ppc increase profit

One of the main success measurements of a Google Adwords campaigns is the conversion optimization.

What is a conversion?

Every site has a goal, whether it is branding or selling a product. A visitor that fulfills this goal is a ‘converted user’. Documenting and analyzing these goals is called a ‘conversion tracking’. Improving the campaign, based on that analyzed data, is called a ‘conversion optimization’.

Conversion optimization is a great way to improve your PPC campaign!

Why isn’t conversion optimization perfect?

Conversion optimization tracks only part of the purchase funnel. We can track it up to a lead, but a lead continues the funnel process to purchase a product or even more, the visitor’s coming back after a month to purchase another product. Many leads do not convert to a purchase level. Tracking conversions gives us only partial information about the visitor.

From conversion optimization to profit optimization

Optimizing up to a conversion level can bring many conversions for a good price per conversion, but many of these conversions will not lead to sales, so marketers are actually wasting money on these conversions. Other conversions might cost more, but these visitors actually purchase a product, so these are profitable conversions. Optimizing your campaign according to profit is called profit optimization.

Optimizing your campaign according to profits enables you to improve your profits and your ROI (Return on Investment), rather than improving your conversions. KorAnga, via its technological partner, Kenshoo (www.kenshoo.com) – global leader in online marketing optimisation technology, delivers all the necessary functionalities to enable efficient marketing implementations with profit maximization processes.

From online to offline

What happens if many of your purchases occur over the phone and outside your site? This too is traceable. In order to trace your offline purchases, you need to use an advanced PPC marketing system, such as Kenshoo Search used by KorAnga. Such a system integrates your CRM (Customer Relations Management system) interface with your PPC campaigns running on Google, Yahoo!, Bing and even on Facebook.

Such integrations will ensure tracking every purchase done on your site, whether it is online or offline. The purchase will be tracked to its origins (search term/keyword/referring URL/referring site/ad group/campaign etc.) Kenshoo search system can integrate with phone call tracking systems, to trace direct calls done from your campaigns with no further online interaction.

Summary

Tracking conversions via your PPC campaign is a great success factor. But it is not the ultimate one. As your site’s goal is to help your company make a profit, the tracking and optimization should be done in the profit and ROI level rather than the conversion/lead level. KorAnga ensures an efficient budget marketing allocation, and you can get more details at: info@koranga.com

Don’t get me wrong. SEO is important – just not for everyone.

So is SEO good for you?

First of all lets consider your field of activity, if you are a business directed at other businesses (B2B) most likely you will have to reach your target audience with other methods such as Social Media Marketing (SMM) and even a direct approach. Second, we need to check out the search volume of various relevant keywords and key phrases, you can use the Google keyword tool to do so.

If your phrases have a high search volume you should check their relevancy and competition, both these terms need to be taken literally and their weight in determining the SERP is a trade secret of the If they are too general try and focus and phrases which are more relevant. If the competition is high, try checking different kinds of phrases. Usually it is recommended to focus on a bulk of long tail keywords so you will get highly relevant and focused traffic rather than focusing on one general keyword.

If your phrases have a low search volume, your site, service or product is in a small niche. In this case you should try and find keywords or phrases with higher search volume. Failure to find such keywords is an indication that SEO is not for you. Either way, you should consider the ROI you will get from your SEO investment.

To calculate your SEO ROI you need the following data: monthly traffic, expected traffic increase (this depends on your industry and the SEO level of your site), traffic conversion percentage (calculation of total purchases/conversions divided by total traffic), average purchase per user. This data can help with calculating your expected revenue from your SEO efforts, and then you need to divide it to by your annual SEO expenses to get your ROI.

If the ROI is bigger than 1, your SEO efforts will bring a profit. If your ROI is 0-1 you should consider other online marketing strategies or lower your SEO expenses.

Finally it is recommended you should focus on high quality traffic, conversions and conversion rates rather than focusing on rankings.

What SEO should I do if SEO is not good for me?

Even though you decided SEO is not a viable marketing strategy for your business, you can still use some basic SEO methods to improve your traffic.

- Build a basic SEO friendly site

- Register your XML sitemap to the Google Webmaster tools

- Include relevant textual content on your site

- Define your target audience and focus on building a great site for this audience.

What other online marketing strategy can I use?

There are many alternative online marketing strategies you can use to approach your target audience. Social Media Marketing tools enable you to find the arenas of activity of your target audience, taking part in these arenas will bring you closer to that audience. PPC campaigns (sponsored links on search result pages) will help you bring immediate traffic to your site (also great for testing). Content campaigns are good branding tools, so are media campaign. PPC, content and Media campaigns are good for any kind of budget, small or big, which will generate different amounts of traffic respectively.