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Get more conversions from conversion optimizer?

Visitor ✭ ✭ ✭
# 1
Visitor ✭ ✭ ✭

I have conversion optimizer set up and running. A conversion for me is a "sign up." I know from years of data that about 25% of these sign ups will then convert to a sale at $40, therefore one sign up to me is worth $10.00 to break even.

 

When I set the conversion optimizer to $8.00 per conversion I can barely get any sign ups. Maybe 1 or 2 a day. If I set the conversion optimizer to $15.00 i get about 10 sign ups a day but obviously this is a money losing proposition.

 

I also never hit my daily budget with conversion optimizer. My daily budget is really "unlimited" if I am making sign ups. I'll pay all day to be profitable! Before conversion optimizer and running straight CPC was getting 25-50 sign ups per day but also just breaking even. 

 

How can I get my cost per conversion under $10 and still drive 25-50 (or more!) sign ups?

1 Expert replyverified_user
1 ACCEPTED SOLUTION

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Marked as Best Answer.
Solution
Accepted by topic author Eric E
September 2015

Re: Get more conversions from conversion optimizer?

[ Edited ]
Top Contributor Alumni
# 9
Top Contributor Alumni

I want to point out that this is not what I said. What I said was that you might want to try to get your "baseline" CPA closer to your target, before activating the automated tool. 

 

I'm not sure about the experience of others, but I would not personally activate Conversion Optimizer with the "target" CPA set so much lower than the CPA I was already achieving. (At least, if I did do that, I'd expect to see precisely what you're seeing--that I ended up earning very few conversions.) *

 

Of course, there are a lot of ways to try and improve your baseline CPA. You can get someone to objectively review your landing page(s) to see if you can make your offer more attractive to visitors. You can 'beef up' your negative keyword list to block unwanted searches. You can experiment with new ad text to better focus on your desired audience. Etc., etc., etc.

 

================

 

Edited to add:  I wouldn't personally activate any automated tool until I had stable baseline data close to where I wanted it to be in the long run. Most automated tools are designed to produce "more of the same." In your example, you want conversions, but at about 40% of what you've been paying for them.  That's pretty significant--it's not a "more of the same" or even close. The system is responding by providing you with all the conversions it has been able to "find" at your desired cost. 

 

Given enough time, the system will probably be able to provide you with a slightly improved stable stream of however many conversions it can find at your desired cost. However, I would consider it a better choice to do account optimization myself in the short term--to figure out where the lower cost conversions were myself and "guide" my campaign toward them, before handing it all over to an automated tool.

 

Just my $0.02.


Theresa
Google AdWords Top Contributor
*~*~*~*~*~*~*~*

View solution in original post

Re: Get more conversions from conversion optimizer?

Participant ✭ ✭ ✭
# 2
Participant ✭ ✭ ✭
Hi

What kind of volume in impressions and clicks per day are we talking about? Have you seen any changes in that since you put on CO?
What was the recommended CPA when you put it on?
Are you using Target CPA or Max CPA?
How long has the campaign you put on CO for been running prior to that without any big changes being made?

Re: Get more conversions from conversion optimizer?

Visitor ✭ ✭ ✭
# 3
Visitor ✭ ✭ ✭
In the last 30 days I've had"

1,023 clicks
34,800 impressions
2.94% CTR
$1.11 CPC
$1,134.93 total cost
3.5 avg. pos
68 conversions
$16.69 cost per conversion
6.65% conversion rate

I've experimented with different CPA bids within this time. Usually between $8 and $15. I notice that when my CPA bid is $8 my average position goes down significanty which leads to less clicks and of course less conversions.

I am using Target CPA.

I've been running this campaign since 2007 with conversion tracking enabled so i assume there is plenty of analytics data to work with Smiley Wink I haven't made any MAJOR changes to the campaign in that time but of course I've experiemented with different ads and keywords, mostly finding out what DOSEN't work as opposed to what works lol.

Re: Get more conversions from conversion optimizer?

Participant ✭ ✭ ✭
# 4
Participant ✭ ✭ ✭
Hi

As you say, you have a lot of data, and that is fundamental for this function to be able to work. However, although it´s not a very small amount of conversions (way above the limit of 15) it´s also not a massive amount, and of course it could be harder for the system to calculate correctly if there are many factors contributing to why a conversion takes place (like OS, city, time of day, ...)
Also we can´t rule out that the conversion optimzer simply doesn´t work very well for this segment or account. I don´t know what reasons could be behind that, but I can imagine that if this campaign has ha a lot of different keywords, and conversions spread amongst them, it will be much harder make calculations for each particular keyword (and that is what matters in the end).

