Friday 16 December 2011

Performance Tip: An 8-Step Strategy for High-Profit PPC

WordStream Search Marketing Tips
An 8-Step Strategy for High-Profit PPC
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December 16, 2011 - This is the latest in a series of interviews we're conducting with AdWords advertisers who got unusually high scores using our AdWords Performance Grader. We're reaching out to high scorers to find out what strategies contribute to their strong AdWords performance.
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This week’s interview is with Caroline Hwang, the search engine marketing manager for Blinds.com.

There are tons of metrics in AdWords – What are your top 3 key performance metrics in AdWords and why?

The top three metrics in AdWords are Cost, Clicks and Profit. A close 4th would be Impressions. Those three metrics alone are sufficient for me to assess whether the campaigns are hitting top-level goals: Profitability, Revenue and Visits. With Impression data you can calculate CTR, which gives insight to the quality of your ads and ad groups. CTR is an important metric when it comes to optimizing the campaign.

Can you describe your AdWords management strategy? How do you set your campaign objectives, and how do you know what’s realistic or not?

Here’s our 8-step process: 
  1. Determine overall Return on Margin targets.
  2. Determine Return on Margin targets for specific groups or campaigns (generally based on the profit margin for a product or category).…

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