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-   -   How Can I Reduce My CPC? (http://www.smallbusinessbrief.com/forum/showthread.php?t=30596)

lenzcrafter 30th January 2010 12:42 PM

How Can I Reduce My CPC?
 
Right, I have a Google adwords account, I have had it for years.

It cost me approx 1 per click for keywords such as Driving Schools Bristol, and Driving Lessons Bristol.

Now I am looking to really crank up my advertising without it costing that much!

I have been contacted by companies telling me that they can optimise my account for just 100 per month, with unlimited clicks etc!!

Now first things first, is this possible?? And can they do it that cheap and get me up on the first three positions?

If this is not so then how can "I" reduce cost per click so that I am still up on the top of the first page?

Any tips or tricks would be great.

Cheers

Matt

Ps there is a driving school called Robbiesdrivingschool.co.uk and they seem to be on the first position all the time....do you think that they pay lots per click or have they got some special thing going on?

Logan 30th January 2010 05:11 PM

Your position in Adwords is based on two variables. (1) bid amount (2) click thru rate

So to maintain or increase your position without increasing your cost you can increase your click through rate theoretically.

Google considers the click thru rate to be an indication of quality. The more people click on your ad, the more relevant it is for what people are searching for.

So I would focus on make your ad as relevant as possible. The first and easiest step to do this is include the keyword(s) that someone is searching within your ad - more prominent/title is better. Someone who see what they searched for in the title of your ad is more likely to click on it than if the keywords they searched for are not in the ad. This often means you need to create many ads and use quotes or brackets with your keywords to get matching.

Outside of including the keywords, do a search of this forum for other tips. I will analyze the other advertisements to include offers that will make my ad more attractive. I also will often include the price within the ad to qualify the visitor - although this may disaude ctr my own focus is more on conversions that ctr.

So with that in mind, create some new ads. Not one, but a few. Then run multiple ads and test which ads have the highest ctr (um.. track conversions too). Then repeat cycle using your best perfoming ad and then creating others. test. test. test.

Your landing page can also play a role. To test how different pages on your site perform see Google's Website Optimizer. Its not all about ctr and lowering your cpc, its about conversions too.

Regarding the competition, likely they just bid high to secure that position easily.

Regarding the service, don't waste your time. Anyone can get you in the top position just by setting a high bid amount. This stuff is easy, read up and learn it yourself and you will do better and have control over what you are doing without paying someone else.

BizPaul 4th February 2010 12:31 PM

Matt, you might play around with your bid amount and see how much your traffic changes my raising and lowering your bid.

You might try writing alternative ads and seeing which ad gets best CTR (click thru rate).

You might try researching for longer tail / less competitive phrases to buy where maybe a lower bid will get higher placement.

But I wouldn't use some company that promises to save you money with your google campaigns.

MySmallBiz 10th March 2010 02:03 PM

You should do some research more about the company.

james786 10th March 2010 11:51 PM

Google adward is also a very important topic for me because i am not much familiar with it. I would like to know that how it works for a better revenue and how i can start with it.

ecommerceguru 23rd March 2010 03:28 PM

Logan is pretty much spot on - I echo his recommendations.

If you've had your account for years, chances are, you are not going to have someone who does not know your business, magically get you more clicks for less. It's not impossible, just not likely. I would only consider using a third party to manage CPC if you don't have the time to do it they way you want, and your margins justify it.

It's all about ROI, not just clicks. I would also look into using googles reports to find keywords that caused clicks but are not relevant. If they are expensive clicks, or if there are a lot of them for the same words, add them as negative keywords. The report I'm referring to is found on the reports tab inside Adwords, and it's called "Search Query Performance". If you've never ran it before, you might be surprised at what people type in and triggers your ad - and they click through costing you money.

Hopefully you have a reliable way to measure conversions, though I suspect as a driving school, you may get more phone calls than online sign ups.

Best of luck!

