Pay-Per-Click Fundamentals
Illustration by Richard Downs

Pay-Per-Click Fundamentals

with Elizabeth Marsten

Video: Reviewing your metrics

One of the most mind boggling parts of PPC management, is looking However, saying you're going to increase PPC revenue 25% But what metrics helped drive your goal? If you are working in e-commerce, the metrics you are going to choose will be Conversion rate and number of conversions.
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  1. 1m 14s
    1. Welcome
      1m 14s
  2. 10m 9s
    1. What is pay-per-click (PPC) marketing?
      2m 2s
    2. Understanding PPC's role in your marketing mix
      2m 12s
    3. Pros and cons of PPC
      2m 30s
    4. Things to know before you get started
      3m 25s
  3. 14m 10s
    1. Creating a Google AdWords account
      5m 56s
    2. Creating a Bing Ads account
      6m 13s
    3. Setting up your account structure
      2m 1s
  4. 19m 32s
    1. Setting up campaigns in your new account
      6m 38s
    2. Choosing geographic targets and location-based settings
      4m 56s
    3. Setting daily and monthly campaign budgets
      3m 52s
    4. Creating ad groups without going overboard
      4m 6s
  5. 18m 32s
    1. Researching keywords
      5m 5s
    2. Selecting keywords
      5m 2s
    3. Selecting the match types for your keywords
      5m 4s
    4. Selecting negative keywords
      3m 21s
  6. 17m 13s
    1. Understanding what makes a good ad
      6m 31s
    2. Writing compelling ad copy
      4m 35s
    3. Testing your ad copy
      2m 49s
    4. Using dynamic keyword insertion in ad copy
      3m 18s
  7. 11m 41s
    1. What is quality score?
      3m 52s
    2. Using and improving your Google AdWords quality score
      4m 50s
    3. Using and improving your Bing Ads quality score
      2m 59s
  8. 16m 2s
    1. Using Google's Display Network
      7m 58s
    2. Understanding the Google and Bing search partner networks and how they work
      3m 51s
    3. Using the Bing Ads content network
      4m 13s
  9. 26m 43s
    1. Reviewing your metrics
      4m 32s
    2. Interpreting results
      6m 7s
    3. Installing conversion tracking
      8m 46s
    4. Troubleshooting common performance problems
      7m 18s
  10. 13m 14s
    1. Using the AdWords desktop editor
      2m 41s
    2. Using the Bing Ads desktop editor
      3m 9s
    3. Tips and tools for using offline editors
      7m 24s
  11. 1m 12s
    1. Next steps
      1m 12s

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Watch the Online Video Course Pay-Per-Click Fundamentals
2h 29m Beginner Apr 28, 2014

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Learn how to develop, launch, measure, and optimize winning pay-per-click (PPC) marketing campaigns in this detailed course. Author and search engine marketing expert Elizabeth Marsten shows you the fundamentals of PPC advertising to help you drive targeted traffic to your website. The course begins with an overview of the PPC world, walks you through setting up Google AdWords and Bing accounts, shows how to set campaigns, explores how to craft compelling ad copy, and helps you measure and leverage results. You'll also learn how to use display and partner networks to increase your reach on other popular websites. Dive in and learn how to leverage this crucial, effective marketing channel.

Topics include:
  • What is pay-per-click marking?
  • Understanding the pros and cons of PPC
  • Creating AdWords and Bing accounts
  • Setting up campaigns
  • Setting daily and monthly budgets
  • Researching and selecting keywords
  • Writing ad copy
  • Understanding Quality Score
  • Leveraging display, content, and partner networks
  • Using offline desktop editors
Google AdWords Bing Ads
Elizabeth Marsten

Reviewing your metrics

One of the most mind boggling parts of PPC management, is looking at the swath of numbers and available metrics for the first time. There's a lot of information there. The questions most new PPC partitioners have, tend to revolve around not the how-to's, but the now what's. As they try to decide what keywords to bid on, when to raise a budget, and when to delete something or when to expand. First thing we'll do in this lesson is examine what metrics you'll want to hold near and dear to your heart, based on your goals. And if you don't have, or haven't determined a PPC goal, now is a great time to set one.

Setting a goal for PPC needs to be measurable and specific. It needs to include a point in time with start and end dates, and you need to stick to it as best you can. Saying increased revenue is not a good goal, and it will just lead to frustration on your part. However, saying you're going to increase PPC revenue 25% over the next 3 months, is specific, timely and measurable. It will also allow you to determine what metrics to look at consistently, and aim for improvement in. But what metrics helped drive your goal? Well I can help with that.

If you are working in e-commerce, the metrics you are going to choose will be slightly different than that of someone who is doing, say lead generation, or just driving traffic. What you want to make sure you avoid is that glazing over, or being paralyzed by the amount of available data. For e-commerce, I recommend the following metrics as a priority. Cost overall per campaign and ad group basis. Conversion rate and number of conversions. Cost per conversion, or CPA, cost per action. The number of clicks and your cost per click. How many clicks are you getting, and at what rate? Outside of AdWords and Bing, you want to keep an eye on revenue, or total from PPC, transactions, the number from PPC, and your average order value.

For lead generation, here are some good metrics to follow, cost overall and a per campaign/ad group basis. Conversion rate and number of conversions. Cost per conversion, or CPA, cost per action. Clicks, and cost per clicks. How many clicks you're getting, and at what rate, so very similar to e-commerce. But outside of AdWords and Bing, this is where it differs. You want to keep track of the number of leads from PPC, and the quality of leads from PPC. This one is crucial to knowing whether or not you're bringing in the right kind of customers. Now how about for traffic generation? You want to take a look at cost overall on a per campaign and ad group basis.

But additionally, cost per click, the volume of clicks, the average ad position, and your CTR. Because with traffic generation, all you're doing is driving peer traffic. You want to get as many clicks as you can for as little cost as possible. Now as I was saying, these are what I would consider to be priority metrics but not everything. Only you know what success truly is for your business. Depending on what you're selling or driving traffic to, you're going to want to consider other influencing factors, like geography, time of day, day of week, and site behaviors like exit rate, time on site, and page views.

Just don't let yourself get overwhelmed. So how can you stay on top of reviewing your metrics? Well, if you haven't found it already, there's a home tab in your AdWords account. Simply click it, and you can build yourself a dashboard to find everything you need in one place, with drag-and-drop modules, see stats at a glance, and find trouble spots quickly. Let's check one out. Here in our AdWords account, we're open to the campaign screen by default. As I stated earlier, there's the Home button, and we're going to click it, and we'll be taken to the dashboard page. Here, you can see all of the different options that are available to you.

You can minimize a report, you can drag and drop windows, and you can customize the columns for each one of these modules. I highly recommend taking some time to play with this interface and set it up to your liking. If you'd like to make this dashboard your default when you log in, scroll down to the bottom, and you'll see the button here, for make this my starting page instead of the campaigns tab. Make sure that that's checked, and you're good to go. Well, there you have it, an easy, free way to review AdWords metrics at a glance.

As I said before, only you can define success for your marking efforts. Just make sure that if you haven't already set a goal for PPC, that you do so, so you can celebrate when you get there.

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