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10 Common Keyword Mistakes in PPC

Samuel Edwards
|
April 22, 2023

Keywords are, arguably, the most important piece of your pay per click (PPC) advertising strategy.

Choose the right keywords and you’ll reach the right people. You’ll get more impressions and clicks. You’ll get more purchases from the clicks you generate. And you’ll even spend less money in the long run, since you won’t be wasting money on bad matches or weak opportunities.

The problem is, choosing and controlling keywords in PPC advertising is challenging.

Yes, even for the pros.

There are so many keywords to choose from and so many different controls you can use to tinker with your campaign that it’s almost inevitable to make conversion mistakes – and if not outright mistakes, then inefficiencies that reduce your potential.

Fortunately, once you understand some of the most common and impactful keyword mistakes in PPC advertising, you can take caution to avoid them and optimize your campaign for the better.

The Most Common Keyword Mistakes in PPC Advertising

These are some of the most common keyword mistakes in PPC advertising we see from clients, competitors, and other advertisers online.

1. Using too many keywords.

Using too many keywords

Optimizing a PPC ad campaign is all about improving efficiency. It’s almost impossible to be efficient if you’re using too many keywords at once. On one hand, we understand the temptation to keep adding keywords; each new keyword is a new potential demographic segment and a new opportunity for your brand. But it’s usually better to keep your selection of keywords relatively narrow and focused.

There are a few main problems with using too many keywords. For starters, your attention is going to be split across too many different areas; instead of becoming a true expert on a small handful of keywords, you’ll end up knowing very little about the dozens you’re following. Additionally, you’ll be wasting money on keywords that are strictly underperforming your best options.

If you want to fix this problem, simply focus on a narrower range of keywords. Generally, you should only keep the keywords that are generating around 200 clicks or more – and filter out any keywords that seem to perform worse than your best ones (as well as ones that seem irrelevant).

2. Using broad match keywords recklessly.

At first glance, using broad match keywords seems like a no-brainer. With broad match turned on, your keywords are going to appear for a wide variety of different searches, including those that are synonymous with your main keyword and some types of related searches. That means your ad is going to appear to a wider range of people and earn more impressions.

However, using broad match keywords recklessly and without strategic focus is usually bad for your campaign. More isn’t always better in the world of PPC advertising; in fact, it’s usually worse. You’re better off targeting a small handful of people who are positioned to buy your product than targeting thousands of people who are practically irrelevant. This is one of the common keyword research mistakes that can drain your budget without delivering real results.

You can fix this in a few different ways. For example, you could stop leaning too heavily on broad match keywords and start focusing on phrase match and exact match keywords, which give you much more precise targeting options. This aligns better with search intent, ensuring your ads are shown to users who are genuinely interested in what you offer.

You can also use broad match more effectively with the use of modifiers, which allow you to control how your keywords are considered with respect to search engines and user searches. As examples, adding a + to a word will ensure it appears in every search – and including phrases in [brackets] will make sure the entire phrase is present in every search. Implementing these refinements is a crucial part of a strong SEO strategy and effective keyword research.

3. Compiling keywords into bulky ad groups.

Ad groups exist to give you more insight and control over your PPC ad campaigns, so try to avoid misusing them by compiling keywords into bulky and unnecessarily large groups. If you put all your conceivable targeting options into one gigantic mass, you’ll have difficulty delineating the different elements of your strategy.

Instead, make sure each of your ad groups is laser-focused on a specific theme (such as a product or service you offer, a geographic location, etc.). The exact theme doesn’t matter much, as long as you’re using ad groups strategically.

4. Failing to use negative keywords.

Negative Keywords in PPC Campaign

Most newcomers to the PPC game are so focused on finding the perfect keywords to add to their campaign that they don’t realize how powerful negative keywords can be. In case you aren’t familiar with them, negative keywords are keywords that you don’t want to appear for a given search. You can use these to filter out specific types of people who may not be interested in what you’re selling – and save money in the process.

If you don’t use negative keywords at all, you’re probably missing out on your true potential in this field. For example, imagine you’re advertising a bakery and you’re placing ads for people who are searching for “chocolate chip cookies.” You want to appeal to people who might buy your chocolate chip cookies, but people who search for this phrase might be looking for recipes or instructions for how to make their own; you can filter out this traffic simply by adding negative keywords like “-recipe.”

5. Putting your campaign on an endless, stagnant repeat.

There’s a certain point in most PPC ad campaigns when managers begin to feel confident in what they’re doing. Your ads are working period you’re getting clicks. You can claim the campaign is profitable. What do you do at this point?

Novices are typically tempted to keep things running exactly as they are, potentially indefinitely. After all, if it ain’t broke, you don’t fix it, right?

