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Have other people experienced a drastic increase in CPC after doing ad extensions? Is it worth it?

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Visitor ✭ ✭ ✭
# 1
Visitor ✭ ✭ ✭

I have my own small business and just added ad extensions to my ads. My CPC has doubled. In theory these leads could be better quality. However my leads will be cut in half since my CPC is now double. Have people found the increase in CPC to be worth it with an increase in lead quality? Or is it better to go back to the old ad? I'm curious to hear about peoples' experiences. Thanks!

1 Expert replyverified_user

Have other people experienced a drastic increase in CPC after doing ad extensions? Is it worth it?

Rising Star
# 2
Rising Star

Hi Kris,

 

There are many reasons for CPC increasing. Adding extensions should, all things being equal, increase CTR and lower your CPC.

 

CPC has no connection with the quality of leads. Ad position might, and it will vary depending on the niche you are in. For example, if a typical searcher looking for a quote clicks on the top 4 ads and requests a quote from each, they all getting the same quality of lead and the ad in #4 is probably paying less per lead.

 

Lead quality is best achieved from well-selected keywords and ad copy that attracts the right people. So if your handbags are expensive, put "from only $299" in the ad to scare off people looking for something cheaper.