What have we done so far in this course?. Did the necessities and basics ( formed teams , reviewed Web searching , examined the search engine market , sponsored search ) Reviewed selecting a business and picked a client Set-up AdWords Accounts and explored the AdWords platform
Awhole bunch of stuffin only10 lessons! Now what?
By design and necessity, we’ve been covering one or two links of the keyword advertising chain at a time
Now, we start seeing how everything links together to form the whole chain (i.e., keyword advertising process)!
This is a course, so major goal is the learning objectives, but …
… why not do your best?
What statistics are used for scoring?
The Account Structure should reflect yourmarketing strategy!(the details should support this strategy!)
Think of this as your company.
Think of this as Product or Service lines.
If your client has a good Website, you can model your campaigns off the major sections of the Website. Budget stuff happens here!
Think of this as individual Products or Services.
Link each Ad group to a specific Webpage on your client’s Website. Keyword selection and a lot of critical metrics happen here!
Account activity & reporting
Let’s take it one bite at a time
Today, we start with Relevance measures
Links to one of your key phrases
Causes an ad to appear
This is an impression
Clickthrough Rate (CTR)
Percentage of how many people clicked on your ad given the total amount of impressions
CTR = Clicks / Impressions
CTR can tell you a lot of things (like how much searchers like your ads) and influences when your ad is shown and ad’s rank on page
Cost Per Click (CPC)
The amount you pay Google every time someone clicks on your ad. You only pay when someone clicks your ad! (Note: similar to your bid per key phrase, but not quite. More on that later when we talk budget.)
Average Position (Ad Rank)
The average position that keyword ad held for the day
Very important for marketing purposes, but you would need access to Google Analytics on client’s Webpage.
---------- = CTR (expressed as %)
CTR is a measure of relevance of your ad, your keywords, your landing page
Note a key thing here – Advertiser B has a higher clickthrough rate. But, does this really mean that Advertiser B has the ‘best’ advertising campaign? …Let’s talk.
Example Advertiser A:
---------- = 0.02 = 2 % CTR
Example Advertiser B:
---------- = 0.03 = 3 % CTR
As you can see, covers nearly every aspect of your keyword advertising effort!
As a team,
Take about 20 minutes
… but also …
Min Bid CPC is the minimum amount an advertiser pays to run an ad. It’s set by the AdWords system and often based on Quality Score.
Max Bid CPC is the amount an advertiser is willing to spend each time clicks the ad. It is set by the advertisers.
The price you pay is generally somewhere in between the two.
You can choose either one bid CPC for the entire ad group, or different bid CPCs for individual keywords.
What constitutes a successful conversion?
Conversion = sale from an online ad
What is the net profit for a successful sale?
Example: $19.37 = profit per product sold
What is your conversion ratio (e.g., percentage of visitors who click on an ad and buy a product)?
Example: 2.39% = conversion ratio
net profit x conversion ratio = break even point
$19.37 x 0.0239 = $0.46
You’re losing money on every sale if you bid above this
Note:Conversion rateis not CTR!
It is the ratio of converts to total number of customers who clicked on your ad.
Even though ‘photography classes’ results in fewer clicks than “photo equipment’, you should allocate more budget to photography classes by increasing the maximum CPC for ‘photography classes’ while decreasing the max CPC for ‘photo equipment’
ROI = ((Sales Revenue – Ad Cost) / Ad Cost) x 100