AdWords 302: Advanced Conversion Optimization

(1)

Theory

bg

Copyr

i

ght

©

bg

Theor

y,

LLC

2009

Mor

ni

ng

Sessi

on

Host

ed

by

Br

ad

Geddes

Founder

,

bg

Theor

y

www.

bgt

heor

y.

com

Set

t

i

ng

Goal

s

Tr

acki

ng

Conver

si

ons

Expl

or

i

ng

ROI

&

Pr

of

i

t

Ef

f

ect

i

ve

Bi

ddi

ng

St

r

at

egi

es

My

Cl

i

ent

Cent

er

(2)

Morning

Session

Slide

Number

Morning

Agenda

...2

The

Search

Process

‐

The

Psychology

of

Search

...3

The

Search

Process

Your

Chance

to

Connect

with

the

Searcher

Landing

Pages

Setting

Goals

...8

How

does

your

company

make

money?

Set

Your

Goals

Measure

Your

Goals

Move

towards

Your

Goals

Numbers

We’re

Going

to

Obsess

Over

Budget

&

Bidding

Options

...14

Ad

Delivery

Methods

Bidding

Options

Bidding

Comparison

Chart

Tracking

Conversions

...19

AdWords

Conversion

Tracking

Defining

Conversions

The

Code

–

“Thank

You

Pages”

Advanced

Implementation

Conversions

in

Reports

Access

to

Valuable

Information

ROI

vs.

Profit

...26

Calculating

ROI

Value

per

Click

What

Keywords

Aren’t

Profitable?

Fudging

the

Numbers

Take

Margins

into

Account

What

about

Publishers?

Calculate

Your

Max

CPC

Effective

Bidding

Strategies

...35

Position

Preference

Setting

Position

Preference

Google

Analytics

Keyword

Positions

Ad

Scheduling

(3)

Google

Analytics

Goals

by

Time

Sensitive

Offers

Relative

Conversion

Rates

by

Industry

Conversion

Rates

Vary

by

Hour

Conversion

Rates

Vary

by

Week

Day

Every

Day

is

Unique

Time

Zones

Matter

Ensure

you’re

testing

the

Correct

Conversion

High

End

Electronics

Offline

Influencers

Reflected

Online

Bidding

by

Geography

Google

Analytics

Map

Overlay

Combine

Data

w/

Location

Targeting

My

Client

Center

...58

Creating

an

MCC

My

Client

Center

‐

Performance

My

Client

Center

‐

Budgets

Easily

View

Alerts

&

Account

Navigation

Cross

Client

Reports

MCC

Access

Successful

Account

Organization

‐

Organization

is

Key

...65

Campaign

Organization

Goal:

Bid

ROI

on

All

Networks

Goal:

To

Showcase

Daily

Specials

Goal:

Serve

Custom

Ads

to

Mobile

Users

Goal:

Expand

User’s

Awareness

of

Website

Goal:

Separate

Ads

or

Budget

by

Geography

Goal:

Set

Different

Budgets

by

Product/Service

Think

Through

Complex

Goals

Ad

Group

Organization

Ad

Group

Organization:

Negative

Keywords

(4)

Copyright © bg Theory, LLC 2009

AdWords

Seminar

302

Morning

Session

Morning

Agenda

Quick

Recap

on

How

People

Search

Setting

Goals

Tracking

Conversions

Exploring

ROI

&

Profit

Effective

Bidding

Strategies

My

Client

Center

Account

Organization

(5)

Copyright © bg Theory, LLC 2009

The

Search

Process

The

Psychology

of

Search

3

Copyright © bg Theory, LLC 2009

The

Search

Process

4

Words

take

many

shapes

:

The

actual

question

The

answer

to

the

question

Description

of

the

problem

Description

of

the

cause

Etc….

Where

do

I

find

a

plumber?

A

site

about

Boston

Plumbers

Flooded

basement

Broken

pipes

Plumbers

in

Boston

These

words

are

known

as

Keywords

How

do

I

phrase

my

question?

(6)

Copyright © bg Theory, LLC 2009

Your

Chance

to

Connect

with

the

Searcher

5

Which

ad

answers

my

question?

Landing

Pages

6

Landing

pages

turn

searchers

into

shoppers

Effective

landing

pages

turn

searchers

into

buyers

There’s

my

(7)

Advertising

Isn’t

Advertising

When

It’s

Information

Setting

Goals

8

(8)

Copyright © bg Theory, LLC 2009

How

does

your

company

make

money?

