When it comes to Pay-Per-Click marketing, advertisers are inundated with an endless list of metrics to track and measure. That’s because, unlike other traditional methods of advertising, PPC offers some fantastic ways to keep tabs on every aspect of a campaign. There is no denying the fact that PPC ad campaigns are data-driven to the max.
This also makes it easy for marketers to lose themselves in all the clicks, impressions, and other rates that may or may not make a real difference to the bottom line. After all, not all metrics are equal.
This begs the question: which figures are the most important to monitor?
There isn’t a one-size-fits-all answer because the most critical metrics vary according to the goals of a PPC campaign. Still, there are a few KPIs that are fundamental for the success of every campaign.
Here are the top metrics and KPIs to monitor:
The number of conversions resulting from a campaign is almost always the first priority of an advertiser unless their objective is only brand awareness. Ultimately, profits start with conversion, so it’s the number one priority of any business.
To measure the conversion rate, divide a campaign’s conversions by its total clicks.
For instance, a campaign with fifty clicks and five conversions will give a conversion rate of 10% when expressed as a percentage. Even though conversions are significant for campaign managers, they sometimes create campaigns optimized for clicks instead.
A click is the starting point of any conversion, making it a preliminary success indicator of a PPC campaign. It takes into account the number of people who clicked on your ad.
These clicks help campaign managers tweak their approach from time to time, even during a campaign’s running time. They can check on ads’ clicks throughout to see which are performing well to put more bids on them and pause those ads completely that are not faring well.
For mid-month performance measurements, clicks are a handy KPI, but of course, you cannot rely on just clicks to determine a campaign’s success.
Similar to how your clicks generated in a campaign measure its performance, CTR plays a vital role in determining the success of a campaign’s performance.
It is measured by the division of the total number of clicks generated by your campaign in a particular period from the total impressions. So, for instance, if your ad got 150 clicks and the total impressions were 1,000, then your CTR is 15% in that case.
It is essential to understand that a perfect CTR does not exist because industry types and other variables affect the PPC performance.
According to 2018 research, the differences in the average CTR of the auto industry and the dating and personals industry were 4% and 6.05%, respectively. So, suppose campaign managers rely entirely on these numbers as a benchmark for their CTR success. In that case, they will overlook the analysis of other variables that affect their campaigns differently.
When you compare CTR from other similar campaigns, they provide a good benchmark for improving upon.
One of the most difficult KPIs to measure is the Quality Score. Created by Google, this metric aims to point out your ad content’s relevancy with the help of CTR metric and more performance variables such as landing page experience.
However, it is difficult for advertisers to understand this metric because it is not as straightforward to measure as other KPIs such as clicks.
Google can evaluate an ad’s quality score with the help of expected CTR, ad format, ad relevance, and landing page experience.
When it comes to measuring the Quality Score, Google is upfront about its process and importance. In 2017, Google improved on how it reported Quality Score in Google ads, though the following aspects need to be kept in mind:
If you pay less money to Google Ads for campaigns, you will get a good Quality Score ranging between 7 and 10. However, if you pay more for ads, you will get a bad score of 6 or lower.
With a change in the Quality Score reports, advertisers found it easier to use it in Google Ads along with the provision of KPI’s historical data. Such insights are precious for advertisers to come up with better campaign decisions.
Advertisers are always highly interested in how they can improve the Quality Score as a means to determine the cost they pay for every click.
Additionally, Quality Score can influence KPIs like CPA and CPC.
PPC advertisers usually have a set budget that guides them on how to spend on an ad campaign. However, the bid and budget they specify for a PPC campaign are not guaranteed amounts that they will end up paying.
Advertisers place a higher bid than their competitors to get ad positions but pay a bid price second to it. As a result, your competitors in a PPC auction determine the cost of the ad you put up and the clicks it generates.
If you want to know the exact amount an advertiser pays for a campaign, calculate the CPC. Divide a campaign’s total cost by the number of clicks that ad generated.
To manually calculate your campaign’s cost, multiply a campaign’s clicks with the CPC.
In addition, you should think about methods for reducing your cost per click.
For advertising campaigns, you can come up with a cost per acquisition (CPA) which is the cost of acquiring a new customer. You can determine the CPA when you divide the total conversion costs by the total conversions.
Sometimes advertisers also opt for a bidding technique for a campaign to use a targeted CPA. This helps them use a CPA according to their budget with an automatic bid setting to get maximum conversions.
