Google Ads has many features that set it apart as one of the most effective ways of advertising online, and for many who use it, it is the data that Google provides within the advertiser’s dashboard which is the best. That is understandable because it is that data that allows them to turn a poorly performing ad into an exceptional one, due to changes made to the ad based on the performance data.
For some business owners, the Google Ads dashboard can seem like a conundrum of numbers which is why they hire a digital marketing agency to manage their Google Ads campaigns. However, whether that is how you go, or you have the confidence to manage your own Google Ads campaigns, certain pieces of data have greater significance than others.
These key performance indicators (KPIs) are the ones to focus on because it is what they tell you about your ad’s performance that allows you to make the changes that are required. We have selected five of these KPIs and explained why they are so crucial below.
Impressions
Impressions are the number of times your ad has appeared or been displayed. Simple logic tells you that unless your ad appears no one is going to click on it. a further assumption could be that the more impressions your ad has the more clicks it will receive but there is a caveat to that. It will only get those additional clicks if the ad converts well so bear that in mind. Low impressions suggest your keyword targeting is off and that your keyword choices are not being searched for.
Click Through Rate (CTR)
CTR is influenced by targeting the correct keyword, but even more than that, by having ad copy that entices and ideally compels a person to click on your ad. If your ad appears a lot but few people click on it, something is almost certainly wrong with your ad copy, so it needs to be changed.
Conversion Rate
Imagine the scenario where you get lots of impressions, your CTR is very high, but your lead generation or sales levels are poor. What this indicates is whilst your ads appear to be performing well, the landing pages that people are clicking through to are not. This means you must seek ways of improving your landing pages by looking at the copy, their appearance, their ease of use and cruciality, their calls to action.
Cost Per Conversion
This KPI is arguably the one that tells you whether your campaign is worth it or not. If the cost per conversion is low enough to allow for a profit margin you are satisfied with, then keep the camping running. However, if the cost per conversion is so high that profit margins are low, or worse, you are losing money each time, then your campaign needs multiple changes and improvements.
Quality Score
Google is obsessed with making the experience of its users the best it can be. At the core of this, Google wants what it displays in its search results, including the ads, to match what the person searched for. So, if you are bidding on dog grooming and someone clicks on it but the page they land on is about horse grooming, then Google will lower your quality score. This affects what you pay per click so with a good quality score your cost per conversion will be lower and vice versa.