Improve ROI with Good Management
June 18, 2009
ROI stands for return on investment and this is one of the basic things that you will need to monitor when you run a PPC advertising campaign. A good campaign will bring you a high ratio of ROI for the amount of money you are spending on click through.
By utilizing good managerial skills, you can maximize your ROI. Remember, a neglected campaign will eventually stop performing. Trends change, and in order to make money from your campaign, you need to keep up with those trends.
There are 3 areas that need to be managed in a PPC advertising campaign; keywords, bidding and your actual advertisement. Keywords can be tracked by the PPC engine software. Google has particularly good tools for doing this. Bidding can also be checked with these tools. Your ad can be split tested to ensure maximum performance.
ROI is all about how well keywords are converting to sales and how much you are spending per click. This will be your profit and ROI. PPC advertising campaign management will make sure that you get the maximum ROI.
In order to find this out you must calculate the amount of clicks it takes, on average, for a keyword to produce a sale. This will often range from 1% to 5% depending on how effective your campaign is. This means that you will make between 1 to 5 sales per 100 clicks. Next you must see how much 100 clicks are costing you. For example $1 per click will be $100 but 5c a click will only cost $5 per 100 clicks.
Lastly you will add up the amount you will make when you make a sale. If you are selling digital products you will make close to 100% of the profit from the product. With hard goods you will need to take out the cost of the product plus drop shipping fees or shipping and handling. Once you have calculated the profit from the sale, you will then subtract the cost of the clicks needed to make the sale. This will be your ROI.
Although PPC advertising campaign management can be quite time consuming, it is necessary if you want to achieve an optimized ROI. Keywords will need to be analyzed to make sure they are in the correct position for their performance. A strong performer which is currently in a low position should probably be moved up in position to achieve more sales and profit. On the other hand, a weak keyword in a high position is wasting money. It will need to be dropped in position or put on hold all together.
By keeping track of your campaign you will be able to achieve a maximum ROI. All it takes is a bit of time and attention to succeed. If you do not work on your campaigns you will be losing potential for profit and essentially losing money. So if you want to really succeed with your PPC advertising campaign, you need to manage it.
Tracking Your PPC Campaign
June 17, 2009
A large part of PPC advertising campaign management consists of tracking different aspects of your campaign. When you do this you will be very sure what keywords are drawing the people and which ones are pulling in the targeted visitors and sales. There are several ways that you can track your PPC campaign.
Using the PPC engine tracking system is a good way to track your PPC advertising campaign keywords. It will show you how much traffic each keyword is bringing in. This is important because you can judge the value of each keyword in this way.
Some software at the PPC engine will allow you to track sales conversions. This shows you how many clicks will produce a sale. You will be able to assess how much it costs to make a sale. In this way you will be able to know how well each keyword is performing. You can adjust bidding prices and keywords according to the results you are getting.
Website stats are a good way to see how much traffic is coming to your website. You can also see which page visitors are coming to more frequently and how long they are staying. This helps you to monitor your campaign in greater depth. It will also show any sales that have been made and when the visitor came to your sales page.
Landing pages that are attached to your campaigns are good for tracking traffic and can help you to see what sort of sales conversions you are getting. You can set up one for each campaign so that you can get a more accurate picture. This takes a little time but your increased profits will make it worth it.
In order to effectively track your PPC campaigns, you should be recording all of your results. The easiest way to do so would be in a spreadsheet. By keeping track of all your past results you will be able to judge the successfulness of any adjustments you make.
Keeping track of your campaign is crucial to maintaining a successful advertising campaign. Google Adwords, as well as other PPC engines, offer a variety of useful tools and tutorials to help you with various aspects of PPC advertising campaigns. When you start out in PPC it is recommended that you read this information carefully so that you will have a better knowledge of how the business works and how to make a successful campaign. The engines also offer a knowledgeable staff there to assist you should the need arise.
Sometimes you do not have the time or skills to track each and every area in your PPC advertising campaign. This is when you might consider a professional PPC management service. You can find these services in Google search. Remember to check them out carefully before signing on any contract. The money you invest on a good service will soon be realized in added profits, when you manage your PPC advertising campaign on your own you often leave money on the table.
Bidding on Keywords
June 17, 2009
PPC campaign management is a vital part of your advertising campaign. You will need to keep an eye on your PPC campaign if you wish to make serious money from it. An area that requires attention is the amount you are bidding on a keyword.
Proper bidding on keywords is absolutely vital to a campaign since it will determine the placement of your keywords. Since studies have shown that searchers very rarely see more than five pages of search results, you will want to get your ad on the first three to four pages. This being said, you should remember not to go overboard trying to get that #1 position. With six to ten ads on the first result page, you can get a lower position for cheaper and still have a great position on the first page.
