A PPC ad can boost brand awareness by 80%. Since brand awareness makes conversions easier, it’s important to understand how to use these PPC bids for your business.
To get the most out of pay-per-click ads, you need to understand the PPC bid management process. Knowing how to budget and analyze your bids will help you get the most out of the money you spend on ads.
The process involves planning, bidding, analyzing, and further planning.
What Are PPC Bids?
A PPC bid is a bid on specific keywords or groups of keywords to get optimal ad placement when people search these words. You bid on how much you’re willing to pay each time someone clicks on your ad.
The placement of your ad depends on the ranks of highest bids for these keywords. For instance, if you’re willing to pay $.20 per ad, but someone else places a bid for $.30, their ad will get placement more often than yours.
PPC Bid Management Process
Why would you spend money to show up higher in searches anyway? The quick answer is because it works.
46% of search clicks go to the top three results. By paying for placement in these top spots, you ensure more clicks to your landing pages.
You also increase your chances of grabbing people with intent to buy. 65% of buyers go to the paid advertisements. To get the most out of these opportunities, it’s important to make sure you plan well.
Which is the Best Bidding Option?: The Planning Stage
You need to understand your ad goals before you start a campaign. Do you want clicks or sales conversions? Determine what you want your ad to accomplish.
Once you know what constitutes success, pick some keywords that will rank in searches. You want to make sure the keywords are specific enough to reach people interested in your business. You also want to make sure they’re broad enough to show up in searches.
You can use tools such as Keyword Finder from Google to determine the best keywords to use based on traffic and high-bid amounts. This will help you determine which keywords to use.
You also want to determine what parameters to set up for your bids. You can modify bids to specify placement on specific devices or based on location.
Creating Ads that Convert: Planning Part Two
Once you have the keywords you need, you want to make sure your ad will keep people interested once they click. This means creating ads that will meet the keywords and ad parameters.
Make sure the keywords you’re bidding on show up in the ad copy. Any keyword groups you bid on need to show up in the ad copy to make sure you keep it relevant.
You also want to make sure you have a clear call-to-action in the ad copy. The idea is to convert leads. You can only do this by telling them what you want them to do with the information.
Set Up Bidding Parameters
With PPC bids, you can set up the parameters you want for your ad to show up. In some instances, you can even set up times you’d like the ad to show up based on best conversion times.
The most important parameters are based on the keywords you want to rank for. Set up your keyword groups and the amount you’re willing to pay.
Make sure you base this on bids that will allow you to rank without breaking your budget. If necessary, set up daily budgets for your words.
You can also set up location parameters for your ads. This will make sure your ads show up for people in a set area. This works well if you have a location-specific business or you’re running ads for a conference.
Analyzing Your Bids
How you analyze your bids will depend on the software you use to manage your bids. You can manage them manually, use the automated bidding software provided, or purchase bid management software. You can also outsource bid management to an agency that specializes in PPC ads.
Even if you use an automated system, you still need to check your conversions and adjust your bidding parameters on occasion. You want to make sure you have enough data before making changes.
It’s best to schedule bid checks so you’re not tempted to check too often. You need time for bids to have an effect.
Analytics allow you to see how your keyword ads perform so you can modify if necessary. This includes:
Increasing bids with higher conversions
Stopping or modifying keyword bids with low conversion
Changing keywords you want to rank for
It’s important to watch conversion rates for your keywords. If a keyword has a high conversion rate, you might consider raising the bids. Low-conversion bids need adjustment.
Which Bidding Option is Best Suited to You? Planning Part Three
After you’ve run PPC ads for some time, you’ll have a better idea of what works for your needs and what doesn’t. This allows you to determine which bidding options work best for your business needs.
Take time to analyze your results and continue to make adjustments until you hit a sweet spot. This doesn’t mean you’re done analyzing results though.
Bid management requires regular analytics and adjustments. Once you start seeing conversions you’ll have a better idea of what customers are looking for. This helps you determine further keywords to bid on and better call-to-action statements.
Even if you use an automated system, you can’t just rely on this. You need to stay involved in the adjustments so you make sure you’re getting the most out of your money.
The Help You Need for PPC Management
The PPC bid management process requires regular work. This can eat away at the time needed for other business processes.
If you want to take advantage of PPC bidding, but don’t have the time to keep up with it, you can outsource the work to PPC experts. If you’d like to learn more, check out the PPC management services we provide.
40% of brands say that their PPC (pay-per-click) advertising budget is lower than it probably should be.
When you’re creating a PPC campaign, one of the most important aspects is how much you’re going to budget per day or month for your ads. And, if you’re just getting started, it’s often hard to know just how high or low to set your bids.
