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Maximize Clicks with Very Low Conversion Rate?

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# 1
Visitor ✭ ✭ ✭

Hello All,


My Adwords PPC account has a very low conversion rate and I was wondering if my bidding strategy is appropriate.  


1. All bids are 1st page estimate with a MAX CPC limit

2. Ad Copy set to maximize clicks 

3. Manual CPC bidding across all keywords

4. Usually keywords have Top 3 average positions

5. Call to Action ad copy not getting enough clicks, more generic ad copy getting most clicks

6. Using Keywords Insertion and phrase match throughout campaign

After fooling around and adding better ad copy, my clicks and spend dropped significantly. I have not accrued enough clicks and spend to come close to my budget.  Should I use the Maximize Clicks Within Budget setting for automating the bids?  Will I pay CPCs that are way too high?  Will I give myself more opportunities for conversions?  



1 Expert replyverified_user

Re: Maximize Clicks with Very Low Conversion Rate?

Top Contributor
# 2
Top Contributor

Hi Vikrant, that's a lot of questions!


Poor Conversion rates are usually as much about the product(s) and the website itself as they are about AdWords and are usually the result of one or more of the following problems:


1)  Your product does not meet expectations set by Keywords/Ad Copy.

2)  Your product is too expensive.

3)  Your website is less than ideal for sales


Above all this you have to consider what is a "good" conversion rate.  There are no rules or guidelines so you always have to be realistic - it may be that your rate is as good as it can be.


The key question is whether AdWords is currently giving you a net positive Return on Investment.  If it is then I'd say you should be cautious when you make changes.  If possible, it's probably better to make changes to Ad Copy through Campaign Experiments rather than directly and see your spend drop across the board.


I'd hesitate to recommend maximising clicks.  Clicks on their own are not sales.  What you need are relevant clicks from people who are ready to buy and if your Keywords are appropriate, your Ad Copy good and relevant, then you should already be getting all the clicks you can (providing your budget is sufficient).


Can you share your actual overall conversion rate?  Does it vary much from Group to Group, Keyword to Keyword?  What's your best and worst rates?



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Re: Maximize Clicks with Very Low Conversion Rate?

Visitor ✭ ✭ ✭
# 3
Visitor ✭ ✭ ✭

Hi Jon,


1% conversion rate April.  1% conversion rate May. 0.5% conversion rate June 1-19.  No changes were made that would explain sudden drop in conversion rate.  The default ad copy was too generic so I introduced new ad copy with a call to action.  I've set the ads to maximize clicks.


The nature of our account is 225,000 part numbers all in phrase match.  We never see more than 1 conversion for a keyword/part number over time.  Some part numbers are served and clicked on more, but conversions just happen randomly on one part number.  That's why I don't want to use conversion optimizer or set our ads to maximize conversions.  The conversion data is weak since conversions are so spread out and not concentrated.  


Although our ROI for April and May was positive, there was no profitability overall after profit margin was factored in.  Our revenue exceeded our spend, but not enough to give us a profit. 


We are kinda just casting a wide net and hoping we catch a fish.  Lately, things have been dismal.  Any suggestions besides adjusting our website?

Marked as Best Answer.
Accepted by topic author Vikrant P
September 2015

Re: Maximize Clicks with Very Low Conversion Rate?

Top Contributor
# 4
Top Contributor
Hi Vikrant, we've spoken before and I've said to you that advertising a very high number of products is going to be expensive and tricky to maintain. Your key problem is, in my opinion, that you're trying to advertise too many products with too small a budget and this is causing wildly variable behaviour.

As I've said in previous replies, if you're advertising a very large number of individual products you need to have the budget to support that advertising. If you don't you're just showing your Ads every now and again and your resutls are not a representative sample. You're saying your results for June are down to 0.5%? Who's to say that's not an aberation in your data or a sign or a local low?

I'm intrigued that you're only open to suggestions that don't include your website. Is your website perfect then? Are you 100% certain that nothing, not one single thing, could be improved in your website, its navigation or checkout procedures?

Problems with conversion rates are almost always related to the website, not the Ads. Asking for advice that doesn't include your website is like asking how to improve your dress sense without being allowed to change what you wear. The two are intrinsically linked. If you have poor conversions, it's very likely to be related to your website so any analysis should consider that as a cause. If you're not prepared to look at the site, there's really not much point in trying to help you.

"Casting a wide net" is really the last thing I'd do with AdWords. AdWords works best when it is focused on a tight theme, a particular product; casting a wide net is likely only to increase your costs and reduce your conversion rate.

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Re: Maximize Clicks with Very Low Conversion Rate?

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# 5
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Thanks Jon,

The reason I said to exclude comments about the website is because my e-commerce team is reluctant and rigid when it comes to optimizing the site. There are politics involved in large corporations that make the process of optimizing a website nearly impossible.

We do have a serious problems with our checkout process, missing images, and poor navigation that I pointed out only to be told that the process in fixing it is difficult.

I totally agree with you - low conversion rates is related to our website. I should have mentioned that in the post but wanted to make sure I was doing everything possible on the PPC side.

Appreciate your help Jon.