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High CPL for brand keywords due to returning visitors

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# 1
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I just inherited a large account, and discovered that the branded keywords have some of the highest cost per conversion in the account. 

These KW have a CPL 3-4 times higher than the account average, even higher than the competitor brands that I bid on. This is due to a much lower conversion rate (9% compared to 30% account average), which I assume is caused by existing users who click on our ad but obviously don't register again and therefore aren't counted as a conversion. To top it all - these leads bring almost no revenue. 

This all seems very strange to me, I'm used to brand KW showing great numbers. Does anyone has experience with this kind of issue? I must continue to appear on these KW, it's a VERY competitive industry,



2 Expert replyverified_user

Re: High CPL for brand keywords due to returning visitors

Top Contributor
# 2
Top Contributor

Hi PPCer,


I would agree to the fact that brand related keywords could have high CPA considering the nature and approach followed by the advertisers to keep bidding and bidding high enough to strive for the top ad positions. This actually result in high competition leading to increased Avg. CPC. I am assuming that you are into this particular situation.


As you said that you can't afford to stop bidding on those keywords so as to sustain the competition, one idea could be that you work on other part of your account focussing more on other keywords which have higher conversion rate with low CPA. Identify the search terms pertaining to converted keywords and introduce them so that if one side you are getting high CPA, then on another side you should achieve low CPA, which could nullify or atleast be able to maintain your account's average CPA.


Did you try Google Display Network? If not, I would definitely encourage you to try that for brand upliftment of your website.


You could also explore the option of creating video ads targeting Youtube and other Google Display Network Partners.


My thoughts!


Re: High CPL for brand keywords due to returning visitors

Top Contributor
# 3
Top Contributor

Hi PPCer,


If the brand name is a generic term then that can be a reason for attrcting more clicks and low conversion.


So please check the search term report in your brand ad group/campaign to find what kind of search queries trigger your brand keywords.


And to reduce the overall campaign CPA, starting a remarketing campaign will be a good idea (if you are already not using it).


Remarketing will help you to target poeple who already know your brand/visited your website.


Just a thought,