Let’s be honest, Google Ads could be really powerful and boost sales when we know how to use it. Otherwise it might be a waste of money and time.
In 2019, Google made AdWords Express a part of the Google Ads suite and renamed the section “Smart Campaigns”. The main idea was to automate and simplify everything. Smart campaign has the simple user interface, and it is much easier to navigate for someone who has limited resources or little to no experience with ppc advertising. However, the control over campaigns will decrease in the meanwhile.
So let’s head to “Expert Mode” and have some fun ourselves.
Before we start
When we talk about search campaigns on Google search engine and its search network, we assume that the ultimate goal is to keep optimizing the campaign, which are increasing CTR (click through rate) and conversion rate and decreasing cpc (cost per click).
Also the simplified incidents happened when potential customers searching are ads showing (impression), ads being clicked, and hopefully, website visitors taking the actions we desired (CTA).
What Google wants
Google wants to make money out of advertisers, providing good searching experience to all web user.
Let’s translate few terms,
- Keywords: What we think customers are looking for
- Search terms/Inquires: What customers are looking for
- Ads copies: What we say we offer
- Landing pages: What we actually offer
Therefore, Google wants keywords, search terms, ads copies and landing pages all closely related to one another. If keywords are highly relevant to customer inquiries, it means that we know our customers and have a clear customer persona. If keywords, ads copies and landing pages are highly relevant, it means that we offer what customers are looking for and we offer what we promised. If our landing pages and ads closely reflect what buyers are searching for, it helps to build trust between buyers and sellers.
Let’s measure it
Here are some questions you may wonder. Let’s see how we can measure our success.
1. What’ the minimum ROAS I need to break even?
1/(Average Profit Margin)=Break Even ROAS
2. How much should I pay for each click?
(Revenue per click)/(Desired ROAS)=Break Even Max CPC
(Total Conversion Value)/(Total Clicks)=Revenue per click
3. How much money do I make when someone clicks ads?
(Average Profit per Conversion)X(Sales Team Conversion Rate)=Break even cost per conversion
(Total Conversion Value)/(Total Conversion)= Average Profit per conversion
(Cost per click)/(Conversion rate)=Cost per conversion
Google ads is truly a complicated yet powerful tool. It could be overwhelming when you first use it, and the learning curve could be steep. As an entrepreneur, you don’t need to know everything, you just need to find someone who can do it for you. So a ppc expert might be the way to go.
About the author: Michelle is a digital marketing specialist who always loves to work on ideas and is creative in solutions. Now, she has a new role as a blogger, sharing knowledge and spreading love. Connect with her on LinkedIn here.