Pay Per Click December 31st, 2008
As the end of 2008 approaches I thought it would be interesting to show some compelling data that we have discovered when looking at many of our pay per click accounts. By doing a ‘side by side’ analysis in the ‘Account Snapshot’ area within Google Adword’s we were able to uncover some very common trends when comparing data from 2007 with 2008.
Although we are showing only one account here, the information is typical of many of the accounts that we currently manage. With this data we can also outline to our readers how to continue to improve your own paid search campaigns.
Below is the 4 PPC lessons we learned in 2008.
1. Clicks to Impressions – as you can see in our test we got far less clicks in 2008 when comparing the data to 2007. At the same time, however, we got far less impressions.
Here are the improvements we made to achieve this result:
2. Click Through Rate Improved – we improved our CTR by over 166%.
3. Average Cost Per Click jumped by almost 100%!
4. Conversion Rate, Cost Per Conversion and Total Conversions all improved drastically!
In summary, we received 25% less clicks, paid 47% more money but managed to improve both our conversion rate by more than 135% and as a result improved both our cost per conversion and our total conversions dramatically!
Trends moving into 2009?
I predict the volume of advertisers will continue to rapidly increase. The result will be a rise in the importance of proper measurement of this medium, goal visualization, improved landing pages and general attention given to PPC campaigns.
We have all seen that pay per click works. As competition increases the need to measure an end goal will become even more important. Want to measure emails and phone calls that come from pay per click? It is all very possible now!