Improper bidding can cause you to lose a great deal of money. If you find yourself in bidding war, you need to analyze just how much the top spot is really worth. If your product has a great profit margin and you can afford to spend a bit of extra money on a great position, then maybe you can partake in a bidding war. If not, avoid them at all costs. They will usually end up losing you money.
Another factor you need to consider when bidding is profit point. If you are paying more for clicks than you receive for the sales generated by those clicks, you are losing money. By analyzing you sales conversions and your profit per sale, you will be able to come to an appropriate bid which will maximize your profits.
Without good bidding, your campaign can never live up to its potential. Poor performers in too high a position will cost you too much money. At the same time, if a keyword is doing well in a lower position, it probably means that keyword is hot. When this happens you will want to increase your bid and get that keyword into a higher position so you can make more money.
Make sure you keep your PPC advertising campaign’s keywords in control. Things can pick up pace quickly and you will find yourself out a considerable amount of money. Because of this, PPC engines offer daily budgets which can help to limit losses. These help in the beginning of a campaign as you tweak and optimize the campaign. They will save you money and can be removed at anytime.
Learning Proper Management of Your Keywords
June 15, 2009
You may think that once you have a PPC advertising campaign put together there is nothing left to do but collect the money. This, unfortunately, is not the case. Even after establishing your campaign there is a lot of work to do. Maintaining a successful campaign will require a lot of management of various areas. One such area is your keywords.
You will be using two different types of keywords. These are general, broad ranged keywords and the more targeted keywords.
The general keywords will be the ones which attract a lot of traffic but will generally lead to few sales as they may not actually be interested in your product. These keywords will be a much vaguer version of your desired field.
People using the niche keywords are more interested in your specific field. However, the niche keywords generally attract much less traffic. This decrease in traffic is usually offset by an increase in sales conversion.
This basic understanding of keywords will help you manage you PPC campaign. A lot of the time, a struggling campaign can be caused by poor keyword performance. You need to make sure that a keyword is not only bringing people, but also sales. Without the sales, you may as well be flushing your money down the toilet.
Use your PPC engine’s tools to track the amount of traffic being drawn in by you keywords. This can be done for each separate keyword for your campaign.
Next you will examine the conversion rate of the keyword, how many clicks convert to sales. As mentioned above, general keywords will have a lower ratio, with high traffic and niche keywords a higher ratio, but with less traffic, you need to assess the worth of each keyword. Remember every click costs you money.
Next you will want to compare the price of your clicks against the number of sales generated per click. This will give you a good idea of your profits. If you feel a keyword is not performing well enough, you will want to make some adjustments to maximize your potential.
Keep in mind that just as with many other things in life, keyword trends frequently change. What was a hot keyword yesterday could end up not performing at all tomorrow. Because of this you will need to keep watch on your keywords and analyze their performance.
Any keyword that is not pulling a profit needs to be analyzed carefully. Poor performing keywords need to be evaluated, using the criteria mentioned above. If necessary you will need to adjust the keywords. Do not delete them as search trends may vary and make the keywords useful again. Instead try to pause them and if necessary replace the keywords for better ROI.
PPC Ads Should Be Checked Frequently
June 12, 2009
Another area of concern in a PPC advertising campaign is how your ad is constructed and whether it is pulling a good crowd to your website. You will also need to attract visitors that are interested in your product and services.
The ads of your PPC campaign are essentially small classified ads. They are built the same way, with a headline, body and call to action. The first, and most important, part of your ad is the headline. You will want something that grabs the reader’s attention and draws them in further. Then, with the body, you will state one or two of the benefits of your product. You will then end the ad with a call to action, directing your potential customer to your sales page.
By utilizing split testing, you will be able to compare two ads and make improvements in order to create the most efficient ad possible. First you will create 2 ads, each linked to separate campaigns. Each ad will lead to a different landing page. This will allow you to view the statistics of each ad independently.
After some time you will see which ad is the strongest. You will then try and tweak the weaker ad to outperform the first ad. Once you reach this point, you can replace the weaker performer with a new ad and repeat the process. This will be continued until you feel you have the perfect ad. This process will take time, but the increased profits will more than make up for the time.
Your ad needs to be built around the main keyword of your campaign. This ad will then promote that which you are selling, or used for an affiliate program. However, the use of affiliate programs is not allowed by all PPC engines.
When you create your ad try to be very sure that it will bring targeted people to your website. If your traffic is not targeted you will find that you get a lot of traffic but no sales. When you take into consideration that every click costs you money you want to have the highest sales ratio to clicks as possible.
In order to keep potential customers coming to your site, you will need to keep making adjustments to your ads. In order to help you do this, Google Adwords offers a variety of tools and tutorial to aid in the management of your ads and your entire PPC advertising campaign.
The three most important aspects of any PPC ad campaign are keywords, bidding and ads. While most people will continue to tweak keywords and bidding, they will often neglect their ads. This creates a lot of wasted potential and will lose you money. A strong ad can mean the difference between success and failure.







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