Creating the right kind of budgeting strategies is a crucial part of ensuring that your campaigns are successful.
So, what’s the best way to go about creating a budget for ad bidding? Here’s how.
What Is a PPC Campaign Bidding Budget?
Before we get started, it’s important to understand what a solid campaign strategy definition contains.
Defining your overall PPC strategy means that you have to also define a campaign budget.
Setting up a paid search campaign requires you to allocate a certain amount of money to each campaign while also defining how much you want to spend per day.
This essentially means that if you know that you can only spend $250 per month on paid ads, then you need to spread that budget out over the entire month.
You can simply divide that $250 by 30 days and then you’ll have your daily budget. However, there are smarter ways to go about optimizing your ad spend that will increase your revenue.
How to Create a PPC Budgeting Strategy
A qualified PPC expert will tell you that creating a budgeting strategy is different for every business.
Even if two businesses have the same amount of money to spend, it doesn’t mean that they are going to need to set the same daily campaign budget.
To create a solid PPC budgeting strategy, it’s important to think about the value of what you’re selling.
Imagine two companies.
Company A is trying to create paid ads in order to sell their brand new $25 coffee maker. Company B is building a paid ad campaign to sell $500 mountain bikes.
If an ad results in a click that later results in a conversion, that conversion is going to be worth a whole lot more to Company B, right?
Think about this when developing your budgeting strategy. How much is a click or conversion worth to you? Don’t set your maximum cost per click to any higher than that number or else you’re going to be losing money in the long run.
You’ll also want to pay attention to your keywords.
If you’re selling in an industry that is highly competitive then you might have to allocate a little more money to a paid ad campaign as you’re going to need to
Budgeting Strategies for a New Campaign
Unless you’re working with a really experienced team of PPC specialists who know exactly what they’re doing, experts tend to recommend starting with a high maximum cost-per-click.
This will allow you to see how your keywords and ads are performing in the first few days or weeks. It will also ensure that people are more likely to click on your ads, which leads to a higher level of ad relevancy. This helps a lot in the long run!
Don’t worry. It’s unlikely that you’re going to have to pay more than a few dollars per click anyway.
However, following this budgeting strategy, you’ll be able to let your keywords and ads work their magic alone.
After seeing how they perform, you can then start to optimize your ad texts and remove and add keywords.
Take a look at the search words for each ad and figure out which keywords you’re paying for that aren’t going to drive conversions.
If you’re selling mountain bikes, for example, and you see that people are clicking on your ad after searching for “children’s bikes for sale,” then add that keyword to your negative keywords list.
This will help you save money on clicks that won’t lead to actual conversions.
After engaging in this kind of optimization for about a week or so, you’ll then be able to start to adjust your campaign strategies and budgets.
After your ads are relevant and receive more traffic, you can begin to lower your daily budget and maximum cost-per-click.
Budget Strategies to Increase Revenue
If you’re not new to ads or have been running a campaign for a while, then you’re likely wondering which bidding strategy should use you if you want to increase revenue from your ad spend?
Great question! This is actually part of the exam that Google suggests all expert PPC specialists complete.
By following this budgeting strategy, you’ll be able to set your bids based on, well, ad spend.
This is a Smart Bidding strategy that you can select within Google Ads. It essentially helps you get more conversion value or revenue for the ROAS that you set.
This also means that, when it’s time for the search engine to hold the auction to see who’s going to appear first on the page, it’ll optimize your bids automatically.
Why is this important? It allows you to tailor your bids for each auction, which ensures that you’re going to consistently rank higher and reap the benefits of that.
Any budgeting strategy that focuses on action and conversions are going to increase your revenue.
Here, you’re not looking to build brand awareness, you’re looking to increase clicks to a high-quality landing page that will drive people to take action (i.e. purchase whatever you’re selling!).
Getting Help with Your PPC Budgeting Strategy
This might seem a little confusing, and that’s okay. That’s why there are courses and certifications for those who work to fully understand how PPC campaigns work.
If you’re left feeling a little confused as to how to develop quality budgeting strategies for your campaign, then it helps to get help!
Contacting a PPC marketing specialist who has experience in developing budgets for campaigns and companies of all sizes and types will ensure that you’re not wasting precious ad money on things that don’t increase your revenue.
Ready to increase your revenue and start winning with PPC?
The last five years were huge in the world of PPC marketing. Marketers used paid ads tools, enhancements, targeting options and new campaign features.
Most of these changes are in response to changing consumer behavior. The current business environment is ever-changing. Marketers have to be aware of these changes to remain relevant.
