A very Simple, Step by Step, Roadmap to Google adwords Success.

GOOGLE ADWORDS SCENERIOS

There are different situations you will find yourself as you try to achieve and maintain a profitable adwords campaign. Sometimes, you will find that adjusting certain parameters might improve or get worsen your the campaign. The trick is to test. Don't be afraid to test . It is only by testing that you can really get to understand how adwords works and then master it.

Let's look at some situations we might find ourselves in while running our adwords campaign.

1. LOW IMPRESIONS AND LOW CTR.
(a) This can happen when you are just starting your adwords campaign. You have probably not read enough about the Googleadwords program before drawing up your campaign.
(b) Also it can be that you have not done your keyword research very well . You might be using keywords that people hardly search for.
(c) It could also be that your daily budget is so low that Google would not want to exceed your budget. So your ad is presented very few times.

SOLUTION ;
i. Set your daily budget high. Do not worry. Google will not exhaust your daily budget. If your daily budget is set to $100 for example. You will be spending about $10 daily. Or if you set it at $20 you could be spending $5 to $7 daily. Setting the daily budget high enough gives you plenty of data to analyze your campaign. Your impressions will be high. CTR will be high too if your ad is well written.
ii. Brainstorm and research good keywords. Use the available keywords research tools to know which keywords searchers use to find your site .
iii. Write good ads that follow the keyword-title-description-landing page formula. This will increase your CTR and conversion.

2. HIGH IMPRESSION BUT LOW CTR

This is the situation new advertisers to Googleadwords find themselves. Here you will be trying to convert most of your impressions to clicks. You can do this in two ways.

I. Increase your cost per click (CPC). Increasing your CPC places your ad in a high position which in turn generates high impressions. This will increase the cost of your campaign considerably. If your conversion is not good enough you might be running a loosing campaign.

II. Write better ads using the keyword-title-description-landing page formula. Searchers will be more likely to follow through from search results to clicking on your ad. This increases your CTR.

NOTE: If you have a keyword that is generating high impressions but low CTR , it is advisable to delete it. But if the keyword is important and related to your services or product you can create an adgroup for that keyword and also create ads for it. Then test and see which ad is producing the desired CTR. Further more, deleting poor performing keywords is like deleting your past poor performance. So that, the new adgroup will not be hindered.

Also, it not good to leave keywords that are not generating impressions. Delete them. Though Google will not penalize you for these keywords until the impressions have reached 1000, low impressions generating keywords will hinder keywords that are performing well. This is the case, because the Google adwords system budgets for all keywords and if your daily budget is low, your keywords, including the performing ones, will be shown less often. The system will not exceed your daily budget.
Bottom line; use fewer keywords for a low daily budget.

3. HIGH IMPRESSION,HIGH CTR GENERATED BY HIGH CPC.

Every advertiser wants high CTR with low CPC. Typically in the range of $0.05 to $0.10 per click. But in industries where there are heavy players with costly keywords, high CPC could be the order of the day. How will a small business compete in a situation like that ?

1. Again the answer is in keyword research. Extensive, in depth research will provide you with the obscure keywords that few people have discovered.
2. Another way to compete is to know how much a visitor is worth to you. You have to have a good conversion rate at your website.
If for example,

A click is $1 and you are converting at your site at 5% conversion rate. This means, for every $100 spent 5 visitors buy your product. For you to break even (that is, no profit no loss) your product must have a margin (profit) of $100/5 clicks=$20.
So if each product has a profit of $20 on top of the cost price, then for each $100 spent you will recoup $100. Anything less than $20 margin will mean a loss for you. And anything higher than $20 means a gain in your campaign.

However, due to fluctuations in ad position, CTR, conversion rate, competitive bidding by other advertisers, it is advisable to ensure that your visitors worth or click worth is such that the profit on each product is high enough to allow for these fluctuations. For the example, $35 to $40 margin would be good . I must stress that this depends on your product, industry, competitors etc. The example is to provide a general idea of what to do.

HIGH IMPRESSION AND HIGH CTR WITH LOW CPC.

This is the dream of every advertiser. Achieving this takes a lot of hard work and testing. Google adwords is unique in that your ads go online immediately. This allows you to test your ads as much as you want. When you are not satisfied, write new ads. You can also set CPC for campaign as well as for individual keywords.
One trick you can use to achieve this, is to initially set your daily budget high, CPC high, and write good ads. This will position your ad well, 1st to 6th position. Once you have achieved a good CTR (4% to 7%) gradually lower your CPC while retaining a high daily budget. Always remember that a high impression and CTR will get you a high position even if your CPC is low compared to your competitors'

HIGH IMPRESSION,HIGH CTR,LOW CPC BUT LOW CONVERSION.

In a situation like this, low conversion is due to several factors

1. Bad or wrong landing page. Your landing page must be directly related to your ad. Do not allow the visitor to search for the information which brought him to your site. Use the keyword-title-description-landing page formula. On how to create a landing page that converts very well go to http://www.wilsonweb.com/isalihu2001

2. Keywords that produce high impressions, high CTR but are not exactly related to the landing page. There are some keywords that are closely related but have different meanings. For example, the keyword phrase "web pages". Your title and description could be for a software that builds web pages. But the searcher is looking for how to write web pages that sell. This results in many clicks to your site with very few conversion.
So you should make your title and description as explicit and direct as possible. This leaves the searcher in no doubt as to what is on the landing page.

GOOD AD POSITION.

A good ad position is from 1st to 6th position. A good ad position is obtained by having a high impressions and high ctr.

AVERAGE AD POSITION

This is typically between 7th to 10th position. A higher position is achieved by either increasing your bid or writing better ads for higher CTR

summary

1. Keyword research . Very important. The bedrock of your adwords campaign.
2. Good campaign structure as set out above.
3. Write good title, description with relevant keywords in them.
4. Follow the keywords-title-description-landing page formula
5. And test, test and test. Track your results efficiently.

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