PPC campaigns can scale your company’s growth and help with marketing efforts. You can reach customers quicker with these campaigns than with organic marketing strategies.
A small business owner will benefit from giving PPC ads a try. However, you’ll find many PPC campaign metrics in your dashboard. It’s easy to get overwhelmed with all of the data.
Want to figure out how to make sense of your PPC marketing campaign. We will share some PPC campaign metrics to track at all times.
Cost Per Click
Your ad’s objective is to drive clicks. If you can get clicks, you can eventually get sales. The cost per click measures how much it costs for each click.
A higher cost per click gives you less room for error. You can track your cost per click across age groups, devices, keywords, and more. You can turn off some targeting features to lower your average cost per click.
Clickthrough Rate (CTR)
This metric measures how many people click your ad. If you get two clicks per 100 impressions, your ad has a two percent clickthrough rate.
A higher clickthrough rate will lower your cost per click. Advertisers will show high CTR ads to more of their users.
Clicks put money in the advertiser’s pockets. They want to show high-performing ads to their users. PPC management can help you create high-performing ads with attractive clickthrough rates.
Clicks let you see how your ad performs on the surface. Conversion rates reveal the return on your investment.
More specifically, this metric indicates how many clicks turn into sales. If you generate one sale for every 20 clicks, you have a 5% conversion rate.
You can use conversion and clickthrough rates to establish a maximum cost per click.
Let’s say you make $100 on each conversion. In this example, you need 20 clicks to generate one sale.
Paying $5 per click puts you at break even. A PPC marketing campaign with these numbers will not produce profits at over $5 per click.
Individual metrics never paint the entire picture. You need to combine data from multiple metrics to draw accurate conclusions.
Cost Per Conversion
Some PPC campaign dashboards show the cost per conversion. We take the number of clicks to get one conversion and multiply it by the cost per click.
You may not get the full picture in your advertising dashboard. Some PPC marketing campaigns lead to opt-in pages.
These opt-in pages help you get email sign-ups. You may need to track sales on another dashboard.
You will need to review your email sequence to determine how much it costs to generate a sale. Not every email subscriber ends up buying your product.
Combining data outside of your PPC campaign metrics will provide additional insights.
Stay On Top Of PPC Campaign Metrics
The data from your PPC campaign metrics will change every day. More people will see your ads and engage accordingly.
Some ads decline over time while other ads continue to blossom. You will only know if you review the data every day.
Want to learn more about PPC campaign metrics? This blog has plenty of insights for you to explore.