It is essential to have conversion tracking, know various bidding strategies and have a minimum of thirty to fifty conversions within the past 30 days of using a targeted CPA.
We all know impressions matter a lot where ads are concerned, and it doesn’t include them clicking on it. So the number of impressions for a campaign won’t indicate its success because there is no way to tell your ad’s effectiveness on your audience.
However, with the help of impression share, you can determine the number of impressions your campaigns generate. It is calculated when you divide your campaign’s total impressions by the impressions it was eligible to have.
If you want indirect yet competitive insight, impression share is a key metric you should have an eye on. For instance, if your impression share is 50% for some keyword, you can determine that the rest of the 50% is with your competitors.
You can reduce your competitors’ ad display by increasing your impression share. On the other hand, you’ll have to improve your bids to improve their impression share.
Whether search results for a query are paid or organic, Google has a way to balance them both. Google and Bing ads are displayed on top of the results page. The first one is at the highest position, the next one underneath that, and so on.
Advertisers determine the usual position of their ads with its average position. It is important to understand that Google doesn’t always place the highest bidders’ ads in the first place, for which they use the ad rank to figure out the average position.
You can find out the ad rank when you multiply Quality Score with the maximum CPM of an advertiser. However, this is an average, so even after calculations, you can’t tell your ad’s exact position.
It is natural to aim for the first position, but this is just to satisfy numbers because it doesn’t guarantee results.
It is also possible for some advertisers to get more conversions while in the fourth position than the first one. Hence, the average position should only be used as a point of reference but not as a target indicator as it doesn’t necessarily give the information you want.
In addition, it will also benefit to look at how Google Ads extensions perform relative to the normal listings in your campaign.
More often than not, paid marketers have a monthly budget they need to follow for an ad campaign. To what extent they achieve the budget they were given is determined by the budget attainment.
However, many PPC marketers don’t measure their PPC performance based on budget attainment, even if it provides a lot of information regarding their campaign’s management.
It is not easy to bid regularly and optimize results when PPC auction variations require continuous oversight. This is why marketers end up overspending or underspending on their budget frequently.
Nonetheless, PPC marketers should consider budget attainment as a valuable KPI.
A highly significant indicator of a PPC marketers’ skills and account health is the Lifetime Value (LTV). However, it is slightly complex to calculate a paid searches’ CLV.
When companies acquire customers through paid search and retain them for a longer time, they make more revenue.
LTV can be measured in several ways, even though it evaluates a customer’s lifetime with a business’s product. For instance, a large company such as Target will have a complicated LTV due to several aspects to it like customer retention rate, applied discounts, customer lifespan, etc.
PPC marketers generally avoid such calculations, but this KPI’s measurement could be precious for other departments.
There are many KPIs that you can use, and you might be tempted to use all of them. It is essential to understand your campaign and carefully choose metrics that suit it best so you can optimize them and get better results.
Chances are that your goal is to bring more traffic to your website, increase sales and enhance brand awareness through various campaigns. Understand what works for your campaign and what doesn’t, based on the KPIs you track.
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Most marketers love Google Ads.
We're no exception.
But we totally understand that businesses in certain industries sometimes have a deep resentment of Google Ads and their restrictive policies.
Google's policies for advertising are generally intuitive and straightforward, but for certain regulated and sensitive categories, the standards are much higher and less clear. Pharmaceutical companies, gambling websites, political campaigns, and other industries often struggle to get their ads approved consistently.
In fact, if you don't know what you're getting into, trying to advertise as a business in one of these categories can be a recipe for disaster.
How are you supposed to use Google Ads effectively if you belong to one of these regulated or sensitive categories?
Sensitive and regulated categories in PPC advertising face a number of challenges, including:
· Stricter guidelines. Most PPC advertisers are familiar and comfortable with basic Google Ads guidelines. But if you belong to a regulated or sensitive category, you'll have far more guidelines and more nuanced guidelines to deal with.
· Higher scrutiny. Google pays much closer attention to ads in regulated and sensitive categories, meaning you face closer scrutiny when your ads start circulating. Reports will be investigated quicker and much more strictly, and even minor violations can work against you.
· More ad disapprovals. Similarly, ads are much more likely to get disapproved in these categories. You'll face an uphill battle as you try to get your ads circulating.
· The risk of suspensions. Businesses in these categories also face the risk of frequent, ongoing suspensions. This trend is also worsening; in fact, in 2023, Google Ads suspended more than 12.7 million advertiser accounts – doubling their actions over the previous year.
