AdWords
4.5K members online now
4.5K members online now
Improve your AdWords performance and boost your ROI, CTR, and Quality Score
Guide Me
star_border
Reply

My average CPC increase significantly

Visitor ✭ ✭ ✭
# 1
Visitor ✭ ✭ ✭

For this couple months i've been manage Adwords account.

 

2 months ago my avg. CPC is seems normal, but then when several times I input more than a hundred keywords for each campaign in my account (i have 90 Campaign in my account), and then i was set my total budget/day more higher.

then the impact for my account is the avg.CPC signifantly increase every day since i make this several changes..

 

this problem seems worse everyday, even though then i already paused much keywords to arrage my budget that obviously increase because of my avg. CPC. is getting higher..

 

is this problem happens because of my cost/day is increase while the traffic clicks in my account steady at the same number?

 

and why my banner campaign (CPM campaign) is always have higher avg. CPC then CPC campaign for only text ads? when this occasion is banner ads, i don't have any idea to make my avg. cpc more lower than ever..

 

Please I have more information to lower my avg.CPC as soon as possible, or my ROI will getting worse..

 

Thank you,

Omeoo.

 

 

 

 

 

 

4 Expert replyverified_user

Re: My average CPC increase significantly

Participant ✭ ☆ ☆
# 2
Participant ✭ ☆ ☆

Hi Omeoo,

If you want to get best ROI for your accounts then it is very important to know how to do bid on your keywords.
I usually follow below steps:

>> Check the cost of the keywords which we are spending on them and how much revenue we are getting from them.

>>Always do bid optimization to maximize your ROI.

 

Actually Internet traffic is not a stable thing it is always changing, so it's very important to re-arrange your CPC bids on regular basis. 

 

>> Collect your data and categorised the keywords in two categories i.e Profitable and underperforming.


>> Adjust the bid max CPC accordingly.


>>If keyword has low CPC and getting good number of clicks and conversion too then try to raise the bid of them. This will help you to improve your keywords positions and will provide your ads more exposure and potentially increasing your ROI.

 

>> If your keywords have high CPC and getting good number of clicks but no conversion or less number of conversion then you can reduce the bid of them. After lower down the bid if your keywords will perform poorly then in that case you pause or delete them as per your choice. It will reduce your clicks and impression too. As a result your cost can get down. So with this strategy you will not only get good ROI but also get the opportunity to invest on more valuable keywords.



Its just a Thought of mine!
Thanks
Anchal

Re: My average CPC increase significantly

Top Contributor
# 3
Top Contributor

Hello Omeoo,

 

2 months ago my avg. CPC is seems normal, but then when several times I input more than a hundred keywords for each campaign in my account (i have 90 Campaign in my account), and then i was set my total budget/day more higher.

 

I must say that handling 90 campaigns in an Adwords account is an uphill task. 

 

Did you actually do some research before including new keywords in your account as you said above? 

 

Please note that without doing an indepth keyword research and without knowing how it can impact your account, you can end up in the situation which you have currently. Read this to find how to create good keyword list.

 

Another common reason of high Avg. CPC could be your low ad rank. A Low ad rank arises if you have a low Quality Score and your bids are not competitive enough in front of other advertisers bidding for same set of keywords. Refer to this for more details.

 

My suggestions to you would be to look for the following:

 

Check the View Change history report and identify the high costing keywords which you included in the past 2 months.

 

Look at the Quality Score of those new keywords and whether there are first page bid issues for those new keywords.

 

I would strongly encourage you to pause the keywords which are only getting impressions and no clicks in the past in your Search Network Campaign.

 

Target only relevant and less keywords for your Adwords account in order to better manage it, as compared to a long wide list of keywords.

 

Try to eliminate the duplicate keywords if you have in order to balance the equilibrium of your Adwords account.

 

Optimize your account to increase the CTR.

 

For more details, you can read this useful article.

 

and why my banner campaign (CPM campaign) is always have higher avg. CPC then CPC campaign for only text ads? when this occasion is banner ads, i don't have any idea to make my avg. cpc more lower than ever..

 

Your banner ads will have high cost because of the reason that they occupy more space which is required for their display. Due to more space, the competiton increases and your ad will be only eligible to be shown in case you are bidding high enough. Normally, your text ad on Google Display Network will be cheaper in comparison to banner ads because they occupy less space and competiton is pretty less, while dealing with banner ads.

 

Hope that helps!

Pankaj

Re: My average CPC increase significantly

[ Edited ]
Top Contributor
# 4
Top Contributor

Hi Omeoo,

 

In addition to above response:

 

I would suggest you to work on search query & find out search terms that are cost consming non converting. Also find out search terms those are receiving large number of impressions with lesser clicks.

 

Weed out all irrelevant terms from search query.

 

Try to maintain close relevancy of keywords & search terms.

 

Also check adcopies, Pause cost cosuming non converting adcopies. Pause underperforming adcopies with very less CTR.

 

Compare stats with previous stats and find out areas where you are declining such as avg. position, impression share, ctr, cpa etc.

 

Improve your campaign strucure by refining keywords in your adgroups. If possible keep good peforming keywords and pause underperforming non converting less ctr keywords at the moment.

 

EDIT: Please ignore search query part if you are running campaign on Display Network. 

 

Few of my opinion.

