Pay Per Click (PPC) advertising is a type of paid search that is useful for e-commerce businesses to enhance their online presence and attract more customers. Businesses can create targeted ads that reach people looking for the specific products or services they are selling. For this reason, PPC advertising is one of the core marketing services we offer at CommerceV3. We’ve posed some questions below to see how your current PPC ads stack up against the metrics used to measure paid search success.
Are your ads generating a high CTR?
The click-through rate (CTR) is the proportion of viewers who click on an advertisement after seeing it. This demonstrates that the content is important and applicable to the audience being targeted. A high CTR indicates successful ad content and targeting, while a low CTR can imply a failure to resonate with the audience or an overly generalized targeting approach.
Do your ads result in conversions?
Conversion rate refers to the percentage of website visitors who take a desired action, such as completing a contact form or making a purchase, after clicking an advertisement. A higher conversion rate indicates that the ad is generating valuable actions on the website, rather than simply attracting clicks. Conversely, a lower conversion rate may imply that the landing page the ad points to has not been optimized for conversions or that the ad’s targeting or messaging needs to be refined.
How much are you paying for clicks?
The cost-per-click (CPC) is the average price paid for each click of an ad. This number has a direct impact on a company’s budget and return on investment. A high CPC could indicate excessive bids on keywords or a highly competitive industry. On the other hand, a low CPC might mean that the ad is not appearing in a highly visible position or that targeting is too limited.
Have you checked the quality score?
Search engines evaluate the quality of ads and landing pages using a quality score that measures factors such as click-through rate and ad relevance. A high score signifies greater visibility and reduced CPC, whereas a low score results in a lower ad position and higher CPC. A higher quality and relevance score for your ads will almost always lead to better results.
What are you actually getting for your ad spend?
Return on Ad Spend (ROAS) is a metric used to measure the efficacy of a PPC campaign by calculating the generated revenue against what has been spent. A ROAS value that is higher implies a positive return on investment, while a lower ROAS may indicate the need to re-evaluate your targeting or messaging.
PPC advertising is an essential tool for any e-commerce business looking to drive traffic, increase sales, and grow revenue. At CommerceV3, we offer PPC services to help our clients succeed in the highly competitive online advertising landscape. If you weren’t happy with your answers to any of the questions posed in each of the sections above, we’d love to talk to you about our PPC services! To learn more about how we can help your business grow, contact us today through our online form.