This makes it much more difficult to advertise effectively and secure a positive return on investment (ROI). Additionally, failing to adhere to Google’s advertising policies can hurt your company's reputation and compromise your long-term potential for success.
The most important thing you can do to improve your results in a regulated or sensitive category is to plan for a sustainable, long-term strategy. Every year, thousands of business owners in these categories attempt to fool Google, find clever ways around its policies, and devise techniques that allow them to cheat the system.
These approaches can usually work temporarily. You can cheat your way into the listings and generate some traffic to your landing page.
But inevitably, these techniques fail, and they can ultimately get you blacklisted.
You're much better off taking the slow, steady approach, following the rules even if it means compromising your advertising effectiveness in the short term. Think about the long-term consequences and possibilities of each decision you make.
There is some good news here.
Google isn’t shy about publishing its advertising policies.
If you're willing to do the reading and research, you can thoroughly understand what Google expects from regulated and sensitive categories like yours – and you can easily adhere to the guidelines.
Well, maybe not “easily,” but reliably.
Generally, Google splits content into two types:
· Restricted content. Restricted content is sensitive content that is subject to more regulations. You must precisely comply with requirements for copy, images, website content, and more if you want to remain in circulation.
· Prohibited content. Prohibited content is totally disallowed. You cannot include it without facing significant consequences.
Unfortunately, we can't give you a big list of all the rules you need to follow, as the rules are different for various industries. Some of the most popular industries and categories that face steeper restrictions include:
· Pharmaceuticals and healthcare products
· Weapons and explosives
· Financial services (including cryptocurrencies)
· Gambling/games of chance
· Alcohol, tobacco, and similar products
· Political ads
· Adult content and services
While there are certainly commonalities between regulations across these categories, each category has its own unique blend of restrictions and rules to learn. For example, pharmaceutical businesses require formal certification from Google and are only allowed in some countries. In the financial services industry, you'll likely need a specific license, and you'll need to provide adequate disclosures for your products and services.
The more intimately you know these rules and regulations and how they apply to your industry, the more likely you'll be able to advertise successfully. Don't advertise until you're sure you understand all applicable Google Ads policies.
One other important note here: you need to stay updated.
Google isn't stagnant, and its advertising policies are constantly in flux. Accordingly, you need to stay abreast of recent changes and update your ad approaches in line with them.
The easiest way to do this is to subscribe to Google Ads policy updates, but you should also regularly engage in Google Ads forums. If you're lucky enough to have a representative, maintain open and transparent communication with them and stay in touch regularly; they can be a massive benefit for businesses in regulated and sensitive categories.
The more research you do, the better. You need to thoroughly understand your advertising landscape before you try to thread this needle.
· Google Ads policies. Obviously, read and understand Google Ads policies as they relate to your industry. We mostly covered this in the previous section, but it's part of the research you need to do.
· Licensing and certification requirements. Even if it's not specifically required by Google, it's a good idea to get any appropriate licenses or certifications. It's a mark of authority and trustworthiness that might save you if any of your ads are reviewed for potential policy violations.
· Laws and regulations. Similarly, violating any laws and regulations in the country where you're advertising could be grounds for ad removal or account suspension, even if those violations aren't specifically listed in Google Ads policies. Always ensure legal compliance before advertising with Google.
· Competitor advertising. It's also a good idea to research your competitors. It's very likely that businesses similar to yours, in the same category, are already advertising successfully. Look at what they're doing. How are they phrasing things? Which disclosures are they including? Do you notice anything missing? You can learn a lot simply by studying previously successful ads.
· Market research. The success of your Google Ads largely depends on your ability to successfully target and appeal to your demographics. If you're properly informative and persuasive, with relevant messaging to the people you're reaching, you're much less likely to face reports, removals, and suspensions. Accordingly, you need to do a deep dive into market research so you better understand your target demographics and can appeal to them with relevant content. If you don't have buyer personas, develop them. If you don't know what your target audience is struggling with or what they want to, pause your ads until you figure it out. There are no shortcuts here, so do a deep dive into your market research if you want a reasonable chance to succeed.
When creating and preparing new ads, make sure everything is compliant, including your copy, your images, and any of your website content.