The logic here makes sense, to a degree, but if you go this route, you’ll be crippling your potential. You’ll miss out on all the experiments that could push your campaign further and all the little refinements that could make your campaign even more efficient. Instead of remaining complacent with decent results, you should always strive for better results. That doesn’t mean you have to change your entire campaign, but you should be allocating at least a portion of your budget to pushing for more.

6. Making ads not relevant to your keywords.

What’s your ad conversion rate like? If this metric is disappointingly low, it could be an indication that your ads aren’t relevant for the keywords you’re choosing. This may sound like a simple and obvious problem, but it’s something that many advertisers run into.

Remember, the people searching for this keyword phrase are looking for something specific. If your ad isn’t carefully crafted to appeal to those people, it’s not going to get much interaction. Always make sure that your keywords and advertisements are very closely aligned.

7. Ignoring the sales funnel.

Conversion Funnels for PPC Campaign

When it comes to audience targeting, you have to think beyond mere demographics. You also have to think beyond simple product or service searches. If you want to add more power to your campaign, you need to think about your specific sales funnel and how searchers might fall into that sales funnel.

Different businesses and different industries model their sales funnels in unique ways, but usually, sales funnels follow a process similar to awareness > consideration > purchase. Targeting the right people at the right stage of the sales funnel could dramatically increase your results. Choosing specific phrases and including keyword modifiers targeted to people at the end of the sales funnel could greatly increase the number of people making purchases after clicking your ads. At the same time, targeting people earlier in the sales funnel could help you avoid some of the most prominent competition in your industry, saving you money while earning you customer loyalty.

The only wrong approach is to ignore the sales funnel in your strategy entirely.

8. Mismatching your landing pages.

Building Your Dynamic Landing Page

Landing pages play a massive role in determining the success of your PPC campaign. No matter how well your ads perform or how much traffic do you generate, your campaign is going to fall flat if you aren’t able to convert your new visitors.

The critical flaw here for most PPC advertisers is a landing page that doesn’t match the ad or doesn’t match the keyword phrase. If you promise a special discount in your ad, that discount better be present on your landing page. If you’re advertising running shoes, don’t take your visitors to a landing page that features boots.

Obviously, you’ll also need to spend time optimizing this landing page so it’s as persuasive and perceptibly trustworthy as possible.

9. Never bidding on your own brand keywords.

The bulk of your campaign is going to focus on product and service keywords, but if you totally neglect brand keywords, you’ll be sabotaging your own potential.

Many people ignore brand keywords entirely because they feel like these targeting options are practically irrelevant. After all, if a customer already knows about your brand, there’s no use trying to raise their brand awareness further. And there’s a good chance your brand website is already ranking at position one for brand keyword searches.

However, there are some good reasons to bid on your own brand keywords. Branded keywords have the potential to increase your account’s quality score. They almost guarantee your brand will be featured at the top of the search results page. You’ll generate more traffic to your website. And perhaps best of all, this serves as a competitive defense – so your worst competitors can’t try and dethrone you by targeting your branded keywords.

10. Targeting competitor brand keywords without a plan.

Targeting competitor brand keywords, eh? If you’ve never considered the option before, you’re certainly considering it now. Bidding on the branded keywords of a competitor can be a powerful, if cutthroat move. You can siphon traffic from a major competitor, increasing your traffic while dealing a blow to your peers simultaneously.

However, it’s reckless to approach this without an effective strategy. If your ads aren’t relevant to the people conducting these searches, you’re not going to generate clicks, and your quality score could go down. If you don’t have a plan to convert these prospects, you’ll end up wasting money trying to sabotage competitors rather than building your own business. And the worst part is, if you’re actively trying to sabotage your competitors, you could end up harming your brand reputation.

None of this means that you have to avoid targeting competitor brand keywords. It just means you need to have a carefully considered strategy in place for them.

Golden Rules for Avoiding PPC Mistakes

We’ve covered 10 of the most common mistakes that people make with keywords in the PPC world, but this list is by no means comprehensive. There are many other strategic flaws and examples of poor decision-making that can negatively impact your campaign.

On top of that, the PPC ad world is always changing with new controls and features for advertisers, new competitors, and changing consumer attitudes. Search engine algorithms are constantly evolving, which means what worked yesterday might not work today.

