It is essential to define the structure of your campaigns to work efficiently in Adwords. The first step in achieving this is to decide what objectives you want to achieve with your campaigns.
How to define your objectives
First of all, you must decide whether your campaign objectives will be focused on getting traffic and brand recognition, or whether you are going to focus on looking for leads or conversions. In the first case, you will have to use a broad and generic structure, while, in order to get leads or conversions you will have to apply a longer tail structure.
Once you have decided the objective you want to achieve with your campaigns, you should review the following points:
- What do you want to consider as a conversion in your account
- Review the structure of current campaigns, and whether you are focusing on traffic, leads, or sales.
- Check the conversion funnel
- Check that the websites you are sending to customers are well-targeted, and match what you offer in your ads, as well as whether they offer easy conversion based on the target you are looking for.
- Conversion tracking
- Verify that the conversion codes are correctly applied to the points you are interested in, and consider the option of adding new conversions, such as calls to action, forms, app downloads, and so on.
After you have checked these points, it is necessary to quantify our objectives with parameters that allow us to achieve them and measure them in an easy and simple way.
It is necessary to know some basic concepts to understand how to calculate them, but essentially you must fix these two variables:
- Cost per Acquisition or Cost per Lead objective (CPA / CPL)
If your goal is to obtain leads or sales, you must calculate an objective CPA or CPL, which must be as realistic as possible, since when you activate the optimizer it will be in charge of increasing or decreasing the CPCs of the keywords based on their performance to achieve the CPA or CPL objective you indicate.
- Output CPC or maximum CPC
Once you have defined the target, you will have to search for which CPC your keywords should start from. To do this, you can base your research on the following formula, through which you will obtain the CPC of equilibrium using the Conversion Rate that your product has and the CPA or CPL that you want to obtain.
Conversion Rate x CPA or CPL = CPC of equilibrium
If the break-even CPC resulting from the operation is very low compared to the competition, you should consider the option of reviewing your target, or see how you can increase the Conversion Rate of the product.
If you still have doubts, contact us!