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Cost Per Acquisition - Conversion Optimizer

Explorer ✭ ✭ ☆
# 1
Explorer ✭ ✭ ☆

Hello AdWords ppl,

 

  • Cost Per Acquisition sounds so good. So why  so many ppl use CPC? 
  • I have 200 conversions per month. Should I use CPA or CPC?
  • Recomended bit is 39,30€ so if I pay it I get 1 or more conversion? is it a chance that I will pay that and I dont get any conversions?

Thanks,

 

Lukas

- Lukas
1 Expert replyverified_user
3 ACCEPTED SOLUTIONS

Accepted Solutions
Marked as Best Answer.
Solution
Accepted by topic author Lukas Melichar
September 2015

Re: Cost Per Acquisition - Conversion Optimizer

[ Edited ]
Top Contributor
# 2
Top Contributor

Hi Lukas,

 

To answer your questions:

 

  • Cost Per Acquisition sounds so good. So why  so many ppl use CPC? 

Some advertisers prefer a more hands on approach with their AdWords campaigns and wouldn't like to leave it to an automated system. Humans can also make better behavioural decisions in some cases such as promoting certain products / services at certain times for example. 

 

On the other hand some advertisers can be too busy with their own business and prefer to let rely on Conversion Optimiser to a certain degree so that they can focus on other parts of the business. I have ran Conversion Optimiser as a trial for some of my client's campaigns in the past and the results have just been as good.

 

  • I have 200 conversions per month. Should I use CPA or CPC?

It depends on whether you have to the time and / or desire to manage your campaigns on a regular basis. Being in control of your own advertising might seem appealing whereas letting a system control it automatically to a certain level might also be appealing.

 

  • Recomended bit is 39,30€ so if I pay it I get 1 or more conversion? is it a chance that I will pay that and I dont get any conversions?

That's correct, the system is not guaranteed and you may pay more or less than that estimate or as you have mentioned not even generate a conversion at all.


ScottyD, AdWords Top Contributor
Was my response helpful? If yes, please mark it as the ‘Best Answer.’ Learn how here.

View solution in original post

Marked as Best Answer.
Solution
Accepted by topic author Lukas Melichar
September 2015

Re: Cost Per Acquisition - Conversion Optimizer

Participant ✭ ✭ ✭
# 10
Participant ✭ ✭ ✭
No limits or thresholds, and there is almost not risk at using the feature even at low volumes, as far as I can see, but it will surely perform better the more conversions you have

View solution in original post

Marked as Best Answer.
Solution
Accepted by topic author Lukas Melichar
September 2015

Re: Cost Per Acquisition - Conversion Optimizer

Follower ✭ ☆ ☆
# 12
Follower ✭ ☆ ☆

With Google CPA bidding you always give away control over your campaigns. I hardly have seen any campaign in which CPA bidding was giving great results. If you want to use it I suggest create 2 campaings, one with the 20% strategic keywords you better optimize yourself (20% KWs with 80% Costs), the remaining 80% longtail Keywords (80% KWs with 20% Costs) you put in the other campaign. Then you might give a shot on CPA bidding with Campaign No. 2. Be aware once you hand control over to Google CPA bidding you have very limited control over your campaign concerning, AVG.CPC, AdPos etc

 

 

View solution in original post

Marked as Best Answer.
Solution
Accepted by topic author Lukas Melichar
September 2015

Re: Cost Per Acquisition - Conversion Optimizer

[ Edited ]
Top Contributor
# 2
Top Contributor

Hi Lukas,

 

To answer your questions:

 

  • Cost Per Acquisition sounds so good. So why  so many ppl use CPC? 

Some advertisers prefer a more hands on approach with their AdWords campaigns and wouldn't like to leave it to an automated system. Humans can also make better behavioural decisions in some cases such as promoting certain products / services at certain times for example. 

 

On the other hand some advertisers can be too busy with their own business and prefer to let rely on Conversion Optimiser to a certain degree so that they can focus on other parts of the business. I have ran Conversion Optimiser as a trial for some of my client's campaigns in the past and the results have just been as good.

 

  • I have 200 conversions per month. Should I use CPA or CPC?

It depends on whether you have to the time and / or desire to manage your campaigns on a regular basis. Being in control of your own advertising might seem appealing whereas letting a system control it automatically to a certain level might also be appealing.

 

  • Recomended bit is 39,30€ so if I pay it I get 1 or more conversion? is it a chance that I will pay that and I dont get any conversions?

That's correct, the system is not guaranteed and you may pay more or less than that estimate or as you have mentioned not even generate a conversion at all.


ScottyD, AdWords Top Contributor
Was my response helpful? If yes, please mark it as the ‘Best Answer.’ Learn how here.

Re: Cost Per Acquisition - Conversion Optimizer

Participant ✭ ✭ ✭
# 3
Participant ✭ ✭ ✭

Hi

 

With so many conversions per month (presuming you don´t have 100 different campaigns or something like it), I´d at least use eCPC, which is a cautious way of letting the system use your conversion data to set bids.

Re: Cost Per Acquisition - Conversion Optimizer

Explorer ✭ ✭ ☆
# 4
Explorer ✭ ✭ ☆

Thank you for your help Scotty, so for now I will work on my CPC.

- Lukas

Re: Cost Per Acquisition - Conversion Optimizer

Explorer ✭ ✭ ☆
# 5
Explorer ✭ ✭ ☆

Hello David,

 

my Default Max. CPC is 0.30 - 0.40€ and my Av., CPC is 0.09 - 0.17€.

Do you think it can help me to use eCPC, more clicks or even conversin.

The atrticle which you gave me is nice, do you believe eCPC can bring me more relevant customers?

 

Thank you

- Lukas

Re: Cost Per Acquisition - Conversion Optimizer

Participant ✭ ✭ ✭
# 6
Participant ✭ ✭ ✭

 do you believe eCPC can bring me more relevant customers?

 


Yes, I strongly believe so, and the risk is very low because of the cautionary mechanisms built into eCPC

Re: Cost Per Acquisition - Conversion Optimizer

Explorer ✭ ✭ ☆
# 7
Explorer ✭ ✭ ☆

It souds good, so should I use it for any kind of campain?

- Lukas

Re: Cost Per Acquisition - Conversion Optimizer

Participant ✭ ✭ ✭
# 8
Participant ✭ ✭ ✭
It won´t have any effect if conversions per month are too low. But otherwise yes.

Re: Cost Per Acquisition - Conversion Optimizer

Explorer ✭ ✭ ☆
# 9
Explorer ✭ ✭ ☆

Thanks for info David.

 

For CPA is recomended to have 15 or more conversions in 30 days.

How it is in this case, how many conversions do I need to have in 30 day or even in one day?


Thank you

- Lukas
Marked as Best Answer.
Solution
Accepted by topic author Lukas Melichar
September 2015

Re: Cost Per Acquisition - Conversion Optimizer

Participant ✭ ✭ ✭
# 10
Participant ✭ ✭ ✭
No limits or thresholds, and there is almost not risk at using the feature even at low volumes, as far as I can see, but it will surely perform better the more conversions you have