below.