If you are not budget restrained, meaning that you have additional marketing dollars to spend, here is a quick primer on how to know if it makes sense to increase your Google Ads spending budget.
First, look at your campaign level results and sort the data for yesterday. If you did not spend your full budget yesterday, raising your daily budget will have no impact. Make sure to check a few days on top of just yesterday to assure that you are seeing enough results to be sure.
Second, if your program is profitable for you meaning are getting leads which leave room for profit, then the rule of thumb is to increase your ad spend as long as you have a positive ROI or return on investment. Make sure to look at the average cost per conversion when you evaluate what your leads cost versus what you make per lead.
It is important to have an awareness of important facts that are unique for your business such as one out of every ten leads makes a purchase or becomes a regular customer and regular customers typically will stay five years with us and have a lifetime value of X.
I do not recommend raising your ad spend budget without thought to assure that Google Ads is an investment in your growth and not an expense.
That being said for accounts that have taken the approach of increasing the ad spend without a limit while there is still positive ROI, the results can be absolutely, positively, mind boggling and wonderful.
In our new world where over 65% of all Google.com searches are done on smartphones, what happens to a website that is not mobile-friendly in regards to lead conversions, store sales, and organic placement?
The PPC Picture
Google has lots to say on this topic of mobile friendliness. For sites that are not mobile-friendly and the business owner is advertising in Google Ads, Google flags the account with messages such as this:
“Avoid losing customers on mobile devices by improving your mobile site. Recommended because 98.57% of your mobile clicks go to non-mobile-friendly pages on your site. 68.97% of clicks from all devices come from mobile. 98.57% 138 of 140 clicks go to pages that are not mobile-friendly.“
As Google Ads is incredibly focused on relevance and offering the best user experience, I expect in the future ads that are not showing mobile-friendly pages to start to receive very poor quality scores driving up the click cost and reducing exposure due to a low ad rank.
Google has been pretty forthcoming in regards to page speed as well. A 1-second delay in page response can result in a 7% reduction in conversions. For a store generating $60,000 in sales a month, that is a loss of $4,200 in monthly sales. In a year, that translates into $50,400. A non-mobile friendly site is not optimized for speedy download and may be virtually impossible to use on a smartphone driving away potential customers. Many will never come back to visit. This is a very serious impact for Google Ad activity.
For sites that do not have a mobile-friendly website, conversion numbers are dropping in Google Ads. Mobile activity is a very big part of the conversion path now for sales and leads.
For some websites that are not mobile-friendly using Duda Mobile to do a scripted redirect to a Duda Mobile mini site worked – but no longer. Google Ads is aggressively disapproving ads for our clients that are using this approach and we are now having to remove the code from those websites effectively making them now not mobile-friendly for organic or for pay per click activity.
The Organic Picture
For organic traffic, know that Google now spiders the mobile version of a website and this is the content that now determines your site’s organic ranking on Google.com for all devices, not just mobile.
Additionally, Marketing and Growth Hacking states “Based on the blogs Google is putting out, we can confidently assume companies who don’t optimize for mobile will see their rankings disappear. At the same time, companies who adopt and take advantage of mobile-friendly sites early-on have and will continue to see higher rankings.”
I agree that if you mean to be in business, grow sales, and compete effectively, your website and store must be mobile-friendly.
Personally, I look for a higher number than 15 in a 30 day period before I turn on maximize conversion bidding.
When Google Ads does not have enough 30 day historical data, the click costs will be very high and you will not see a nice increase in conversions; rather only higher cost conversions.
If you have under 15 conversions in a 30 day period or your campaign drops below 15 conversions. Move out of automated bidding programs like maximize conversions or Target CPA bidding and move to enhanced CPC (Cost per Click) bidding until you get back to the 15 number.
If you are doing automated bidding make sure you are looking at the average cost per click and maximum bid compared to the first and top of page bid. If you see numbers that you are spending with Google setting the bid that you think are ridiculously high, then move out of that bidding algorithm into one where you have greater control, pause the problem keyword, or review what you can do to add negative keywords.
Maximize conversion and Target CPA bidding can be great for a high converting account, but those at the margin of 15 leads in 30 days may find these algorithms generate click costs that are simply “too rich”.
If you need help from an experienced Google Ads manager, I encourage you to find out more about our services and programs. We are small business friendly!
We get a chance to check our current Google Ads strategy against your needs.
We get feedback from you on what is trending in your business and in sales so as to rearrange our program if needed.
We get an opportunity to review your budget to keep on track with your marketing plan and revise budgets up or down.
I personally find that when we have regular feedback from the client in regards to how Google Ads is working for them, that performance is better and customer satisfaction with Google pay per click is higher.
“Near Me” searches have decreased by 150% over the last 2 years.
Use of a zip code in a search query has declined 30%.
Google data shows that consumers want more useful information, more personalization, and more immediacy.
The reason for the decrease in activity on “near me” and zip code specific searches are that consumers expect the results to be location and self-specific. This change has been driven by the mobile micro-moment, as Google calls it, – the I want to know, I want to buy, I want to go mentality.
One important trend that you can leverage on your website and in Google AdWords due to dynamic keyword insertion is the use of “best” in a search query. Consumers want the “best” toothbrush, “best” web designer, “best” lawyer and so on.
In fact in the research Google states that “best” related keyword search activity has grown by 80% in the past two years.
In addition, consumers are demanding personalized localization – meaning the delivery of results that are uniquely personal and based on their own location. Mobile apps leverage results by GPS location and websites can enhance results by providing location cues and data sortable by location.
In addition to more localization, Google has identified that 50% of all mobile users will typically make an immediate purchase after a successful mobile search.
Google is identifying other important trends and sharing them with Google Partners as we work to leverage this information to help our client’s better market their products and services on Google AdWords.
It used to take my team 8 to 10 hours of time to prepare, create, and send out our monthly client AdWords reports. Now with the Google Ads Report Editor and Dashboard reporting we are able to cut our reporting time in half.
The Google Ads Report Editor is a powerful tool to create custom reports. I use the Report Editor heavily, but I like it best for being able to import these reports into Dashboards that I can set up to run on demand or on a schedule.
It is time consuming to set up the reports and Dashboard. It will typically take me from 18 to 36 minutes per Dashboard. But, clients love the data, and I love the ability to tell a visually interesting story of what is happening with a client’s Google Ads account.
I will typically start my Dashboard out with my own custom commentary, show an account scorecard for total account activity at a glance. Then I get into the meat – I will import bar graphs of clicks and conversions by day of the week, table data for campaigns and ad groups, pie charts of clicks by device and activity by conversion source.
If the client likes a specific report like a keyword detail or location of people that have clicked their ad, it is easy to create those reports in the Report Editor and add them to a Dashboard.
For large accounts we will set up both weekly and monthly Dashboards. If you want to know more about our Google Ads consulting services, I invite you to visit our website today.