Understand…

Your

business

Your

buying

cycle

Your

customers

Your

supply

chain

Your

work

flow

9

Copyright © bg Theory, LLC 2009

10

Set

Your

Goals

:

$0.10

per

visitor

$15

CPA

for

leads

$3

CPA

for

RSS

subscriptions

350%

ROI

1,000

visitors/day

15

leads

/

month

(9)

Copyright © bg Theory, LLC 2009

Measure

Your

Goals

Measure

Your

Goals:

Google

Conversion

Tracking

Google

Analytics

Call

Tracking

Feedburner

Coupon

redemption

Move

Towards

Your

Goals

•

Add

/

remove

keywords

•

Add

/

remove

negative

keywords

•

Change

bids

by

keyword

/

placement

•

Add

/

remove

Ad

Groups

/

Campaigns

•

Etc…

•

Test

ad

copy

•

Test

landing

pages

12

(10)

Copyright © bg Theory, LLC 2009

Numbers

We’re

Going

to

Obsess

Over

Conversion

rate

Cost

per

conversion

Average

profit

per

conversion

Lifetime

visitor

values

13

Copyright © bg Theory, LLC 2009

Budget

&

Bidding

Options

(11)

Copyright © bg Theory, LLC 2009

Ad

Delivery

Methods

Standard

– Ads

rotated

throughout

day

if

budget

lower

than

minimum

necessary

to

show

your

ads

100%

of

the

time.

–

Visibility

for

ads

throughout

the

day.

–

Reach

a

wide

range

of

users.

Accelerated

– Show

ads

100%

from

beginning

of

day

until

daily

budget

depleted.

–

When

you

want

the

most

traffic

possible.

–

Increased

likelihood

of

spending

full

budget

daily.

15

Standard

Accelerated

Bidding

Options

16

Edit

Bidding

Settings

(12)

Copyright © bg Theory, LLC 2009

17

Bidding

Options

18

Bidding

Comparison

Chart

Compatibility Best For Ad Scheduling: •Basic •Advanced Position preference Location Targeting Content CPCs Language targeting Networks •Google.com •Search •Content •Placements Ad Serving •Optimize •Rotate Budget Budget Optimizer Maximizing Traffic •No •No No Yes No Yes •Yes •Yes •Yes •Yes •Yes •Yes Monthly Conversion Optimizer Maxing Conversions •Yes •No No Yes No Yes •Yes •Yes •Yes •Yes •Yes •Yes Daily Set Max CPCs (default) (CPC/CPM) All features •Yes •Yes Yes Yes Yes Yes •Yes •Yes •Yes •Yes •Yes •Yes Daily

(13)

Copyright © bg Theory, LLC 2009

Tracking

Conversions

19

Copyright © bg Theory, LLC 2009

AdWords

Conversion

Tracking

20

(14)

Copyright © bg Theory, LLC 2009

Defining

Conversions

21

Define

Action:

Name

the

Conversion

Choose

$$

Amount

Describe

Page:

Language

HTTP

vs HTTPS

Tracking

Indicator

Size

&

Color

Copyright © bg Theory, LLC 2009

The

Code

– “Thank

You

Pages”

(15)

Copyright © bg Theory, LLC 2009

Advanced

Implementation

23

https://adwords.google.com/select/setup.pdf

<!

‐‐

Google

Code

for

Purchase

Conversion

Page

‐‐

>

<script

language="JavaScript"

type="text/javascript">

<!

‐‐

var google_conversion_id =

1234567890;

var google_conversion_language =

"en_US";

var google_conversion_format =

"1";

var google_conversion_color =

"666666";

if

(<%=

totalValue %>)

{

var google_conversion_value =

<%=

totalValue %>;

}

var google_conversion_label =

"Purchase";

//

‐‐

>

</script>

Copyright © bg Theory, LLC 2009

Conversions

in

Reports

24

(16)

Copyright © bg Theory, LLC 2009

Access

to

Valuable

Information

25

Copyright © bg Theory, LLC 2009

ROI

vs Profit

(17)

Copyright © bg Theory, LLC 2009

Calculating

ROI

=

Profit

Spend

Campaign Avg

CPC

Conversion

Rate

Cost

Per

Conversion

Profit

Per

Conversion

ROI

Total

Profit

Chocolate $1

10%

$10

$20

200%

$10

Flowers

$3

10%

$30

$50

166%

$20

27

Don’t

Forget

Profit!

Copyright © bg Theory, LLC 2009

Value

Per

Click

28

Value

per

Click

=

Total

Value

/

Total

Clicks

(18)

Copyright © bg Theory, LLC 2009

What’s

Next?

29

Copyright © bg Theory, LLC 2009

What

Keywords

Aren’t

Profitable?

