Pay-Per-Click Oversights

Pay-Per-Click is a marketing testing center. All new accounts and their corresponding campaigns, with individual ad groups, keywords and ad copies are all a test. There are no guarantees when commencing a new account, particularly with what keywords and ad copies will prove profitable on various search networks (Google, Yahoo, MSN, etc.). A viable source of revenue is to continually test and split test certain data – keeping what works and naturally discarding what does not, while learning from those results in the process.

With that goal in mind, below are common mistakes that individuals make in Pay-Per-Click:

• Not testing at all
• Not having conversion tracking in place so you can measure test results by the right metric
• Running too many tests for your budget
• Running too many tests and lowering account performance
• Not padding tests to reduce the risk of performance decreases

Below are common acronyms that tend to confuse some individuals:

• CPL is cost per lead, which is the same as cost per conversion in lead generation accounts
• ROAS is return on ad spend, an ROI metric. ROAS = Revenue / Ad Spend
• ROI is return on investment
• CTR is click through rate. Percentage of ad viewers who click on your ad
• CR is conversion rate. Percentage of ad clickers who become a lead or sale