If you want to avoid all PPC ad mistakes (or at least as many as possible), you should follow these important golden rules:

  • Work with an agency. Consider working with an agency, rather than doing the work yourself or working with random freelancers. Yes, we are an agency, so we’re not-so-subtle promoting ourselves here. But realistically, working with an agency is one of the best things you can do if you want to see better PPC advertising results. Agencies typically have more experience, they have better campaign managers, they have access to more resources, and they’re always looking for ways to get an edge in this highly competitive environment. It’s true that agencies are going to artificially increase the costs of running your campaign, but they can also help you make sure that every dollar you spend on advertising is spent as efficiently and meaningfully as possible. They can also refine your keyword strategy, ensuring you’re not wasting budget on irrelevant keywords that don’t convert.
  • Do your research. Next, do your research. Make sure you understand all the nuances of running a PPC campaign, and that you fully understand all the controls you’re using on the back end. For example, are you confident you can tell the difference between a phrase match and an exact match? Sure, it’s a trivially simple question for experienced PPC ad runners, but you’d be surprised how many people are spending thousands of dollars on PPC ads without knowing the answer to this question. This is why keyword research tools are invaluable for researching keywords effectively.
  • Question your assumptions. Confirmation bias and status quo bias can blind people to their true PPC advertising potential. If you falsely believe something about how PPC ad campaigns work, or if you always follow the same approach with near-religious adherence, you’ll set yourself up for failure. Always question your assumptions and be ready to learn new things. For example, if you’ve been relying only on high volume keywords, consider testing long tail keywords for better targeting and conversion rates.
  • Never settle. When your PPC ad campaign starts to see consistent results, and you turn a reliable profit, it’s tempting to let things coast. But it’s usually much better to avoid resting on your laurels – and keep pushing for better results. That means tweaking the variables, running experiments, and challenging yourself to do better. Ongoing SEO efforts can complement your PPC strategy, ensuring long-term success in both paid and organic search visibility.

Are you tired of PPC advertising mistakes bogging down your otherwise profitable campaign?

Do you need some extra guidance in targeting the best possible PPC keywords?

PPC.co is here for you. We’ve got the experts. We’ve got the experience. All you need to do is reach out and we’ll send you a free proposal. Contact us today!

Author
Recent Posts

Samuel Edwards

Chief Marketing Officer

Throughout his extensive 10+ year journey as a digital marketer, Sam has left an indelible mark on both small businesses and Fortune 500 enterprises alike. His portfolio boasts collaborations with esteemed entities such as NASDAQ OMX, eBay, Duncan Hines, Drew Barrymore, Price Benowitz LLP, a prominent law firm based in Washington, DC, and the esteemed human rights organization Amnesty International. In his role as a technical SEO and digital marketing strategist, Sam takes the helm of all paid and organic operations teams, steering client SEO services, link building initiatives, and white label digital marketing partnerships to unparalleled success. An esteemed thought leader in the industry, Sam is a recurring speaker at the esteemed Search Marketing Expo conference series and has graced the TEDx stage with his insights. Today, he channels his expertise into direct collaboration with high-end clients spanning diverse verticals, where he meticulously crafts strategies to optimize on and off-site SEO ROI through the seamless integration of content marketing and link building.

Latest posts by

Samuel Edwards

 (see more)
Traditional PPC Agencies Are Dead: Stop Buying Clicks and Start Buying Outcomes
-
November 7, 2025
Hospitality PPC Strategies That Actually Convert
-
September 17, 2025
Web Hosting Providers: How to Craft High-Converting PPC Landing Pages
-
September 3, 2025
PPC Ad Trends by Sector & The Impact of AI
-
August 22, 2025

Author

Samuel Edwards

Chief Marketing Officer

Throughout his extensive 10+ year journey as a digital marketer, Sam has left an indelible mark on both small businesses and Fortune 500 enterprises alike. His portfolio boasts collaborations with esteemed entities such as NASDAQ OMX, eBay, Duncan Hines, Drew Barrymore, Price Benowitz LLP, a prominent law firm based in Washington, DC, and the esteemed human rights organization Amnesty International. In his role as a technical SEO and digital marketing strategist, Sam takes the helm of all paid and organic operations teams, steering client SEO services, link building initiatives, and white label digital marketing partnerships to unparalleled success. An esteemed thought leader in the industry, Sam is a recurring speaker at the esteemed Search Marketing Expo conference series and has graced the TEDx stage with his insights. Today, he channels his expertise into direct collaboration with high-end clients spanning diverse verticals, where he meticulously crafts strategies to optimize on and off-site SEO ROI through the seamless integration of content marketing and link building.

Related posts

Samuel Edwards
|
November 7, 2025
Traditional PPC Agencies Are Dead: Stop Buying Clicks and Start Buying Outcomes

The keyword jockey era is officially over. For years, PPC agencies were basically just click machines. You gave them a budget, they bid on keywords, and you got traffic. But that model is fading out. Platforms like Google Ads now handle bidding automatically, and anyone can buy clicks. What separates winners from losers today isn’t the company that spends more – it’s the ones who turn clicks into paying customers.

