Tips for creating, testing and optimizing paid search ads

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Brad Geddes Founder, Certified Knowledge Founder, AdAlysis Author, Advanced Google AdWords @ bgtheory @bgTheory Creating, Optimizing, and Testing Paid Search Ads SMX West 2014 Copyright Certified Knowledge 2014 @ bgtheory

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Transcript of Tips for creating, testing and optimizing paid search ads

  • Brad Geddes

    Founder, Certified Knowledge

    Founder, AdAlysis

    Author, Advanced Google AdWords

    @ bgtheory

    @bgTheory

    Creating, Optimizing, and Testing Paid Search Ads

    SMX West 2014

    Copyright Certified Knowledge 2014 @ bgtheory

  • Which Ad Is Best?

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    Answer: Technically 1, but you dont have enough data!

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  • Real Answer: It depends by Device

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    The Real Answer:

    Ad 1 is Best for Mobile Ad 2 Is Best for Desktops

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  • Make Sure You Use Mobile Preferred

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  • Test by Effective Device

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  • Ensure All You Multi-Device Ad Groups have Mobile & Desktop Ads in Them

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  • Create multiple ads per ad group

    Analyze the data by device

    Make the mobile winner mobile preferred

    Leave the desktop winner as is

    The Cheater Method

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  • Which Test is Best?

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  • Impression

    Click

    CPC

    Impression & Click:

    CTR

    Conversions

    Average sale amount

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    PPC Metrics For Ad Testing

  • Impression

    Click

    CPC

    Impression & Click:

    CTR

    Conversions

    Average sale amount

    Conversion Rate

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  • Impression

    Click

    CPC

    Impression & Click:

    CTR

    Conversions

    Average sale amount

    CPA: Cost Per Acquisition

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  • Impression

    Click

    CPC

    Impression & Click:

    CTR

    Conversions

    Average sale amount

    ROAS or ROI

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    Note: ROAS is a good bid management strategy if you watch the volume.

  • Metrics Should Start at the Impression

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  • Must Accommodate CPCs & Cost

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    Take into Account Conversions & Sale Amount

  • Impression

    Click

    CPC

    Impression & Click:

    CTR

    Conversions

    Average sale amount

    CPI: Conversion per Impression

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    Great for CPA Target Accounts

    Not great for accounts with margins and variable sales amounts

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  • Profit Per Impression

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    PPI = (Revenue Cost)/ (Impressions)If you have margins, hard costs, etc remove those before calculations.

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  • Dont Forget Lifetime Value

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    If 2 more sales a year at $25 Sale:

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  • Minimum data

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    Data after 97 impressions

    Ad Impressions Clicks CTR Z-Score Confidence

    Control 40 1 2.5% N/A

    Ad 2 33 5 15.15% 1.88 97.03%

    Ad 3 24 0 0% -1.01 15.57%

    Data after 3163 impressions

    Ad Impressions Clicks CTR Z-Score Confidence

    Control 1023 23 2.25 N/A

    Ad 2 993 29 2.92% 0.95 82.9%

    Ad 3 1147 56 4.88% 3.35 99.96%

  • Always Use Rotate for Testing

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  • Time

    Minimum: 1 week. Each day has different characteristics. Allow those variances to run over a weeks time.

    Better: 1 month. Each week has variances (especially pay week). Allow that to play over a months time.

    Ideal: 3 buying cycles (with a minimum of one month)

    Traffic

    Minimum 300 clicks per ad.

    Better: 500 clicks per ad

    Ideally: 1000 clicks per ad.

    One needs to allow enough potential conversions per ad (i.e. clicks) to give each ad adequate time to perform before making decisions.

    Conversions:

    Minimum: 7 conversions per ad

    Ideally: 15+ conversions per ad.

    Minimum Data Recommendations

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    Use Pivot Tables To Test At Ad Line Levels

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    AdAlysis Beta: Powerful Ad Testing Made Easy

    If Interested Just let me know:

    @[email protected]