Remember that the rules and restrictions vary by industry, but these are some general rules that can help you get started:
· Stick to the facts. Don't exaggerate. Don't embellish. Certainly don't lie. It's important to stick to the facts as closely as possible, even if it makes your ad a bit stoic or “boring.” Purely factual advertising rarely gets removed.
· Avoid prohibited or sensitive terms. Review prohibited and sensitive terms that apply to your industry, and avoid those terms like the plague. Consider creating a list of alternatives that you can rely on instead.
· Be transparent. Be absolutely transparent with your target audience, even if you're forced to reveal things that weaken the appeal of your products and services. Offer disclosures when required, and potentially when not required if they can boost your credibility.
· Adopt a serious, professional tone. Don't play with fire. Your best course of action is to adopt a serious, professional tone across your ads. It's much less likely to be reported, and it will seem more authoritative and trustworthy.
· Eliminate sensationalism. In line with this, eliminate all forms of sensationalism. Graphic or revealing content, exaggerated claims, and other techniques designed to evoke strong emotions are probably going to work against you.
· Focus on using images for context. If you're going to include images, make sure they provide meaningful context. Advertisers sometimes select images based on how easily they grab attention or how exciting they are, but this is a surefire way to fail if you belong to a sensitive or restricted category.
· Include warnings if necessary. If there are any warnings that are relevant to your products and services, include them. More information is typically better in matters like these.
· Leverage the power of AB testing. The more relevant and effective your ads are, the more likely they are to succeed. Leverage the power of AB testing to learn more about what your audience wants to see and how to give it to them.
Don't forget about your landing pages.
These are important to Google as well.
If your landing pages deviate from Google Ads guidelines, or if they contradict what's in your ads, it could work against you.
These are some tips to get you started:
· Keep it relevant. Always make sure your landing page is completely relevant and in line with whatever is included in your ad. If users click your ad and find something unexpected, unpleasant, or otherwise jarring, Google might take action.
· Issue disclaimers and warnings. This is an opportunity to double down on disclaimers, warnings, and important disclosures. Err on the side of caution and make these prominent to show that you're in full compliance with both Google Ads policies and laws in your area.
· Make your business information accessible. Make your business information transparent and accessible. Offer your brand name and business location information, and give visitors some way to contact you, preferably via phone and email. It's a sign of trustworthiness and it can proactively resolve potential disputes.
· Be straightforward and transparent. Everything on your landing page needs to be straightforward and transparent. Follow the same rules you did for your ads, and avoid exaggerations and sensationalism.
· Double check Google Ads requirements. Always double-check Google Ads requirements when constructing your landing page. You should fulfill or comply with each item on your landing page to be safe.
You've already done significant market research, so make sure you apply it correctly. Target your audience very specifically so that your messages are only shown to people for whom they are relevant. If someone outside the scope of your target demographics sees your ads, they'll be much more likely to issue reports – and your ads will be much more likely to be removed. It's especially important to target people in the right geographic area.
There are some Black Hat techniques designed to circumvent Google Ads rules and regulations, or otherwise give you an unfair advantage in a sensitive or restricted category. These techniques typically violate Google policies and are largely considered unethical by the advertising community.
One of the most prominent examples is cloaking. Using one of several techniques, cloaking can allow you to advertise to audiences with content different from what you showed Google for approval. It's obvious why this is potentially beneficial, but it's also obvious why this is unethical.
As you might imagine, these techniques can work temporarily. They can give you a significant short-term advantage, allowing you a better strategic position and potentially more ad opportunities. However, if you use them, you could get your account suspended, or even permanently blacklisted. Even if you evade that, you could ruin your company's reputation and jeopardize your long-term results.
Do not follow these strategies. If a PPC agency recommends any such strategies to you, fire them.
They simply aren't worth it.
Navigating the world of Google Ads isn't easy.
In fact, it's stressful and incredibly difficult if your business happens to belong to one of these sensitive or restricted categories.
The good news is it's much easier to be successful when you work with a PPC advertising agency that has experience creating and managing ads for a business like yours. We're deeply acquainted with all the rules and restrictions you need to worry about, and we know how to make target demographics like yours convert.
If you’re ready to get started with a free consultation, contact us today!
When you want to use paid search marketing platforms, Google Ads often leads the list. Because of its versatility, simplicity, and popularity, it’s obvious why it’s a popular choice. But when you drop all of your PPC advertising money into one marketing strategy, you could lose some leads.
That’s why some businesses explore paid advertising marketing outside of Google, with many turning to Linkedin Ads.
