If you consider spending any amount of money on online ads, you need to think about the specifications. First, you must design the Google ads to reach your target audience. You also need to publish it in the place where you will benefit the most out of it. Publishing it somewhere like google ads where there are more than 246 million visitors and even more interactions is a good option. Of course, it will always depend on your target group and the objective of your campaign. But, most importantly, you’ll need to set up Google Ads goals to be sure you are going in the right direction.
Google ads is a great tool for creating targeted ads for your potential customers. It shows the ad right when the users are ready to make a decision. Moreover, it helps all businesses enhance how they promote their services and products online. Therefore, it is highly advisable for business to set Google Ads goals.
The way that Google ads work is by monitoring and trying to improve the performance of your company’s ads. It is doing this on a continuous basis, again and again. Based on that, there are six metrics which you should follow when setting up your Google Ads goals. Let’s take a closer look on each of them and how you can use them.
Google Ads works as a bidding system. In this system, you choose the greatest amount you are willing to pay for your ad. This is what we call the bid amount. You can set different SMART Google Ads goals depending on the method of bidding you choose, let’s go through the different options:
Cost Per Click (CPC)
Your company will only have to pay if someone clicks on the Google Ads advert. This means that your company will pay for the clicks that lead the users to the desired URL. The amount of clicks will depend on the quality of the campaign. So, if it is good, it will receive more clicks and you will have a higher chance of gaining new customers. But at the same time, it is an advantage for your company because you will not be spending any money if your ads don’t turn out to be successful. Thus, you have a bigger gap for mistakes and try-outs.
A SMART Google Ads goal for CPC could look like this:
Cost Per Impression (CPI):
In this model, as far as the advert is being published, your company will pay a specific amount for every 1000 impressions. An impression occurs when your ad appears on the screen of a user. Thus, the clicks are not taken into consideration in this bidding method.
Cost Per Engagement (CPE):
With this model, a company pays according to what engagement a user has completed. This engagement is something defined by the company, such as watching a video, clicking on a photo, liking the ads, etc. An example could be that your company has a cost per engagement focused on video advertisements. Then you would only pay when a user has watched your video. With this method, you can also put some pressure on your team to achieve a Google Ads goal like this:
It is good to remember that the quality score is measuring the relevance and quality of your company’s ad. Several things are being considered when Google calculates the quality score. An important factor is how many people click on the ad when Google displays it. Things such as the click-through rate (CTR) and the expected Click Through-rate are also very important factors.
The CTR of your company is the amount of clicks your company gets on its ad. Google calculates it as a proportion of the number of views the ad is getting. The higher the CTR is, the more effective the ad is.
In other words, it is a metric on the frequency with which users who are seeing your ads actually click on them. Therefore, it highly depends on the attractivity of your ads. It also depends on your capability to target the right users. You can use the CTR to set a Google Ads goal with your team, for example:
Expected Click-Through rate:
The expected click through-rate is part of the CTR, and it is an estimation made by Google. This estimation calculates the likelihood that a viewer will click on an ad after searching with a specific keyword. You can use it as a guideline to know if your ad should be reviewed or not.
The bounce rate calculates how many users left right after entering your website. This could be because they were not satisfied with the landing page. It could also mean that the landing page did not meet their expectations and fix their problem. This can severely harm how Google perceives your website. Moreover, if you are paying per click, it might be a huge problem. It would be expensive for your company and it would not be effective. A SMART Google Ads goal to set for your team with the bounce rate would for example be:
You need to make sure, as a company, that you are providing an outstanding website experience. You should not only focus on the advert, but also on what the customers will find after they click. Therefore, make sure your website is being optimized. This means that you want the landing page to solve the problem the user was searching for, so that they will not leave and therefore increase your bounce rate. You can avoid falling into this trap by creating excellent content and finding the right keywords for your ads.
Conversion rate (CVR):
A conversion rate or CVR is a specific action that you want the user to undertake. There can be several kinds of conversions, such as sign-ups, leads, purchases, etc.
A specific example of a conversion rate would be if you have a goal for a specific ad to have as many people signing up as possible.
This metric defines the placement of your ad in the search results. It calculates it every time someone makes a search query that concern your ad, and because of that there is a bigger chance that some of the users will click on your ad. The number of clicks your ad gets, will depend on the ranking position you will receive. Statistics show that 65% of all clicks made by users who actually intend to make a purchase go to the ads which are on the top.
This is what you want to be, efficient, because you don’t want to waste your money on non-returning adverts. If this is done right, the success that you will achieve here can have a positive effect on the strategic goals of your company.
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