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PPC ads are still a legitimate way to generate cheap traffic but the end goal is ultimately conversions. Until recently, many PPC agencies have only focused on generating traffic without focusing on customizing strategies to produce profitable outcomes. This requires more than just selecting keywords. It requires testing ad creatives, fine-tuning landing pages, and ruthlessly optimizing funnels. 

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If you’re working with a PPC agency that only talks about CPC while ignoring conversion rates and lifetime customer value (LTV), it’s time to upgrade to an agency that focuses on results measurable in dollars. 

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Automation killed the “bid manager” role

Ad platforms like Google Ads and Meta have made manual bidding almost obsolete. Their algorithms now choose how to get you the best conversion value, not just the cheapest click. That means the old “bid manager” agency model is toast. 

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Smart Bidding and bundled campaign types (like Performance Max) push optimization toward conversion value rather than just clicks. And that’s not a bad thing. It’s an invitation to apply your marketing budget to the things humans do best: messaging, creative strategy, and conversion rate optimization).

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The algorithms do the heavy lifting now. Google’s Performance Max and Smart Bidding automatically find high-converting audiences. The system handles keyword strategy better than humans ever could. And it makes sense that these companies would invest the time and money into perfecting their systems because the better results you get, the more likely you are to keep running ads. 

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With the backend tech handling bidding, your agency’s edge comes from improving elements outside of the algorithm, like your ads and landing pages. The best PPC agencies no longer promise a lower CPC – they promise results.

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That’s the key shift here. Automation didn’t eliminate the need for human marketers, no matter what the fear headlines say. It just readjusted the roles between humans and machines.

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The agencies that survive this shift will be the ones who stop fighting automation and start building it into their workflows. Rather than wasting time micromanaging bids, cutting-edge agencies are using those hours to test headlines, improve page experience, and analyze conversion data to find out what’s really working. 

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Automation can never tell you why people click, bounce, or buy. That’s where humans are and always will be needed. When you understand your customer’s motivation better than the competition, you can write better ad copy and design better landing pages.

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At the end of the day, automation leveled the playing field for media buying. What was once a technical advantage is now table stakes. Anyone can run their own ads. The agencies leading this new PPC era are competing on conversions, not the simple ability to run ads.

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Creative is the new keyword

In the old days, you could buy the right keyword and call it a day. That isn’t how it works anymore. Two ads that target the same keyword can perform completely differently based on how they look, sound, and feel. Your ad creatives drive results when they’re optimized and waste your ad spend when they’re not. 

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Although all elements are important, the majority of an ad’s performance comes from creative quality, not targeting or bids. The best bidding strategy and perfect keyword targeting won’t get people to click on an ad that isn’t enticing.

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The best PPC agencies continually test images, headlines, and even video styles to find out what converts best. That’s where the most notable performance gains come from. At the end of the day, keywords get you visibility but good creatives get you customers.

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This shift continues to be confirmed over and over. Reports have confirmed that creative quality accounts for 49%-70% of an ad’s success, which outweighs media placement or targeting. In other words, creative isn’t just part of the equation. It’s the final factor. 

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The top performing brands run hundreds of ad variants every month. They’re not guessing. They’re structuring creative experiments and the winning ads are often the ones that break traditional marketing rules. These are the ads that use raw, authentic imagery, short unpolished videos, or headlines that sound like something a real customer would say. Regardless of what you think should work, constant testing uncovers what actually triggers action.

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Conversion rate optimization is an ad spend multiplier

When your landing page converts better, every click becomes more valuable. Improving your conversion rate by even a few percentage points can provide better results than just a few months of ad optimization. And where landing page optimization is concerned, it’s not always about optimizing the offer (although that’s crucial). Sometimes small things make a massive, measurable difference. 

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For example, page load time is critical. Walmart found that for every 1-second improvement in load time, conversions increased by around 2%. And that’s not an anomaly. Plenty of businesses achieve similar increases (and even higher) just by optimizing the time it takes their landing pages to load.

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Other small adjustments can have a profound impact, like adding social proof near your CTA, reducing the number of form fields, and clarifying your headlines.

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When optimizing a landing page, design and clarity matter just as much as speed. Visitors make up their minds within seconds. If your pages are currently cluttered, switching to clean visuals, a clear CTA, and a simple layout can generate more conversions from existing traffic without spending another dollar on ads.

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That’s the secret to all of this. Conversion rate optimization multiplies every dollar you already spend. If your ad campaign is driving 1,000 clicks and your conversion rate doubles from 2% to 4%, you’ve just cut your cost per acquisition in half without spending more money. This improvement comes from the one thing an algorithm can’t fix for you: the user experience after the click.

