One of the best ways to get high reach among target consumers quickly is to use Google Adwords. This is a great way in which you can feature your message along with your website or landing page at the top of search results based on the keywords you want to target. However, like it is with everything in life, there are no free lunches and this Google Adwords service is a paid service that costs money.
There are various bidding strategies in search engine marketing tool; the most common one used by most search engine marketers being CPC or ‘Cost per Click’.
While CPC is a boon for online marketers because they do not have to make a payment when the ad is featured in the ad results. The payment is made ‘per click’ (and hence the name) when a user clicks on the ad. Therefore, all search engine marketing personnel try to reduce the cost per click for the keywords chosen to increase ROI.
Here are some stunning tips on how you can reduce CPC and gain a better return on investment for your Adwords campaign.
Improve your Quality Score
The first thing to remember is that Google does not place the three highest bidding ads when a search is done on a specific keyword. It runs an algorithm to determine the ad rank. The ad rank is a product of the bid amount and the Quality Score. And this evasive Quality Score comprises of click-through rate (CTR), ad relevance and landing page experience.
Since the ad rank is a product of your bid and the Quality Score, it means you can have a lower bid than your competitor if you have a higher Quality Score and yet rank higher and be placed in the top three when a search is done on your selected keywords. To improve the Quality Score, you must improve the three aspects that comprise it.
Simply put, your click through rate will increase if a higher proportion of people being served your ad, click on it. Make your ad extremely compelling and almost impossible to dismiss or ad in a special offer. You can also add ad extensions, sitelinks, and extended headlines, all of which make your ad more noticeable. You could also use trademarks and provide seasonally relevant ad copy.
In addition to this, you want to also reduce your ad impressions for searches that may not be relevant to your landing page. This is where negative keywords come in. Adwords provides you with the option of adding in negative keywords which mean that your ad will not pop up when these keywords are searched for. So, if you are selling ‘eye glasses’, you should use ‘wine glass’, ‘drinking glass’ as negative keywords to ensure you ad does not appear when people search for drinking glasses.
Ad relevance is the degree of relevance between the keywords you have chosen for the ad and the ad itself. To increase ad relevance, you should create tightly themed ad groups. Even though Google Adwords recommends that you should add 5 to 20 keywords in an ad group, the mantra is to keep the number of keywords on the lower side per ad group. Ensure that your text ad includes the main keywords and include the main keyword in the display URL too. Having the main keyword in the landing page is a bonus.
3. Landing Page Experience
If users click on your ad, arrive at your landing page and leave immediately, it will affect your landing page stats negatively. Choose a landing page that is relevant to the specific ad you have placed. For example, if your ad is for men’s shoes, the landing page should be the section for men’s shoes on your site and not the homepage.
The Google Adwords account shows the Quality Score and the score on specific components of the Quality score for each ad. You can check these, modify your ad and continue to try and achieve a perfect 10/10 for your ad to reduce CPC as you go along.
Use the Keyword Planner Smartly
Finding low CPC keywords for some of the highly competitive and high margin industries is almost impossible. However, there is something that you can try when you are researching keywords. Look at keyword planner and choose long-tailed keywords to target. These long-tailed keywords help in a better Quality Score too. However, make sure they have a good monthly search volume to get a chance at impressions.
Another way of using the keyword planner smartly is to look at the competition column in the planner. While the top keywords are sure to have a higher CPC due to high competition, sort the keywords from low competition to high and then start looking for low competition keywords that may have medium to high search volume. You will be surprised how many times some great keywords are missed out by all others.
Lower You Bid
When you have achieved a good Quality Score, reduce your bid. Test things out and you will be able to ascertain for yourself how many impressions and clicks you are still able to get at the reduced rate.
Reducing the CPC is something everyone wants to aim for. But it is also important to remember that these keywords have high cost per click rates because of a reason. These are the ones that have probably shown to be great for conversions over time. So, while you continue to make attempts at increasing the ROI, keep in mind that it is conversions at the end of the day that will bring in revenues. A balance in approach therefore is essential!