30

(19)

Copyright © bg Theory, LLC 2009

Fudging

the

Numbers

Average

sale:

$200

Average

margin:

50%

Average

profit

per

sale:

$100

Sales

close

rate:

10%

Break

even

cost

per

contact:

$10

($100

*

10%)

31

Offline, eCommerce, & Phone Sales May Need to do Math

Copyright © bg Theory, LLC 2009

Take

Margins

Into

Account

32

Increasing

margins

&

average

sale

amount

can

have

large

effects

on

profit.

(20)

Copyright © bg Theory, LLC 2009

What

about

Publishers?

Revenue

per

page

visit

(RPV):

$1

–

Sometimes

Calculated

as

Revenue

Per

Visitor

Average

pages

per

visit:

3

Average

profit

per

visitor:

$3

Breakeven

CPC:

$3

Desired

ROI:

200%

Bid

=

$1.50

33

34

Calculate

Your

Max

CPC

•

Assumption

– Desired

ROI

is

200%

•

Bid

Calculation

–

(Profit

per

conversion

/

desired

ROI)

X

(conversion

rate)

=

Max

CPC

–

($50/2)

x

0.10

=

$2.50

CPC

•

Or

use

Value/Click

–

Value/Click

*

margin

=

Break

Even

CPC

–

Breakeven

CPC

/

ROI%

=

Desired

CPC

Campaign Avg

CPC

Conversion

Rate

Cost

Per

Conversion

Profit

Per

Conversion

ROI

Flowers

$3

10%

$30

$50

166%

(21)

Copyright © bg Theory, LLC 2009

Effective

Bidding

Strategies

Position

Preference

36

Enable

in

Campaign

Settings

(22)

Copyright © bg Theory, LLC 2009

Setting

Position

Preference

37

1. Choose

the

keywords

you

wish

to

set

position

preference

for

2. Click

‘Edit

Keywords’ button

Copyright © bg Theory, LLC 2009

Set

Position

Preference

(23)

Copyright © bg Theory, LLC 2009

Google

Analytics

Keyword

Positions

39

Copyright © bg Theory, LLC 2009

Ad

Scheduling

40

Enable

in

Campaign

Settings

(24)

Copyright © bg Theory, LLC 2009

Ad

Scheduling

‐

Basic

41

Copyright © bg Theory, LLC 2009

Ad

Scheduling

– Setting

Times

(25)

Copyright © bg Theory, LLC 2009

Your

Accounts

Time

Zone

43

Copyright © bg Theory, LLC 2009

Advanced

Ad

Scheduling

44

(26)

Copyright © bg Theory, LLC 2009

Google

Analytics

Goals

by

Time

45

View

conversions

by:

•

Hour

•

Week

•

Month

•

Export

for

own

analysis

Copyright © bg Theory, LLC 2009

Time

Sensitive

Offers

46

25%

Off

Plumbing

Services

If

you

call

between

12

‐

5p

on

Friday

Serving

the

Greater

Chicago

Area.

Monday

Sushi

Lunch

Special

Free

edamame on

orders

over

$10

Order

before

noon

for

Free

Delivery

Do

you

have

a

day

of

the

week

where

business

is

slow?

Or

just

want

to

beat

the

competition?

(27)

Copyright © bg Theory, LLC 2009

Relative

Conversion

Rates

by

Industry

Source: Atlas Institute: Search conversion rates by day part

47

Copyright © bg Theory, LLC 2009

Conversion

Rates

Vary

by

Hour

48

B2B

Lead

Gen

Study

Note:

Results

for

one

client;

may

not

be

the

same

for

your

company.

(28)

Copyright © bg Theory, LLC 2009

Conversion

Rates

Vary

by

Week

Day

49

Note:

Results

for

one

client;

may

not

be

the

same

for

your

company.

Copyright © bg Theory, LLC 2009

Every

Day

is

Unique

50

(29)

Copyright © bg Theory, LLC 2009

Time

Zones

Matter

51

Note:

Results

for

one

client;

may

not

be

the

same

for

your

company.

Copyright © bg Theory, LLC 2009

Ensure

you’re

testing

the

Correct

Conversion

52

Day

of

the

month

High

End

Electronics

Study

Note:

Results

for

one

client;

may

not

be

the

same

for

your

company.

(30)

Copyright © bg Theory, LLC 2009

High

End

Electronics

53

Note:

Results

for

one

client;

may

not

be

the

same

for

your

company.