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Good conversion rate optimization requires understanding the psychology behind what makes your audience hesitate and then eliminating that hesitation one element at a time. Landing page testing is similar to ad creative testing where it’s an ongoing process, not a one-time project. When you can create a seamless path from ad to action, that’s when your ad spend will perform better and it gets easier to scale.

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Stop measuring success in clicks – start measuring in profits

Clicks and your CPC stats won’t tell you if you’re actually making money unless you’re also measuring profits from conversions. The best PPC agencies focus on metrics that get results measurable in dollars, like profit per visitor and customer lifetime value. Today, you won’t win the PPC game by getting cheaper clicks. You need to turn customers into repeat buyers.

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This is the truth many marketers don’t get. Traffic isn’t a KPI if it doesn’t pay off in measurable dollars somewhere down the line. A campaign can drive thousands of clicks with a great CTR and still lose money if those visitors don’t convert or come back. That’s why the best PPC agencies today don’t brag about being able to get cheap traffic. They’re advertising meaningful results.

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But sometimes results can’t be measured by what clicks led to a purchase. For example, a $10 click that becomes a loyal customer who spends $1,000 over time is far better than a $1 click that buys a $25 product. That’s why it’s crucial to account for profit-based metrics like customer lifetime value (LTV), return on ad spend (ROAS), and profit per visitor. 

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PPC success is ultimately measured by how efficiently you can turn paid traffic into long-term profits. That means understanding the customer journey past the initial click. You need to know what they’ll buy next, how often they’ll come back, and what will keep them loyal. Building strategies that account for this increase the value of every customer acquired.

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Each ad is only as good as the page it leads to when clicked

The most amazing ad in the world that generates a 100% click through rate (CTR) can’t save a weak landing page. This applies to sales pages, squeeze pages, blog posts, home pages, and product pages. Wherever visitors are taken after they click on your ad needs to be just as good as your ad to convert.

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On platforms like Amazon and Shopify, your product page is everything. It’s not enough to list your product at a good price. You need high-quality, detailed photos to increase buyer confidence. And it helps to use photos of real products, not mockups. Customers can tell the difference and computer-generated mockups (including AI models) reduce confidence and are a red flag for drop shipping. If you are drop shipping, it’s worth getting professional photos taken of everything you sell.

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Rising ad costs make conversion strategy essential

It costs more today to acquire a new customer than ever before. Even if your CPC drops one month, your overall ad costs will continue to rise long-term. The only way to win here is to make every click more profitable, and that boils down to conversion rate optimization. You can’t outspend your competitors forever. You need to out-convert them.

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Digital advertising costs have been rising for years. The average customer acquisition cost (CAC) for online retailers is now between $68-$78, which is double what it was in 2013. Every year, it gets more expensive to get your ads in front of your customers. Algorithms are saturated, CPMs fluctuate unpredictably, and privacy updates (thanks, Apple) make it harder to target audiences efficiently. You can no longer buy your way to visibility.

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A strong conversion strategy converts more existing traffic without needing to increase ad spend. This is exactly why the most effective PPC agencies focus on the entire funnel, not just the top. 

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Siloed metrics kill performance

Agencies that optimize per channel (like one for search, social, display, etc.) miss how those channels work together. Most conversions come from multiple touchpoints, but many teams only credit the final click. That can cause misguided budgets and stifle growth. Brands that use cross-channel attribution or marketing mix models see much better optimization. You need a PPC agency that will optimize for whatever will grow your business, not just what looks good on any given platform.

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What the “new” PPC agency model looks like

The agencies that win today are replacing the model that sells traffic with one that sells results. They don’t focus on vanity metrics, but rather, contribution margin, customer lifetime value, etc. They’ll help you with more than just ads. They’ll fix your sales page content, pricing issues, and even your page layouts because they know ads perform best with great landing pages. The new PPC agencies are full funnel growth partners, not just media buyers.

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The New PPC Agency Model

The “New” PPC Agency Model

How modern PPC agencies differ from traditional “click-buyers” — focusing on conversions, customer value, and full-funnel growth.