I´d probably put the bid at 10 and let it run for another month. If I don´t see at least signs that CPA is heading in the right direction, I´d turn it off.

Re: Get more conversions from conversion optimizer?

Follower ✭ ✭ ☆
# 5
Follower ✭ ✭ ☆
Hi Eric,

Whats your recommended target and Max cpa?

Regards
Ellaiah.

Re: Get more conversions from conversion optimizer?

Visitor ✭ ✭ ✭
# 6
Visitor ✭ ✭ ✭
Currently I am running target CPA of 15.00 to try and get more conversions. If I click on max CPA as my bid option it says:

Setting a max CPA of $22.60 can help maintain your ad group's traffic while keeping your historical average CPA of $17.66. This amount is about the same as a max CPC of $1.59.
Your bid adjustments won't be applied with Conversion Optimizer, because it automatically applies its own bid adjustments.

Re: Get more conversions from conversion optimizer?

Top Contributor Alumni
# 7
Top Contributor Alumni

If I can jump into the discussion briefly, to talk about the Conversion Optimizer tool? Conversion Optimizer tries to duplicate past performance. 

 

Let me suggest that if you have a historical CPA of $17.66 but a target CPA of $10, and you turn on the Conversion Optimizer tool?  What you're effectively doing is telling the tool to duplicate past conversions--but only the less expensive conversions. The tool eliminates the more expensive conversion-producing click patterns.

 

In order for the tool to produce a volume of conversions that you want and at the cost that you want, you need to optimize your campaign until your CPA is closer to your target. Then and only then can the tool be used to try and keep that successful pattern running.

 

Just my $0.02.

 

 


Theresa
Google AdWords Top Contributor
*~*~*~*~*~*~*~*

Re: Get more conversions from conversion optimizer?

Visitor ✭ ✭ ✭
# 8
Visitor ✭ ✭ ✭
Interesting.

So conversion optimizer only works if you already have your target cost per conversion achieved? I thought the point was to "get you to" your target cost per conversion by eliminating clicks that haven't worked in the past and boosting your auction on clicks that have worked.
Marked as Best Answer.
Solution
Accepted by topic author Eric E
September 2015

Re: Get more conversions from conversion optimizer?

[ Edited ]
Top Contributor Alumni
# 9
Top Contributor Alumni

I want to point out that this is not what I said. What I said was that you might want to try to get your "baseline" CPA closer to your target, before activating the automated tool. 

 

I'm not sure about the experience of others, but I would not personally activate Conversion Optimizer with the "target" CPA set so much lower than the CPA I was already achieving. (At least, if I did do that, I'd expect to see precisely what you're seeing--that I ended up earning very few conversions.) *

 

Of course, there are a lot of ways to try and improve your baseline CPA. You can get someone to objectively review your landing page(s) to see if you can make your offer more attractive to visitors. You can 'beef up' your negative keyword list to block unwanted searches. You can experiment with new ad text to better focus on your desired audience. Etc., etc., etc.

 

================

 

Edited to add:  I wouldn't personally activate any automated tool until I had stable baseline data close to where I wanted it to be in the long run. Most automated tools are designed to produce "more of the same." In your example, you want conversions, but at about 40% of what you've been paying for them.  That's pretty significant--it's not a "more of the same" or even close. The system is responding by providing you with all the conversions it has been able to "find" at your desired cost. 

 

Given enough time, the system will probably be able to provide you with a slightly improved stable stream of however many conversions it can find at your desired cost. However, I would consider it a better choice to do account optimization myself in the short term--to figure out where the lower cost conversions were myself and "guide" my campaign toward them, before handing it all over to an automated tool.

 

Just my $0.02.


Theresa
Google AdWords Top Contributor
*~*~*~*~*~*~*~*

Re: Get more conversions from conversion optimizer?

Follower ✭ ✭ ☆
# 10
Follower ✭ ✭ ☆
Hi,
Also
Do you have analytics installed on your website.
Have you tried having a look at "Assisted Conversions", and "assisted clicks".
Are you doing something to increase the assisted clicks, because they are sometimes the "feeder" clicks which eventually lead to final converting keyword which gets all the credit for the conversions.

Regards
Ellaiah.