In 2012 Google reported for every one dollar spent on AdWords businesses made two dollars. In 2013 Google broke 50 billion dollars in advertising revenue with 1.2 million advertisers using AdWords to drive traffic. With stats like that Google AdWords may seem like an easy win.
It’s not. Making AdWords profitable involves a lot of work, experience, and a lot of trial & error. Over the last 4 years, I’ve managed millions of dollars in advertising dollars & helped nearly 100 different businesses make AdWords a profitable channel. Here are some of my top tips:
Never use the set & forget management style. AdWords may seem like a straightforward proposition: Tell Google what you want to show up for, pay them, and you get traffic that will be worth twice what you paid for it.
The truth is if you haven’t logged into your AdWords account or seen a report detailing progress in a week, you’re losing money.
Go talk to your agency, or log in to your account. Look at the number of sales you’ve made in the last 30 days, look at how much you’ve spent, and find out how much you’re paying per sale.
Never follow “best practices”. There are over 1.2 million businesses on Google AdWords, what’s right for a few businesses may not be right for your business.
If you or whoever manages your account makes changes because they read an article where one company had success, you are losing money.
“Best practices” are great places to start, but need to be tested & reviewed. Instead of account wide changes start by implementing a “best practice” in just one Ad Group in one campaign.
Track what matters. There are so many numbers when you login to an AdWords account it’s easy to get lost for an hour.
You need to relate every change you make back to the golden number, profit. Whether you are collecting leads, selling products, or distributing services you need to track that metric.
That means you need to have conversion tracking set-up inside your account & have a conversion value attached to it. If you don’t know what a conversion is worth to you, you shouldn’t be advertising anywhere at all.
Go from broad to specific. When you begin advertising on AdWords there’s no data, there’s no account history, and there’s no way to tell what works. Over time that changes.
Soon you should have enough data to begin trimming the fat off of your account.
Your strongest performing keywords should be going from broad match to phrase match.
Your bidding strategy should reflect what devices, times, and geographies are converting best.
Check these things monthly.
Honing in on the best keywords, ads, and bids will drastically decrease your cost per conversion & will increase the number of conversions you are getting.
Expand what’s working. There will be tests that do well & tests that do badly. Taking the good pieces, and building on that success is one of the easiest ways to increase your sales exponentially.
If you have an ad that is performing really well in one ad group or campaign, try copying it over into other campaigns. If you can’t copy it over word for word, think of it as a template & try copying it that way.
For bidding strategies, or mobile bid adjustments that produce great results for a specific keyword, use the same strategy on other high value keywords.
If a campaign is performing well, but being limited by it’s budget. Shift spend away from poor campaigns & keep that one running as much as possible.
Hours of the day that seem to convert better than others should have a bid multiplier on them.
Stop what’s not working. Most of what you see in the AdWords interface are averages. Campaigns statistics are made up of an average of Ad Group statistics, Ad groups are averages of keywords, and there are countless other numbers that are simply averages.
Averages don’t tell the whole story. Is the whole account performing a certain way, or is there a group of keywords/ads/ad groups that are being held back by low performers? Averages can’t tell you.
If keywords that haven’t performed well over the last month, pause them.
If ads haven’t performed well over the last month, pause them.
If Ad Groups haven’t performed well over the last 3 months, pause them.
If campaigns haven’t performed well over the past 6 months, pause them.
This will drastically lower how much you are paying for a conversion, and leave more budget for the good pieces of your account.
Even if you only do the few things I’ve listed out in this post, your AdWords account will reward you for your hard work with more sales & leads. These things:
- Checking on your account regularly
- Testing recommendations made by “experts”
- Tracking what matter to your business
- Moving everything from broad to specific
- Expanding what works
- Stopping what doesn’t
These are the keys to AdWords success.
If those are the keys why am I telling you for free? Keep reading.
You’re online, you’re reading this article, and you want results for your business, not more things on your to-do list.
I’m growing an agency that can deliver the AdWords results you deserve without the headaches. If you want rock bottom prices & top notch service let me know by clicking this link.
I will personally respond within 48 hours.
Founder Kent Kinetic