During 2012, Finch became more focused on tying the cost of AdWords campaigns to the direct revenues or profit generated.
There are two critical reasons why this must be done by anyone spending money on AdWords with the ability to capture the financial outcome:
- Gaining financial control, and with that, leveraging to grow the business profitably.
- Bidding on clicks for expected revenues or profit versus the traditional conversion. This has game-changing impact on how you compete.
Google AdWords runs an auction for every click you bid on. This is about you winning the right clicks at the right cost.
There is a long laundry list of features, options, best practices, and tools available that have a positive impact on how effectively you compete. Here are some of the items in our checklist covering what you should look for when assessing your PPC program for your eCommerce business:
- Budget allocation between campaigns
- Keyword coverage and expansion
- Usage of negative keywords
- Ad optimization, best practices, and metrics separation
- Campaign structures and purposes
- Using and structuring Ad Groups optimally
- Tracking objectives and the associated traps
- Bidding objectives: What do you want? Customers, transactions, or revenues/profit?
- What happens to sales volume if you increase your bids x%? What happens to cost?
- Cookies have been around online advertising forever; how do they impact your data?
- Are you using AdWords extensions effectively?
- Geo targeting; is it hurting or helping you?
- How can Google+ help you?
- Are there AdWords tips or tricks you’re missing out on?
- Are your affiliates stealing your branded traffic?
- Can you integrate your product database with AdWords?
Over the next weeks, we will share in detail what each of these items entails for you and how you can get the most out of what you already have in place. Running a PPC program for an eCommerce company is a completely different ballgame. Only a few have figured out how to do it right, and they are outperforming their competitors by huge numbers. Where are you in all of this? Build a roadmap and start making more money while growing your market share!
Google AdWords is a commission based sales channel. More and better data means less commission for more sales. More sales mean more resources to advertise for and to profit from!