Google Ads and Linkedin Ads are highly efficient ways to market your products and services to businesses and consumers. But each marketing channel has its advantages and disadvantages. Whatever you choose, make sure you discuss the matter with your web development company.
Below is a closer look at each option.
We think it’s reasonable to conclude that Google reaches a vast audience worldwide – its ad reach is a stunning 4 billion people. Google search handles about 70% of desktop searches, and many companies report that they get about 90% of their organic traffic from the search engines. Also, up to 95% of the mobile search market comes from Google.
People use Google’s search a lot, and having the ability to target search terms with specific search ads is a massive benefit of Adwords. People tend to search for very specific things in Google, so if you can customize your Google advertising for your targeted audience, you’ll receive plenty of leads.
So, we can assume that most people’s targeted audience uses Google to some degree. That’s a massive advantage for companies when they want to target an audience.
However, businesses that want to narrow down their search may have issues getting their Google ads settings right with both Google Ads. And if you blunder when segmenting your audiences, your digital ad campaign could suffer.
LinkedIn features a narrower audience – 500 million users – namely businesses and business professionals. But this more limited audience makes it the perfect place for effective B2B marketing. LinkedIn lets marketers serve online ads to decision-makers and vital audience members in several ways.
Summary: For B2B firms that want to reach decision-makers, Linkedin is a terrific advertising platforms. If your B2C company intends to increase its reach, Google Ads could be the best fit.
When you target your audience with Google Ads, you have a few options: location, affinity, technology, buyer behavior, demographics, and interactions with your app or website.
No matter how much you know about your buyer, you may struggle to avoid clicks from worthless leads that cost too much.
In some cases on Google, people may not even know what they’re looking for. You can try to advertise to your desired targeted audience on Google Ads, but it can be challenging to get to the precise people who will most likely buy what you sell.
When people sign up for LinkedIn, they usually provide many details, such as their occupation, title/job title, experience, industry, education, interests, and more. All of this information can be leveraged for great advantage when you start your marketing campaigns.
Also, LinkedIn users can join many groups, start conversations, and obtain followers. The data is priceless when you want to target a specific audience and market to them. LinkedIn also has a Matched Audience that helps advertisers match their email marketing lists and website visitors with users on LinkedIn.
Many marketing experts think that LinkedIn Ads offer more value. LinkedIn has refined targeting, and you can make your product known to them so that you can tell them about something they didn’t know existed.
Summary: For B2B and B2C companies looking for a broad audience, Google Ads has enough targeting features. But for B2B firms that want to target specific groups, LinkedIn Ads has about 100 segmentation methods for micro targeting.
When you want lead generation, Google Ads has a broader reach and is the most effective. First, you can bring in a lot of prospects to your site without breaking the bank. The audience you’re after on Google visits the search giant with the idea to find the best product or service. This makes generating leads easier.
Getting leads from LinkedIn can be more challenging. Users of the platform may sign in to read industry news or talk to group members. No matter how perfect your ad is, viewers may not be in the mood to buy anything.
That said, Linkedin has a way to target ad leads through in-site messaging, which can generate plenty of leads.
When it comes down to dollars and cents, LinkedIn Ads usually are more pricey than Google Ads. As in Google, you can select cost-per-click or cost-per-impression.
LinkedIn also features a cost-per-send for InMail advertising. Typically, you’ll pay about $5 for each click, $6 for 1,000 impressions, and .80 for each send.
With Google Ads, the average CPC is $1. But to leverage that low cost, you need to work on your audience segmentation. If you don’t your ROI may be below what you want.
Summary: Advertising budgets for each platform depends on several factors. On average, Google Ads cost less than LinkedIn Ads. If your B2B company has a tight budget, you may want to focus on a limited variety of LinkedIn ads instead of a broad range of Google Ads.
So should you advertise with Google Ads vs LinkedIn Ads? Yes!
What we mean is, it depends. The correct choice depends on your budget, product or service offered, marketing goals, and target audience. You should not assume that when you need a digital marketing campaign, Google Analytics Adwords is the only choice.
It’s critical to evaluate the market, understand who your buyer is, and make a data-driven decision about the best marketing platform to reach your well-defined goals. One type of company might do better with Google Ads, and another may find LinkedIn Ads preferable.
The great news is you don’t need to choose between the two platforms. Many businesses use both, as well as Facebook, Instagram, and others. If you have the budget, it may pay off to diversify your paid search advertising to get the best ROI.