Aspect Old Model (Traditional PPC) New Model (Modern PPC)
Core Focus
  • Buys and manages clicks.
  • Measures success by CPC or CTR.
  • Optimizes primarily for traffic volume.
  • Focuses on conversions, revenue, and ROI.
  • Optimizes campaigns for business outcomes.
  • Builds long-term profit, not vanity metrics.
Human Role
  • Manual bid management.
  • Relies on keyword adjustments.
  • Little involvement in strategy or creative.
  • Uses automation for bidding and targeting.
  • Humans focus on strategy, creative, and CRO.
  • Analyzes data to understand user behavior.
Performance Measurement
  • Reports clicks, impressions, and cost per click.
  • Short-term reporting cycles.
  • Tracks LTV, ROAS, and profit per visitor.
  • Measures full-funnel performance and growth.
Creative & Strategy
  • Limited testing or optimization of ad creatives.
  • Focuses mostly on keywords and bids.
  • Runs structured creative testing across formats.
  • Refines messaging, visuals, and video ads for results.
Landing Page & Funnel Work
  • Stops optimization at the ad click.
  • Does not assist with landing pages or funnels.
  • Optimizes post-click experience for conversion lift.
  • Improves page design, CTAs, and UX to increase ROI.
Agency Role
  • Acts as a media buyer.
  • Reports on ad metrics only.
  • Acts as a full-funnel growth partner.
  • Advises on pricing, content, and user journey.
  • Aligns marketing with profit-based KPIs.
Outcome
  • High ad spend, low conversion insight.
  • Focus on quantity over quality.
  • Profitable ad spend through conversion optimization.
  • Scalable growth grounded in customer value.

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Conversions, not clicks, build businesses

The future of PPC marketing is no longer about who can spend the most or manually tweak their bids the fastest. It’s about whoever can understand the customer journey and turn traffic into profit. The next generation of PPC agencies don’t sell clicks. That’s the old model. Instead, they sell you outcomes. And that’s exactly what every brand needs to thrive.

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Ready for a full funnel PPC ad strategy? We’d love to help

The age of “set it and forget it” PPC is over. Automation has leveled the playing field and brands chasing cheap clicks will be left behind. Winners understand that profit comes from performance beyond the ad and requires a landing page that builds trust and converts. 

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If your agency or in-house team is still talking about CPCs rather than profit, it’s time to upgrade your strategy. At PPC.co, we build campaigns engineered for outcomes over clicks. We optimize for conversions, revenue, and long-term customer value, and turn your ad spend into measurable business growth. Reach out today to learn how our team can transform your PPC performance into real profit.

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Samuel Edwards
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September 17, 2025
Hospitality PPC Strategies That Actually Convert

Pay-per-click (PPC) ads can generate a steady stream of guests for anyone in the hospitality industry, whether you run a hotel, motel, hostel, vacation rental, or an Airbnb. In terms of marketing strategies, PPC ads convert 50% better than SEO and it’s easier to measure than results from organic search.

But a successful ad campaign isn’t just a matter of getting ads in front of people who are looking to book right now. You can also use PPC ads to find people who are just starting to think about their getaway and those who are comparing options. An effective strategy will reach a variety of people to get bookings now, fill future pipelines, and get repeat guests.

If you’re in the hospitality industry, here’s how paid advertising can help you drive more revenue.

Funnel Stage Keyword Focus Ad Copy & Creatives Key Metrics
Awareness Broad discovery keywords (e.g., “best beaches in Florida”, “top weekend getaways”) Emotional/inspirational messaging: “Unwind by the sea”
Use scenic images and dream-like visuals
Impressions, Click-Through Rate (CTR), Engagement
Consideration Comparative keywords (e.g., “boutique hotel vs Airbnb”, “hotel amenities comparison”) Highlight features, testimonials, reviews: “Free Wi-Fi & Breakfast”
Use photos of amenities and location
CTR, Time on Site, Email Signups
Conversion High-intent branded keywords (e.g., “[hotel name] rooms [dates]”, “book hotel near airport”) Urgent call-to-action: “Book now & save”
Limited-time offers and scarcity language
Bookings, Cost per Acquisition (CPA), ROAS
Loyalty Retargeting & email remarketing keywords (e.g., “return guest discount”, “VIP upgrade”) Personalized offers: “Welcome back!”
Show exclusive perks and upgrades
Repeat Bookings, Lifetime Value (LTV), Referrals
Remarketing Dynamic remarketing keywords
(auto-populated by product/ad platforms)
Show previously viewed rooms/properties
Offer gentle discount nudges or visual reminders
Return Visits, Ad Engagement, Conversion Lift

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First things first – map the guest journey

To run a successful PPC campaign you need to understand the guest journey. Different people are doing different things at different times. For example, some people are researching destinations and others are comparing lodging, all while another group of people are ready to book. If you serve all these people the same ads, you won’t get the best results. 

1. Define your funnel stages

There are four main stages to a hospitality funnel: awareness, consideration, conversion, and loyalty. Reaching leads at each stage requires different messaging and targeting. That’s where audience segmentation comes in.

2. Segment your audience by intent

Since each lead needs to be given a different message, it’s crucial to segment them by intent first. For example, the dreamers are people who search for “things to do in X city,” “best beach getaway,” and “romantic weekend destinations.” 

The comparers search for “hotel vs. motel in X city,” “4-star stays in X city,” and “Airbnb vs. boutique hotel.”

The bookers search for a specific brand + location + dates. 

