It’s been a long time that I could actually post some nice information for the newbies in the Digital Marketing world. Almost every day I get emails from people asking me questions related to SEO, SEM and Analytics.
Thus this post goes out to people who are working in Google Adwords. I hope this information will help them in their endeavor to maintain campaigns for their company or for their personal website.
Question 1
How do I lower max cpc for any keyword?
Ans: Very important and very relevant for campaign managers. This is something which most of the people working in the industry look around the web for tips and tricks.
My Suggestions:
Max CPC depends on Estimate Top Page Bid and Estimate First Page Bid. Now, Estimate Top Page Bid and Estimate First Page Bid depend on the Quality Score.
The Quality Score Matrix is simple to understand but complex in implementation. Overall idea of Quality Score Formula:
- Historical Click Through Rate(CTR) of the keyword in Google (As per their data)
- Historical CTR of all ads and Keywords in the Account (New accounts tend to get lower CTR)
- Historical CTR of Display URL’s (you can check with Multi Variate Testing)
- Quality of the Landing Page (is very important)
- Relevance of the keyword to the ads. (*)
- Relevance of the Ad and the Keyword to the Search Query. (Trim down with negative keywords)
- Performance of your account in the targeted region. (Certain areas fetch better results)
- Other factors (this will come with experience)
Note that the CTR criteria for campaign managers are based on:
- Keyword Level
- Ad Group Level
- Campaign Level and
- Account Level
The below example of how Ad Rank works will help you understand where to work to get better results.
User à Search Query
Google àCheck the keyword against Match Type
Google àIgnores (Not Eligible or Disapproved Ads)
Google àCalculates Ad position based on Quality Score and Bid Amount
Google àShows ads on the SERP (Top Section/ Other Section)
Let me know your thoughts on this.
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