Copyright © bg Theory, LLC 2009

54

3

rd

Saturday

of

Month

1

st

Saturday

after

the

‘15

th

’

Monday

before

‘2

nd

payday’

1

st

Saturday

after

payday

Offline

Influencers

Reflected

Online

(31)

Copyright © bg Theory, LLC 2009

Bidding

by

Geography

55

Geographic

Performance

Reports

Copyright © bg Theory, LLC 2009

Google

Analytics

Map

Overlay

56

(32)

Combine

Data

w/

Location

Targeting

57

My

Client

Center

(33)

Creating

an

MCC

59

My

Client

Center

‐

Performance

60

Client

Names

&

IDs

Appear

here

(34)

My

Client

Center

‐

Budgets

61

Easily

View

Alerts

&

Account

Navigation

(35)

Cross

Client

Reports

63

MCC

Access

64

You

can

also

set

access

at

an

account

level.

(36)

Successful

Account

Organization

is

Key

66

Advertising

Goals,

budget,

and

business

processes

will

determine

organization.

Proper

account

organization

is

one

of

the

most

important

aspects

of

starting

a

(37)

Campaign

Organization

67

When

to

create

a

new

campaign:

Budget

Delivery

(Accelerated

vs Standard)

Bidding

Type

Network

Reach

Google,

Search

Partners

Content

Demographics

Device

Platforms

Ad

Scheduling

Ad

Serving

(Optimize

vs Rotate)

Location

Goal:

Bid

ROI

on

All

Networks

68

•

Maximize

ROI

•

Maximize

cost

per

action

•

Maximize

keyword

effectiveness

•

Maximize

content

effectiveness

(38)

Goal:

Bid

ROI

on

All

Networks

69

Goal:

To

Showcase

Daily

Specials

70

Company

has

different

offers

by

day

of

the

week.

(39)

Goal:

To

Showcase

Daily

Specials

71

Goal:

Serve

Custom

Ads

to

Mobile

Users

Company

has

mobile

website.

Company

wishes

to

reach

mobile

users.

Company

willing

to

set

separate

mobile

budget.

Company

wants

to

continue

to

reach

desktop

users.

72

(40)

Goal:

Serve

Custom

Ads

to

Mobile

Users

73

Goal:

Expand

User’s

Awareness

of

Website

74

Company

has

search

campaign

which

is

being

bid

on

ROI

basis

Company

wishes

to

expand

site’s

awareness

(41)

Goal:

Expand

User’s

Awareness

of

Website

75

Goal:

Separate

Ads

or

Budget

by

Geography

Company

serves

all

of

Illinois.

Company

has

local

headquarters

in

Rockford

where

people

can

visit

their

office.

Company

wants

custom

ads

to

engage

Chicago

searchers.

76

(42)

Goal:

Separate

Ads

or

Budget

by

Geography

77

Goal:

Set

Different

Budgets

by

Product/Service

Company

has

website

that

lists

timeshares

for

sale.

Company

makes

money

from

people

listing

their

timeshares.

Company

does

not

make

money

from

people

browsing

timeshare

(or

buying

actual

timeshares).

Company

wants

to

drive

lots

of

traffic

to

the

‘buy

an

ad’

section.

Company

wants

to

some

traffic

to

the

listings

section

so

sales

people

can

talk

about

how

much

traffic

listing

section

receives

to

sell

ads.

(43)

Goal:

Set

Different

Budgets

by

Product/Service

79

Think

Through

Complex

Goals

Showcase

offer

to

all

of

US.



Bid

by

ROI

on

search

&

content.

Showcase

different

offer

to

Chicago

due

to

low

performance

in

region.



Showcase

different

ads

weekdays

and

weekends.

Have

a

branding

campaign

for

search.

Highly

targeted

content

branding

campaign.

80

(44)

Think

Through

Complex

Goals

81

General

Rule:

Write

one

extremely

targeted

ad,

if

the

ad

does

not

completely

describe

the

keyword,

put

the

keyword

in

a

new

Ad

Group

Ad

Copy

Keywords

John’s

Plumbing

Service

Servicing

the

Chicago

area

Call

for

an

appointment

today!

Emergency

Plumber

Service

Call

24/7

for

immediate

assistance.

We

work

weekends!

Weekend

Plumbing

Services

Don’t

pay

high

weekend

rates!

We

work

all

day,

every

day

.

Chicago

plumbing

services

broken

pipes

emergency

plumbing

24

hour

plumbing

service

fix

shower

overflowing

toilet

Saturday

plumbing

weekend

plumbing

flooded

basement

Ad

Group

Organization

82

(45)

Ad

Group

Organization:

Negative

Keywords

83

Morning

Q

&

A

Questions

before

lunch….

84

(46)

AdWords

Seminar

302

Morning

Session

85

Connect

with

Me!

Twitter:

@bgtheory

Facebook:

AdWords

Seminar

Page

EventFul:

AdWords

Seminar

Group

Twitter:

Facebook:

EventFul:

Upcoming.org: