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Visitor ✭ ✭ ✭
# 1
Visitor ✭ ✭ ✭

Hello Friends,


Please help me that HOW CAN I DECREASE the CPC of my google adwords account.




1 Expert replyverified_user


Follower ✭ ☆ ☆
# 2
Follower ✭ ☆ ☆

Hello MikeGore,


Depending on your goals. I would suggest doing a deep dive on each of your keywords. By simply decreasing your budget and lower your cpc's will actually just hurt the success of your campaign. I would analyze each of the keyword within all your adgroups and identify which are not meeting your objectives or goals.
Make sure to also utilize negative keywords to avoid wasted clicks for non relevant audience.


Follower ✭ ✭ ✭
# 3
Follower ✭ ✭ ✭

increase the quality score:


and decrease the bids


[ Edited ]
Top Contributor
# 4
Top Contributor

Hi Mike,


The simple answer is decrease your bids.


But that's not going to be a valuable soluton as all that will do is start you on a downward spiral ... you lower the bid, so your ad position falls, as a result your quality score is likely to drop, as a result your cost per click increases to maintin the same (lower) position, so you lower your bid, and on and on until your ads simply stop appearing and you give up.


Here's my suggestion....


Go back to the beginning and answer this question : Why do I want to run an AdWords campaign?


Is it to drive sales? Sign ups? Email inquiries? Phone calls? Footfall? etc.



Then ask: How much amn I willing to pay to get these results? This has to be an average (ball park) number.


Remember . AdWords is nothing more than an advertising medium. In the past when we ran an ad in the newspaper, we didn't judge the value of the ad on the cost of the ad - we valued it on the returns it gave. We should be doing the same here.


Shift your focus from the cost per click to the cost per conversion. Get an idea (sometimes it can be more than an idea - it can be a very accurate number) of how much each of these conversions is worth - here's how:


For every 10 form completions I get, I convert 2 into a sale. Each sale is worth $50 profit to me. The maths give you a value of $10 per form completion.


You want to make some money so somewhere there is a sweet spot for you that represents your perfect cost per conversion.


Resist the temptation to say 10 cents - because you're (probably) not going to achieve that. Think more in terms of what you would be prepared to give me if I brought you a client who converted. Would you be prepared to give me $2 to make $8 - or would it make sense to give me $5 and make $5


just as a way of expanding things:


If you wouldn't  give me $5 for bringing you 1 client, would you give me $5 each if I brought you 100?


Now you've got an idea of how much a conversion is worht to you (and the sliding scale as determined by volume) go back and look at how much each conversion is costing you.


Then you can see the conversion rate and figure out how many clicks you need to get each conversion. Now you have an idea of how much you might be prepared to pay for a click.


Now you can work towards that price point. It may be that you are close to that point and that, in fact, you don't need to worry too much about the CPC but rather how well your site converts. Improve the conversion rate and it's all cream - withouth having to change anything else.


With all this said, one of the objectives would, of course, be to reduce the cost per click - and the best way to do this - in the mid to long term is to work on the quality scores of your keywords - you should certainly look at this.


But simply looking to reduce the cost per click may prove to be the wrong approach... it's just a small part of a much bigger picture.


Top Contributor
# 5
Top Contributor

Hi Mike,


This is why so many people give up on Adwords - it's hard to get it working and after a few days the feeling is that it probably doesn't work for your type of company.


This is generally not the case - and if you are in a "tiny market" as you state, this could be seen as an advantage. After all, if the market is tiny it should be easier to target. Truth is - that without seeing more information on the traffic it will be hard to make firm suggestions. My intention earlier was to simply raise the flags against dropping the bids as the first solution.


There is a lot that can be done within AdWords, and Analytics, to test and track to see where things are working and where they are not. At its simplest, this is what online marketing management is all abouyt - you do more of what works and less of what doesn't - identifying which is which is the harder part.


It would be a good idea to at least talk to a Google Certified Partner (I'm one - you can look for Advent Communication) or maybe one that is closer to you geographically.


They will certianly be in a position to look at how you have your campaigns structured and how that might be improved. They will also be able to help identify issues with keywords (match types, negatives, etc), quality scores, geo trageting , etc, etc. and they will also be able to make sure that you have effective tracking and conversion monitoring on your site.


They will charge you for this - probably by the hour - but as my photographer friend is fond of saying - if you think working with a professional is expensive, try working with an amateur!


Good luck!


Visitor ✭ ✭ ✭
# 6
Visitor ✭ ✭ ✭

Thanks. How long or how many impressions/clicks do you think we need to go at this to get enough data to be meaningful?