Experts argue that the growth of the internet offers more opportunities to advertisers. Exploiting these opportunities will help advertisers to stay ahead of the crowd.
Here are the five upcoming PPC Trends to watch for in 2019.
1. A shift of Focus from Keywords to Audiences
Search experts believe that keywords will die in 2019. Therefore, advertisers will shift their focus to context and people in paid searches. Keywords will still be important, but audience targeting will be crucial for securing high performance.
Targeting involves dividing a large market into smaller portions. This allows marketers to focus on the particular group of consumers in the audience.
It outlines a fragment of clients based on their unique traits.
The markets segment the audience based on characteristics such as demographics, geographical areas, business industry, and psychographics.
Audience targeting strategy will differentiate the best search marketers from the ordinary ones. The key to success will be creating a comprehensive approach to different audience types.
Audience targeting enables companies to reach consumers interested in their products or services with relevant messaging. It also improves conversation rates and saves the organization’s resources.
It is essential for targeting prospective customers and preventing wasting ads on people who won’t convert.
2. Automation and Human Intelligence
Automation and human intelligence are the latest technologies used by marketers to develop ‘smart ads.’ These are advertisements that pinpoint the preference of the designated customer segments.
Artificial intelligence provides computers the ability to learn and improve from experience. They learn without human help and adjust. Machines learn by accessing the data and analyzing human behavior when using computers.
For example, people type different topics when searching for things on search engines or YouTube. Machines use this data to guess and predict the segment and preference of that specific internet user.
Based on this data, the computer will display advertisements. This is the concept of smart advertising. Machines will do the heavy lifting by analyzing big data of internet users and recommend advertisements.
Amazon is the largest online retailer in the world, and its growth is expected to continue with an upward trajectory. Amazon has evolved from an eCommerce site to a huge advertising platform.
Shoppers find it easier to find their desired products on Amazon since sponsored products display ads on Amazon. These ads can be displayed on app placements, in a desktop, mobile browser or tablet.
Amazon continues to test new ad designs and ad placements to improve the shopping experience.
The use of artificial intelligence improves Amazon ad placements. The ads are relevant to what the customers search for. The ads are personalized, leading to increased impressions, clicks, and sales.
There are also other advertising alternatives that advertisers should look out for in 2019:
Bing Ads that display product stock availability in nearby stores. Facebook advertisements personalized for different users.
Pinterest allows users to buy from a product pin.
Local catalog Google ads feature that displays pricing in a simple mobile layout and in-store availability.
4. Use of Videos is one of the latest PPC Trends
Video marketing dominated in 2018 and will continue to be more prominent in 2019. Video is a powerful marketing tool to publicize products and services on the internet.
Display ads tend to get more clicks than text ads. People will only buy when they see what they are getting.
Video ads offer aesthetic appeal and business reach. The following stats prove how videos are compelling:
More than 8 million videos are watched daily on Facebook.
96% of clients find it easy to use videos when making their decisions on with products to purchase.
60% of consumers find companies that provide video content trustworthily.
Sponsored videos on Instagram get three times more comments than sponsored photos.
Video advertising has the potential to reach a wider audience. Short videos with relevant and valuable information grab the attention of the audience. Social media platforms increase the reach of videos because users share them with their friends.
Videos are powerful marketing tools, but the challenge is identifying the right audience. Displaying videos to the right audience will increase their reach and performance of the paid ads.
5. Science of Marketing Funnel
Marketers interact with their audiences using various channels in the different stages of the buying cycle. Each channel is significant and produces different results. It is essential for marketers to prioritize the channels based on their impact.
For example, a customer can view and engage with a video published on YouTube. The same customer can also see the ad on Google, clicked, visited the site, and made a purchase. It can be difficult for a marketer to measure the effectiveness of each channel in such a scenario.
A good attribution model is crucial in measuring the effectiveness of the campaigns. The results are useful in prioritizing the different marketing channels. More resources should be spent on the high performing channels to improve the results of the marketing campaign.
The business environment is rapidly changing, and marketers have to keep up with these PPC trends.
The growth of the internet offers more opportunities for marketers. They can exploit machine learning to develop smart advertisements.
It is also evident that eCommerce sites are slowly replacing search engines. Customers are increasingly searching for their desired products in eCommerce sites than Google.
It is significant for marketers to have and utilize this information. It separates the best search marketers from the average. The best search marketers will develop more customized ads that will provide great impressions, clicks, and site visits driving up the sales.
Please explore our blog to find out more insightful information about upcoming PPC trends for 2019.