AdWords Campaign Measurement Strategy

Google AdWords Study GuideMeasurement of the campaign is crucial to analyze the paid marketing efforts and improve to get maximum return on investment. So check out the AdWords Campaign Measurement Strategy.

Factors for AdWords Campaign Measurement Strategy

1. Customize Data: Segments help in customizing your data such as time, click type or devices, top vs other.

2. Dimensions: It allows you to filter your data according to time, geography and landing page.

3. Search term reports: Optimize your keywords by adding high performing keywords and adding a setting as negative keywords for low performing ads or match type.

4. Top Movers Report: Shows the major increase or decrease in the campaign based on clicks, costs and conversions.

5. Paid and organic Report: Link search console to Adwords account to see which queries triggered those results. It will help you to analyze low paid impressions queries or optimizing high impression queries whose organic traffic is less or remove duplicate queries.

6. Auction insights – It will help you to improve your performance by seeing those advertisers performing better than you.

Adwords Campaign Measurement Tools

Find the tools for measuring an Ad Campaign

1. Conversion tracking – It helps to see what customers do, whether they purchased the products, signed up the newsletter, filled the contact form. By tracking all these conversions you can see the campaigns performing better.

2. Google Analytics– It helps in analyzing e-commerce transactions, analytics metrics such as bounce rate, a percentage of new sessions, remarketing capabilities, multi-channel funnels.

3. Campaign experiments: You can test your campaigns to analyze best and worst performing campaigns to increase conversions, clicks impressions or ROI.

Metrics to measure your business goals success

Measuring the traffic to the website

1. CTR(Click through rate)- It is the ratio of the total number of clicks and total impressions and should be high.
2. Keywords – you can pause, remove keywords with low-quality scores, you can select the match type as applicable.
3. Search Terms: add relevant search terms and add negative keyword list.

Measuring conversions

It can be total conversion cost, converted clicks, conversion rate, cost per conversion.

It is calculated (ROI) = Revenue – Cost of goods sold or expenses/Cost of goods sold or expenses.

Advertising ROI % = (Total revenue – Total cost) / Advertising costs x 100

Let understand all this with an example or scenario

Campaign cost – 25$ per lead
Leads = 500
Customers = 10 (Taking 2% conversion rate)
Expenditure = 100$

Earning / customer = 2000$

Campaign total cost = 12500$
Expenditure= 100$
Total Expenditure Cost = 12600$

CPA (Cost per Sale) = 12600$/10 = 1260$

Total earnings = 10(customers)* 2000$= 20000$

Total Profit = 20000$-12600$ = 7400$

ROI =20000- 12600/12600= 58.7%

Advertising ROI% = 20000- 12600/12500*100 = 59%

ROAS ( Return on Ad Spend = Revenue from campaign/Ad cost*100= 20000/12500 = 160%

How to optimize your Ad campaigns for Adwords?

1. Ways to improve ROIs

2. Keyword Tips

  • Eliminate unwanted clicks through negative keywords.
  • Remove duplicate keywords.
  • Optimize low performing keywords.

3. Ad Texts Tips – Use of proper keywords and ad text Also, you can enhance your ads with ad extensions.

4. Bids & Budgets

  • Experiment with bids and allocate your budget properly.
  • Adjust your keywords that show the profit.
  • Use Ad scheduling.
  • Increase or decrease bids.
  • Increase your brand awareness by CPM bids by selecting proper target options ad format and bidding strategy.

Over To You!

Now that you have learned Adwords Fundamentals concepts, it’s time to give AdWords Fundamentals Exam!

After passing don’t forget to check the Google Display Network of this Google AdWords Study Guide.


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