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We have been testing out adwords over the last week.  We have three different ads set up.  One for a very popular search phrase, then a more niche phrase followed by a very niche phrase.  Figures are as follows, for the average day.

 

Clicks 1, impressions 241 - for the popular phrase

Clicks 2, impressions 71 - for the more niche ad

Clicks 3, impressions 31 - for the very niche ad

 

I have the same price set for them all, per day.  

Two questions

 

1. I realise it is hard to say, but are those click rates good, bad or average.

2. To get more clicks on the popular phrase does that work by increasing the amount we are paid per day.

 

Thank you.

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By 1 2
06th Jun 2018 15:10

I've dabbled a little bit with this. My (non expert views):

10% CTR (for the 3rd one) is very good...unless perhaps you're advertising for phrase "wanderlust accountants" and your firm name is "wanderlust accountants", in which case I'd suggest you should expect much higher!

You'd need to look deeper into the stats to see whether increasing the daily spend would lead to more clicks. Also there's two separate things here:
1) max CPC. Increasing this will likely lead to your advert appearing higher up compared to the competition (all other things being equal), hence likely get more clicks.
2) daily spend limit. If this is low you may get your first hit very early on, then all budget is used up so your ad doesn't show again until the next day. Increasing it here would make a big difference. Alternatively it could already be appearing all day, never spending the full budget, in which case increasing the daily budget won't make a difference.

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By blox
06th Jun 2018 16:20

You will probably find out that with more niche phrases, whilst there is less search demand, they may convert better.

I would look at conversions not just click throughs.

Any click to your website is a cost to you - unless out of X clicks you get a new customer.

Regarding CTR (Click Through Rates),

Popular phrase 0.41%
Niche ad 2.82%
Very niche ad 10%

Here are some numbers of the average CTR per industry, so your Niche ad is about average.

The problem with low CTR is that clicks get more expensive. So you would want to stop this ad. The better CTR, the cheaper clicks will be.

Here are some stats:
https://www.statista.com/statistics/568217/google-adwords-ctr/

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Glenn Martin
By Glenn Martin
08th Jun 2018 13:33

I started off doing it myself but now pay £100pm for someone to manage my account and they easily cover their fees in saved costs.

Recently I have switched my adverts to encourage phone calls instead of website clicks as I found a lot of contact out of office hours were poor quality and when you replied you often got nothing back as I imagine they maybe contacted a lot of people whilst browsing.

From your stats your generic adverts seem low so I would just focus on your more niche ones as I imagine they are better quality.

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Francois
By Francois Badenhorst
07th Jun 2018 13:46

Traffic metrics like CTR are good, but they aren't the only part of measuring your return on investment, right.

So one ad might have a higher cost-per-click, but it's more valuable in the sense that it 'converted' (which is faffy marketing speak for they did a valuable action like placing an order or contacting you).

So try and figure out what's your cost-per-conversion, as well. This figure might give you a completely different picture of which ad is working best for you.

Wordstream has an excellent, easy guide to PPC reporting using Excel. Check it out: https://www.wordstream.com/blog/ws/2015/08/13/adwords-report

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By rawa363
08th Jun 2018 11:06

CTR and the other metrics enable you to improve the effectiveness of your campaign and ultimately get the results you want at the lowest cost that can be obtained in your industry.
Ultimately the ROI and effectiveness of an Adwords campaign is Return (£) of business resulting - Investment spend (£) on Adwords All divided by Investment spend (£) on Adwords all X 100.

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By David Winch
08th Jun 2018 11:14

To answer question 1, you need to be able to answer "Compared to what?"

Set up a second advert for each adgroup, adjust your settings to ensure 'indefinite even ad rotation' - in other words they both get shown approximately the same number of times (Google's default is the strategy that makes Google the most money!) - and then measure the effectiveness of each.

When you can see a significant difference - a rule of thumb is at least 20 responses and at least 20% difference in performance - drop the poorer performer, create a third advert and repeat the exercise in an effort to outperform the better one.

And do all you can to get your CTR as high as possible as this affects your Quality Score (but it's not the only thing), and thus your advert's position on the page. Monitor the Quality Score of each of your keywords and respond to what Google is telling you if the score is less than 8/10.

Also monitor the search terms that are generating clicks for you. Add the ones that appear relevant as 'exact match' keywords and add the key words from those you'd rather not have as 'negative keywords' to limit similar wastes of your money in future.

Segment your results to see whether there's a difference between device types and adjust things accordingly if there is.

This is by no means a comprehensive set of tips and advice but I hope these suggestions are helpful.

David Winch
Sales & Marketing Consultant
Cambridge

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