Each audience segment should be served different ad copy, different offers, and of course – different landing pages.

3. Measure results according to stage

Finally, you need to measure results in several ways, like impressions, click-throughs, content engagement, and email signups. This will give you the bigger picture regarding how your ads are working (or not). For example, to measure the conversion stage, look at bookings, CPA, and revenue per booking. For the loyalty stage, look for repeat stays or referral leads.

Once you know how you’ll segment your audience and track the results, you can allocate your budget smartly. Otherwise, you risk overspending on high-intent leads and ignoring the long-term value of leads in earlier stages of the journey.

Use a varied keyword strategy to cover all funnel levels

If you only bid on keyword phrases like “hotel room booking tonight,” you’ll miss all the people researching and thinking about their vacation. These people can convert, too, even if it doesn’t happen in the moment. They’re worth pursuing. You can capture their email, get them to like your social media pages, and you can also use remarketing to serve them additional ads.

The following are the general types of keywords you want to focus on:

·      Broad/discovery keywords. These keywords will reach people in the awareness stage. Phrases like, “Best beaches in [location],” “Top things to do in [location],” and “Travel inspiration [country].” When you use broad modifiers (like “top,” “best,” “where to stay”) you’ll attract people in the research stage.

·      Middle-funnel comparative keywords. These are phrases like, “Boutique hotel vs. Airbnb in [location],” “Hotel deals vs. motel,” and “Hotel amenities comparison.” With phrases like these, people are narrowing down their choices. The right PPC campaign can help them pick your business.

·      Branded and high-intent booking keywords. These keywords reach people further down the funnel. Phrases like, “[Your hotel name] rooms,” “Hotel in [location] near [landmark],” and “cheap hotel [location][dates].” These phrases typically provide the highest conversion rates but can be competitive, so they may cost more.

·      Negative keywords. To prevent wasted ad spend on irrelevant clicks, you can add certain keywords to your negative keyword list. This ensures your ads won’t show up when people search for these terms. Common negative keywords used in the hospitality industry include, “Free stay” and “Jobs at [hotel].” 

 

Since most hotels and motels stick with keywords that target people ready to book, you can expand your reach by running ads for people in other stages. Just make sure you have a system in place to nurture your leads so they don’t go cold. 

Tailor ad copy and creatives to each funnel stage

What you say matters just as much as when you say it. Copy that works for someone researching won’t work for someone ready to book with you. Every part of your ad needs to match intent, including the imagery, tone, copy, and offers. Here’s how to reach each stage:

·      Awareness stage ads. At this stage, people will respond to emotional and inspirational copy. Phrases like, “Discover tranquil stays in the mountains,” or “Unwind by the sea.” Use imagery to provoke desire. Beautiful views and relaxing room setups work like a charm.

·      Consideration stage ads. These people need more information, so hit ‘em with your amenities (Wi-Fi, breakfast), comparisons, reviews, ratings, and testimonials. Show them visuals of your accommodations and the local area.

·      Booking/conversion stage ads. Urgency works best here. Phrases that get people to click to book now, like “Limited rooms available,” and “Book now and save.” 

·      Loyalty stage ads. Guests who have stayed with you before, even just once, are more cost-effective to convert again compared to chasing down new customers. Create some ads for these people by highlighting perks, upgrades, and exclusive deals they can’t get through other places. For example, you can use lines like:

“Book direct for free late checkout,” “Exclusive returning guest discount,” or “VIP upgrade on your next stay.” It also helps to use personalized copy like, “Welcome back to [your hotel name].” along with imagery of your best amenities.

Loyalty ads drive repeat bookings and increase lifetime value by bringing people back. 

·      Remarketing and nurturing prospects who got away. In addition to targeting people in all funnel stages, you want to bring people back who clicked but never booked or signed up for your email list. Run retargeting ads to show them what they looked at and offer them incentives or discounts. This is a great time to leverage social proof.

By matching your ad content to meet potential leads where they are in their journey, your ads will be more relevant and you’ll get more conversions.

Optimize your landing pages

Having a great ad doesn’t necessarily mean it will drive conversions. If your landing page is confusing or the booking process is clunky, you’ll lose people. That’s why landing page optimization is often where people see the biggest gains.

As a foundation, create a specific landing page for each target audience. You need a dedicated landing page for ads that target each funnel stage. Landing pages should be simple and clear and should be free from all distractions (like links and menus) that invite a user to click away. You want one offer and one call to action.

Social proof is critical in the hospitality industry. Show guest reviews from Tripadvisor, Google, Trustpilot, etc. It also helps to show photos of real guests enjoying their stay (with their permission). Showcasing reviews will reduce anxiety and hesitation, especially for people comparing you with other options. 

