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CPA price spiking

Visitor ✭ ✭ ✭
# 1
Visitor ✭ ✭ ✭

Hi

 

I have a campaign that's been running for several months with a pretty steady cost/conversion (using CPA target)

In the past 2 weeks there have been sudden spikes, caused by single ad groups (each time a different one) causing the total cost/conversion to jump by over 100% (e.g in one day suddenly one ad group will take up 80% of the budget and spike both it's cost/conversion and the campaign's cost/conversion)

These ad groups have also been running for the entire time with a steady cost/conversion until they spike

The campaign receives over 1000 conversions a day so should have enough data.

 

I'm not sure if I should pause these ad group or let them run their course. (I have already paused 2 of them). This has never happened to me before.

 

Nothing has changed on the landing page or anywhere else.

 

Any help appreciated

 

Thanks

K

 

1 Expert replyverified_user

Re: CPA price spiking

Explorer ✭ ☆ ☆
# 2
Explorer ✭ ☆ ☆
Hi Kay F,

Could you please tell me from which date you have seen the sudden spike?

Robin

Re: CPA price spiking

Top Contributor
# 3
Top Contributor
Hello, Kay. In my case, regardless of the bidding method used, I've seen this happen very often with several E-Commerce websites. And it was always due to external factors. One product became very popular all of a sudden and we got a huge traffic spike. In case we were priced competitively, we saw our cost per conversion tank. However, if there was a competitor running a deal or something, everybody searched frantically for that product yet very few bought. In this situation the cost per conversion spiked. Sometimes significantly.

I have no idea if you could be in a similar situation though.
Calin Sandici, AdWords Top Contributor | Find me on: Google+ | Twitter | LinkedIn | myBlog
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Re: CPA price spiking

Visitor ✭ ✭ ✭
# 4
Visitor ✭ ✭ ✭
Thanks for you response

Nothing has changed in the product, the ad creative, the targeting or anything else for that matter.
Looking at the one of the problem ad groups in the past 30 days it seems that it wasn't getting any traffic (or very little) and then it suddenly got a lot of traffic and just created a very high cost/conversion.
I'm assuming if I just let it be after a few days it will even out, however if every few days another ad group goes crazy the monthly average will be way higher than my target CPA

K

Re: CPA price spiking

Top Contributor
# 5
Top Contributor
Which probably means that whatever it is, it's neither related to AdWords nor can it be controlled by AdWords.

The way I spotted anomalies in the past was to check the troubled product's page for unusually high traffic. If I saw a spike in referral traffic I'd check the website that linked to it or I'd check the search terms that caused the spike and found the website that was running a daily deal. Most of the times there were people talking about a deal and also linking to one of my clients' sites.
Calin Sandici, AdWords Top Contributor | Find me on: Google+ | Twitter | LinkedIn | myBlog
Was my response helpful? If yes, please mark it as the ‘Best Answer.’ Learn how here.