 

Thanks

Neha

 

 

Neha Gupta, AdWordsTop Contributor Follow Me: My Blog | Twitter | Google+ | LinkedIn
Did you find any helpful responses or answers to your query ? If yes, please mark it as the ‘Best Answer’

Re: My average CPC increase significantly

Top Contributor
# 5
Top Contributor

Hey Omeoo,

 

Couple of things you could do:

Improve you Quality score. This means that you will have to improve the relevance between your kewyords and your ad texts. If Google realises that your ads are of good quality, you will be paying less for the same click.

Have your competitors increased? If yes, theres nothing you could do about it. To reduce the impact though, you will have to improve your Keyword>ad text > landing page relevance.

 

With respect to your other query as to why your banner ads have a higher CPC.. >> Image ads have historically been more expensive in terms of CPC. For an image ad to appear, you need to outbid 3 text ads since thats the amount of space required for your ad to show.

Also, Image ads are generally used for branding.. and the ad spend on this increases even more due to the fact that people find images more attractive and click on it.. even if they do not want to convert! 

 

Hope this helps!

Cheers,
Shweta

AdWords Top Contributor
Did you find any helpful responses or answers to your query? If yes, please mark it as the ‘Accepted Solution’!

Re: My average CPC increase significantly

Visitor ✭ ✭ ✭
# 6
Visitor ✭ ✭ ✭

Hi Pankaj and Anchal,

 

Thank you very much for the information,

 

I hope when i do the steps you provide, my ROI will getting better soon.

 

Actually, I thought the problem of my avg.CPC that getting more high in cost is based on my keywords that too much in my account. Approximately 67.000 keywords. I thought i have to pause much bad performance keywords first.

 

Thank you for all,

Omeoo.

Re: My average CPC increase significantly

Explorer ✭ ✭ ✭
# 7
Explorer ✭ ✭ ✭

That was too huge 67,000 keywords for 90 campaigns. If I do the Math, assuming keywords are distributed evenly, that's

approximately 744 keywords per campaign. This is a large list - Undoubtedly!

 

Again,if we do the math- Supposed you are going to eliminate 10% from your list.

Then thats 6,700 keywords. Assuming you pay $0.50 per click, so that's about $3350 savings (if these are really not converting and yields (-) . How much are you really earning vs how much are you paying for irrelevant traffic?

 

 

More Power,
Loraine

Re: My average CPC increase significantly

Visitor ✭ ✭ ✭
# 8
Visitor ✭ ✭ ✭

Dear Loraine,

 

My intention for input large number of keywords was to add more traffic into my account, and that's success for once.. but not anymore now.

My traffic doesn't increase, but my avg.cpc becomes higher.. and  for manage that such large number of keywords being my another problems too.

 

When i've been paused several large number of keywords, the situation just become worse, because my traffic of clicks doesn't increase, my cost still high and the result is my avg.cpc grow more higher and higher.

 

If you have some solutions, don't hesitate to share it with me.. really need help.

 

Thank you,

Christa.

 

 

 

 

Marked as Best Answer.
Solution
Accepted by Zee (Community Manager)
September 2015

Re: My average CPC increase significantly

Top Contributor
# 9
Top Contributor

Hello, Christa.

 

Any keyword you add to an ad group should be:

 

- relevant to the ad it gets paired with when someone searches for something that triggers it

- relevant to the landing page where you're sending the visitor

 

Without this synergy one cannot be effective and profitable through AdWords. The more keywords you add to an ad group, and therefore to a campaign, the higher the possibility for your ad to show. And if an ad is "relevant" to hundreds of search queries then it is relevant to none.

 

It's not "traffic" you should be after, but rather "relevant traffic". The converting kind. Just getting clicks after clicks brings you nothing but a loaded webserver and no gains.

 

If you can, pause your current campaigns, starting with the most expensive one and have a close look at keywords and search terms. Keep only the ones with a high quality score, and see if you cannot turn some of the search terms you already see in your reports into either regular keywords or negative keywords. Try to stay at a lower number of keywords per ad group, each dealing with the same theme, which is matched by your ads and your landing pages.

 

What happened, when you added a lot of keywords is that your CTR went down, your QS went down as well, and then your CPC went up, as my fellow community members have already pointed out.

 

Stay relevant or open your purse, there's no other way Smiley Happy.

Calin Sandici, AdWords Top Contributor | Find me on: Google+ | Twitter | LinkedIn | myBlog
Was my response helpful? If yes, please mark it as the ‘Best Answer.’ Learn how here.

Re: My average CPC increase significantly

Top Contributor
# 10
Top Contributor

One way of knowing if you direct your search terms in the same place every time is described here, on a blog post of mine: http://www.adwiserhq.com/blog/are-you-the-master-of-your-search-terms/

 

If you really want to be relevant, this means you should direct each search term, every time, to the same ad group. If they land in more than one ad group, you're not in control.

 

I just used the method I've described there to find out, much to my surprise, that one month data only gave three search terms, in a list of about 800, which landed in two ad groups. Naturally, I decided which ad group they should go to in the future, and inserted the appropriate negative keywords.

 

Of course, when you have many campaigns, many ad groups, and many keywords, you'll have to do that at regular intervals (and it's a lot of work, initially), but for keywords which really matter to you my advice is to do everything you can to pair them up with the right ad. It's the only way to extract all the performance available.

Calin Sandici, AdWords Top Contributor | Find me on: Google+ | Twitter | LinkedIn | myBlog
Was my response helpful? If yes, please mark it as the ‘Best Answer.’ Learn how here.