The PPC Lead Lifecycle & How to Increase Revenue by 21%

SECTION SLIDE

The PPC Lead Lifecycle And How To Increase Revenue By 21%

Presented byKeegan Brown

Digital Advertising Analyst

• Lifecycle of a PPC lead

• Metrics to know

• How to track the PPC lead through the lifecycle

• Lead analysis and optimization

• A real case study of analyzing PPC leads from Search-to-Purchase

What You Will Learn

Lifecycle of a PPC Lead

• To determine ROI

• To more accurately project growth

• To optimize and allocate budget for grow

• To learn about your businesses strengths and weaknesses

Importance of Tracking PPC Leads to Revenue

PPC Ecommerce Lifecycle

Search Query

Keyword Ad Copy Landing Page

Purchase

GOOGLE ON SITE

PPC Lead Lifecycle

Search Query

Keyword Ad Copy Landing Page

Form Thank You Page

Follow Up

GOOGLE ON SITE

Higher education

Example of long lead cycle

Free Info Packet Application Pay Tuition

2 Months 4 Months

Tour/Orientation

2 Months

Metrics to Know

• Cost per lead

• Close rate for leads

• Break-even point per lead

• Customer lifetime value

• Return on ad spend

Metrics to Know

• Important to know how much you are spending to acquire 1 lead

• Cost per Lead

Total ad spend / Total Number of Leads = Cost per Lead

$26,000 / 162 = $160.49 Cost per Lead

Formula:

Example:

• Requires cross team collaboration• Important to know when creating cost per lead and return on ad spend goals

• Close Rate for Leads

Total number of closed sales / Total number of leads = Average Close Rate

32 / 162 = 19.7% Average Close Rate

Formula:

Example:

• Important as it lets you know how much of a return on ads pend you will need to make a profit

Break-even Point per Lead

(Close rate x Revenue per Sale) – (Cost of Goods Sold/Average Leads per Sale) =

Break-even Point

(20% * $200) – ($100/5) = $20 Break-even Point

Formula:

Example:

Average leads per sale = 100/Close Rate

• Helps define a true value of a lead

Customer Lifetime Value

Average Value of a sale * Number of Repeat Transactions * Average Retention =

Customer Lifetime Value

$200 * 6 * 95% = $1,140 Customer Lifetime Value

Formula:

Example:

• Determines if channel is worth the budget

Return on Ad Spend or ROI

Revenue of service / Ad Spend = Return on Ad Spend

$15,550 / $2800 = 555% Return on Ad Spend

Formula:

Example:

How to Track Leads

How to Track PPC Leads

• Form & hidden form fields

o URL Parameters

o CRM integrations

o Spreadsheet

• Name• Number• Email• Zip code• Other important information to your business

Form Fields

• Fields required to get lead information

How to add hidden forms?

• Add code to form

• Check form settings

• Use CRM form on your landing page

Hidden Form Fields

• Check PPC landing page software integrations

• Use custom CRM integration software like Zapier

Landing Page Integrations

What should you track?

• PPC Specific Information

URL Parameters

o Keywordo Ado Campaign

• Other information

o Deviceo Landing Page

https://support.google.com/analytics/answer/1033867

• Manually match PPC leads to Sales data

Spreadsheet Tracking

Lead Analysis and Optimization

Lead Analysis

Segmentations

• Mobile vs desktop

• Day of week

• Landing page

• Keyword

• Sales person

• Zip code

• Lead follow-up time frame

Landing Page Segmentation

Benefit Focused Copy Landing Page

Sense of Urgency Copy Landing Page

Leads Sales Close Rate Revenue Average Revenue

121 32 26.4% $25,600 $800


106 14 13.2% $15,988 $1,142

Zip Code Segmentation


95 16 16.8% $4,000 $250


120 18 15% $6,000 $333


86 10 11.6% $6,000 $600

Zip Code 1

Zip Code 2

Zip Code 3

Case Study – Increasing Revenue From Day of the Week Analysis

Sales Process

• 2-3 week sales cycle

• Main steps:

Case Study - Overview

o Form completion

o Sales call

o Quote

o Purchase

Close Rate – Day of the Week Analysis

PPC Data

• Improve weekend close rate

OR

• Allocate weekend ad spend to weekdays

Ways to Increase Revenue

Improve Weekend Close Rate

Allocate Weekend Ad Spend to Weekdays

• Importance of accurate PPC tracking of leads to sales

• The top metrics to know and know how to measure them

• How to track the PPC lead through the lifecycle

• 7+ ways to analyze your lead data

What You Can Take Away

• Identify areas of wasted ad spend

• Overall health of your campaigns

• Recommendations for optimization

• Opportunities for growth

Free PPC Audit

http://vm.verticalmeasures.com/ppc-audit/

Thank You

The PPC Lead Lifecycle & How to Increase Revenue by 21%

Business

Transcript of The PPC Lead Lifecycle & How to Increase Revenue by 21%