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February 17th, 2016

2 Indispensable PPC Metrics You Must Monitor

PPC dashboards are full of data, and there is no shortage of metrics that you can use to measure the success of a campaign. But with limited time and resources, every PPC campaign manager must decide which metrics are worth following and which are not.

With only a handful of metrics falling under the “important” category, I present these two as being indispensable:

1. Return on Ad Spend (ROAS)

For every $1 you spend on advertising, how much new money is brought back into the business? Return on ad spend is your basic calculation to determine whether your ad campaign is profitable or not.

If you’re earning $1 for every $1 spent, you are at a break even level. Of course, this doesn’t account for labor, operating expenses, etc. So truly, a 1:1 (or 100%) return on ad spend is costing you money. On the other hand, anything over 100% is pushing you into profitable territory.

The great thing about measuring ROAS with your PPC campaigns is that once you are in the profitable zone, there is almost no limit to the amount you can raise your ad spend to. If you are profiting $1 for every dollar spent, increasing your spend to $1000 or $10,000 brings you $1000 and $10,000 of additional profit, respectively.

Eventually, you may hit a tipping point, which is when you have to decide if you want more business or more profits. And before you say, “more profits,” remember that a $100% profit on $100 is significantly less favorable than a 25% profit on $100,000. There will come a day where you will have to decide between profit margins and revenues.

2. Cost Per Conversion

What is the cost of that lead or sale? In most cases, every product (or lead) has a different value, so the amount of money you’re willing to invest in getting that conversion will vary greatly as well.

This is where cost per conversion comes in, and rarely is this a global site metric, but rather a product by product metric. Higher ticket items can succeed with a higher cost per conversion. Lower ticket items, not so much.

But as with ROAS, once you know your profitability point, you can invest unlimited amounts of money, knowing that every conversion will be adding rather than taking away revenue.

So there you have it, my opinion on which metrics are indispensable. Do you agree?

September 17th, 2015

Google Is Collaborating With Third Party Measurement Partners To Improve Measurement Accuracy Between Different App Attribution Trackers

Google is striving to improve the measurement accuracy between different app attribution trackers and DoubleClick with the announcement of its ability to integrate app install and event data from third party measurement partners, beginning with TUNE. Read More…

August 13th, 2015

Why your analytics system doesn’t track your website search

You probably use your web analytics system to track visitors to your site, where they come from, where they go, and whether they convert one of your offers at the end of their journey. And if you ask your web analytics vendor, whether it is Google, Adobe, or someone else, they will tell you that their system tracks every page equally well on your website. But there is one that it doesn’t track so well–your website search results page. Read More…

July 16th, 2015

Facebook Changes The Cost Per Click Rules

Facebook is changing how it measures cost per click (CPC) for advertisers. This comes as part of its latest Ads API release.

From now on, CPC will only account for what Facebook calls “link clicks,” which are clicks related to certain ad objectives like: visiting another site, installing an app, or viewing a video on another site. This also includes call-to-action clicks and clicks to Facebook Canvas apps. It will no longer account for what Facebook refers to as “engagement clicks,” which include likes, shares, and comments. Read More…

June 11th, 2015

Twitter Adds Website Cards to drive website clicks

Looking at Twitter for some added exposure and marketing? Consider The new, Twitter website cards – note, you’ll need a Twitter ads account in order to get started.  So, what are website cards? To help you connect Twitter’s valuable users with your site, you can use an ad unit called a Website Card with your Tweets. Read More…

May 14th, 2015

CTRs for Facebook Increase Year-Over-Year

Click-through rates for Facebook ads have gotten tremendously better over the past year if findings in a new report are any indication. This comes as advertisers adopt different types of ads and become less reliant on organic post reach, which has declined significantly for many of them. Read More…

April 16th, 2015

Advertisers Should Take Advantage Of AdWords Visits Metric

Late last year, Google added store visit conversions to estimated total conversions in AdWords, aimed at letting advertisers in the U.S. get an idea of how many people are visiting their stores as a result of their ads. Read More…

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