If your landing pages show pricing, make sure you’re up front about all fees. Be clear about what’s included, like tax, breakfast, and service fees. People hate hidden fees. If a guest’s experience doesn’t match the impression they get from the page where they booked, they’ll probably leave a bad review.

Talk to your website developer and have them trigger a follow-up email that goes out to people who start filling out a booking form but stop. The email should show them what they left behind and you can sweeten the deal by offering a small discount or other incentive.

Having a smooth flow after a person clicks on your ad can help you convert far more prospects. Everything you can do to reduce friction and increase trust compounds.

Get your bid and budget strategies down

To get conversions, your bidding strategy and budget need to align with a variety of factors, including funnel stage and seasonality.

·      Increase bids for high-intent keywords, use moderate bids for middle-funnel ads, and go lower for awareness and discovery. 

·      Watch for online travel agents (OTAs) and large hotel chains that bid on your property’s name or similar keywords. If they undercut you in rate or bid too aggressively, you could end up with arbitrarily inflated costs per click. Research data shows this can cost around 47% more per click.

·      Adjust your bids and budget during travel seasons, events, and holidays. During off-peak seasons you may want to stick with pushing awareness. 

·      Allocate your budget proportionately across all funnel stages. 

·      Use Google’s automated bidding tool for the conversion stage, but use manual methods for the consideration and awareness stage. 

The right bidding strategy will ensure you don’t overspend for low-intent clicks or underinvest in more profitable funnel stages.

Use multiple channels and ad formats

PPC is more than search. When you use different channels and ad formats you’ll reach people in a variety of places. 

·      Search ads (Google, Bing). Search ads capture high-intent demand users. They’re great for the conversion and compare phases and can make use of extensions like call, location, and reviews.

·      Display and discovery/native ads. Display ads are excellent for the awareness stage. They reach people browsing travel blogs and using apps. With these ads, visuals are everything.

·      Social media ads. Platforms like Facebook, Instagram, YouTube, and TikTok are great for the awareness and consideration stages. They’re especially powerful for remarketing.

·      Video ads. Short-form videos can stir emotion, show off ambiance, and be used to create a mini virtual tour. These ads are great for top and middle funnel prospects.

·      Email ads. If you’re using email marketing, offer loyalty deals and off-peak discounts.

Paid search on social media converts better in hospitality than it does in other industries.

Leverage local targeting

Location matters in hospitality. Geotargeting can significantly improve your conversions and reduce wasted ad spend. You can use radius bids and location extensions to target people looking for accommodations within a certain radius. 

It pays to bid higher for people in feeder markets and origin cities during the holidays. You can also target departure cities for Arbnbs if that’s relevant to you. 

In your ad copy, include local cues like “Only 30 mins from downtown,” and “15 minutes from airport. If you know your audience well, include the origin city (“Fly in from Seattle & Stay with us just outside Olympia”).

When offered by the ad platform, use local extensions to note your address, phone number, and any other elements offered. This will generate more bookings from mobile users.

Go deep with retargeting

Most people who click your ads or visit your website won’t book right away. Retargeting will help convert these “warm but not ready” leads into guests eventually. 

When you target people who visited your site without converting, show them ads with refreshed offers like a free breakfast or an upgraded view. Visual reminders will help bring them back. 

Show the specific rooms and properties to the prospect so the ad feels personalized. Use tools like Google dynamic remarketing and Facebook Product Ads. 

For guests who did convert, show them additional special offers and upgrades. Keeping them in your funnel will make future conversions easier. 

Monitor ROI, adjust, and scale

It’s crucial to know when to pull back, push forward, test more, or scale. 

·      Define clear ROI goals. Know your target Cost-Per-Acquisition (CPA), Return on Ad Spend (ROAS), and guest Lifetime Value (LTV). If your ad spend yields bookings but loses money, it’s not working. 

·      Perform weekly and monthly audits. Refine keywords, ad creatives, and keep testing.

·      Scale what works. Once you have a campaign producing consistent returns, increase the budget there while watching for diminishing returns.

·      Adjust your offers and pricing. If conversion rates drop or your CPCs rise, start offering special packages like early-bird deals and loyalty perks.

The average travel and hospitality conversion rate for search is 3.55% so if you’re under that, there’s room for improvement. If you’re over that, scale carefully.

Ready to unlock powerful PPC performance?

If you’re ready to transform your PPC campaign into a reliable machine that fills your rooms and builds a solid pipeline for the future, we can help. At PPC.co, we specialize in creating full funnel PPC strategies for hotels, motels, and Airbnbs that convert into bookings, repeat guests, and long-term loyalty. Contact us today and let’s craft a PPC strategy that drives bookings and turns first-time guests into lifelong customers. 

 

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