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Data

obx
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# 1
obx
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I;m trying to determine which of these factors carries more weight?  # of clicks, # of Impressions or CTR.  Where should I focus my attention and ultimately my $$?

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Re: Data

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# 2
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Hi obx, the answer is probably "none of the above", but it depends upon the purpose behind your advertising.

 

If you're looking for branding - to simply increase awareness of your company or product - then you'll likely use CPM (cost per thousand impressions) based Campaigns so in that case Impressions will be your key metric.

 

However, if you're looking to increase sales, sign-ups, leads or anything else that has a value (real or estimated) then you'll be looking to use CPC (cost per click) Campaigns and it is Conversions that are the key metric for this sort of purpose.  For example, if you run an online ecommerce store selling "widgets" the key performance data for your AdWords Account is the number and value of sales AdWords generates.


While the other metrics you quote - clicks, impressions, CTR - are important, they're all part of the equation that leads to the best conversion rate and cost/conversion so pursuing these conversion based metrics will in itself lead to optimising the others.

 

What you spend should also be driven by your conversions, not by anything else (except when testing).  As a very simple view, if AdWords is generating a net profit you should spend as much as you can; if it isn't, you should stop advertising (that product/service).

 

Can you give us some more details about your plans/site/business?  We'll try and give you some more focused advice.

 

Jon

AdWords Top Contributor Google+ Profile | Partner Profile | AdWords Audits

Re: Data

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# 3
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Hi obx,

That depends on your goals for your campaign and what you mean by "carries more weight". CTR is the primary factor in QS. The better the CTR, the higher the QS and the lower your CPC costs.

But I would say none of these are the ultimate focus for you $$. The real deal is in your conversion rates. That's where you make your money.

Best of Luck!

Pete
petebardo -- Deadhead doing AdWords

Re: Data

obx
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# 4
obx
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We manage Vacation Rental homes on the North Carolina Coast.   

I know that ultimately it is conversions is what we are measuring.  However, If I want to reallocate $$ based on a campaigns performance - should I care more about the clicks or the impressions or just the CTR?  

 

We ultimately need to get them to our site to book a house on-line or call us to book.  

 

We were paying a lot of $$ to an outside person to manage our PPC and the results were not as good as we have been able to achieve doing it in house.  

Re: Data

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# 5
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Both Pete and Jon are right - conversions are what are important - focusing on the others can lead you AWAY from your goal as you concentrate at the start of the process - the impressions and clicks. Start at the end (the bookings) and work backwards to see which parts of your campaigns are driving the valuable traffic and concentrate on those. There may be fewer impressions, fewer clicks and they might cost you more, but if that's where the gold is, that's where you want to be.

Re: Data

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# 6
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... and if a good proportion of your inquiries come in over the phone you should invest in some call tracking. I use these people http://calltrackingmetrics.go2cloud.org/SH18

Re: Data

obx
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# 7
obx
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thank you - appreciate the feedback