With 200M of users, Google Ads has become the world’s largest advertising platform. How should advertisers spend wisely and deliver online ads more precisely? We are about to share with you our own experience, and help you avoid wasting budget and achieve a higher conversion rate.
1. Optimize Ad Rankings by Improving the Keyword Quality Score
First, let’s talk a look at the ad ranking formula and how does it determine Ad position
Ad Rank = CPC Bid x Quality Score
AdRank has historically been calculated based on your Max CPC and quality score, as Google describes it, “if two competing ads have the same bid and quality, then the ad with the more positive expected impact for extensions will generally appear in a higher position than the other.”
The next question comes to how to calculate Quality Store, quality score is Google’s rating of the quality and relevance of both your keywords and PPC ads.
Quality Score = PPC x Ad text relevance x Landing page experience
If your ad appears is positioned higher in the first page of a google search, there’s a greater chance that people will click on your site. When you get more clicks from the users, it means that you’re getting more attention from your ad, and your ad has provided useful information for people who are searching for a solution. If your ad rank remains low, besides bidding higher, try to go back and review the content of your ad and do A/B Testing on your text ads. Sometimes it’s best to follow the results based on data, instead of going with your instinct.
The ad relevance is based on how close the connection between the keyword and ad copy is. For example, if you google searched “10kg dumbbells” and two ads showed up in your search result which are —
A: Arnold Sports Equipment l Stainless Steel Dumbbell l 10KG l Free Shipping
B: Weight lifting maniac l Workout Equipment e-Commerce l Free Delivery
It’s pretty obvious that A has a higher ad text relevance to the keyword. To improve ad text relevance, start out by ensuring the top keywords are in your ad copy and try to incorporate these into the headline, body, and display URL.
A great landing page experience is essential if you want to turn clicks into conversions. Your landing page should be easy to navigate and the advertised product should be featured clearly on the landing page; with product photos, product description, price and how to purchase; the page speed of your landing page is also an important factor to good landing page experience.
2. Optimize Keyword Impression Share with Quality Search Ads and Get More Impression with The Same Budget
Based on Google’s explanation “Impression share (IS) is the percentage of that your ads receive compared to the total number of impressions that your ads could get.”
Impression share = impressions / total eligible impressions
If your keyword bids are too low, you might risk your ads not appearing on the first page, and lead to missed opportunities for impressions, clicks, and conversions. Make sure your bids are high enough to keep your ads in competitive positions. Your ad’s impression share can also be improved with better ad quality, start off with improving the ad text by making it as specific and relevant as possible to the keywords.
3. Optimize Ad Budget and Spend Wisely to Achieve Maximum ROI
To achieve maximum ROI, it’s logical to allocate most of your budget on ads that have a higher conversion rate; raise the bid on devices that have a higher ROI. If 70% of the conversions are from mobile devices, raising the bid on mobile devices to get more impressions can have a positive effect on the conversion rate. At the same time, you can adjust the biddings based on the conversion rate of different locations, to get a lower CPA.
4. How Frequent Should You Monitor Your Ads?
After you just created the ad, the first thing is to make sure it meets Google’s criteria and it’s up and running. Check on your ads after a couple of hours to ensure it’s getting impressions and the budget is running normally. Once your ads have been running for more than a week or two, you can review the collected data within the ad period; monitor how effective your keywords are, and optimize your ads based on that.
To be clear, every campaign should be monitored and optimized as much as possible. Assuming that your campaigns are a relatively small account (under 5 campaigns) then the time that needs to be invested is roughly 3-4 sessions per week. Once you’ve got a regular schedule, you can look into these few factors to tweak and adjust.
– Conversions: How many sales you have generated? Did you make any profit from the campaign? Ask these questions and if any of the answers aren’t positive, then you need to make some quick decisions to ensure that negative turns into positive.
– Keyword: A poor performing keyword will have a low CTR and high impressions. Look for the number of clicks vs conversions – are people clicking through your site repeatedly but not buying? Find out why!
The expense of digital advertising can be expensive with little outcome. Try to optimize your ad performance without adding the budget and see what will happen. If you really don’t have the time and resources to do so, with SHOPLINE’s Shopping Ads Plan, we’re helping our merchants to deliver ads that actually lead to conversions. Get more details at → SHOPLINE URL