Ken

mattlilly 24th March 2010 02:48 PM

Reduce your CPC
 
1- Optimize your ad. Google takes into consideration the history of the ad. If your ad performs well you will end up being charged less per click than a competitor with a lower ctr.

2-Optimize your landing page. If your ad is important, your landing page is equally important. Google's algo controls your CPC, but you control your landing page and conversion rate. A/B test the page, change colors, add more information, change the copy etc...I ran a successful ad this weekend. My CTR was great, but I did not put enough work on my landing page. Result= Lost leads.

________________
BIZCard
Online Business Card Printing

saramedows 28th March 2010 12:03 AM

Landing page and conversion rate will play good role regarding CPC. so you concentrate on these issues

crisp 12th May 2010 10:04 AM

Quote:

Originally Posted by lenzcrafter (Post 110361)
Right, I have a Google adwords account, I have had it for years.

It cost me approx 1 per click for keywords such as Driving Schools Bristol, and Driving Lessons Bristol.

Now I am looking to really crank up my advertising without it costing that much!

I have been contacted by companies telling me that they can optimise my account for just 100 per month, with unlimited clicks etc!!

Now first things first, is this possible?? And can they do it that cheap and get me up on the first three positions?

If this is not so then how can "I" reduce cost per click so that I am still up on the top of the first page?

Any tips or tricks would be great.

Cheers

Matt

Ps there is a driving school called Robbiesdrivingschool.co.uk and they seem to be on the first position all the time....do you think that they pay lots per click or have they got some special thing going on?

The best way to keep the cost down is to be more specific with you search phrase. The biggest problem with CPC is the wasted clicks, so aim you ad more carefully.

MarketingMan 4th June 2010 10:27 PM

Lots of great recommendations in this thread. The best way to think of the process is to look at your ads from Google's perspective. Google wants to make money right?

Well, many mistakenly believe that this simply means that Google will jump on the ads with the highest bids to make the most "per click." It's more complex than that, as many times, Google makes more money by showing the ads with the lower bids.

How so? As others mentioned, higher click through. If you have one ad with a bid of 1.50 per click, and a click through ratio of 3% squaring off with another ad bidding 2.00 per click, but a click through of only 1%, which are you going to make more money from? (Remember, you're Google still - haha)

The best way to lower your costs is to keep improving your click through ratio, and focusing on the relevancy of your ad groups, as Google is going to assign you a Quality Score for each ad/keyword combo.

To better match up and group your ads/keywords, I recommend using the Google Wonder Wheel to get an idea of what groupings Google considers relevant. Chances are, if the Wonder Wheel shows the groups as belonging together, you should also group them together. (Not always though, it's up to you to apply common sense and a human understanding to what ads make sense when grouped with specific keywords)

Beyond this, make sure your landing page is also well done. By this I mean that you should have your proper keywords placed on the page, and have your proper links/disclaimers on the page, etc. Single page sites that are light on content and relevancy are getting punished by Google, as they are fed up with "splog" type sites.

Earn a higher QS from Google by demonstrating you are NOT a splog.

Best of luck to you. :welcome2:

kevin44 5th June 2010 10:13 PM

very interesting discussion going on here , i would tell you to read up on how you can optimize your webpage and test different keyword phrase ..

staniel 5th June 2010 11:38 PM

I use to worry about the CPC a lot. After much trial and error I found that high converting keywords are worth a high CPC. The best thing you can do is test. Test a variety of keywords, ads, and landing pages. Track your conversion and then refocus your PPC campaign.

emarket 7th June 2010 11:38 AM

The best thing for you to do is research and test(unfortunately) the best keywords that concert highly for you. But researching is paramount.

johnnylew 9th June 2010 01:44 PM

late to this party but here is my take...
 
CPC is extremely important! Why because it directly relates to your profits. The more profitable you can be, them more clicks you can get, and if you have seen my past post on how to improve your converstions, then these additional clicks means more sales. Sales your competition is not getting, you are!

And to get the lowest CPC you need to have the highest Quality Score (QS). Do not, never settle for an ok QS, your leaving real money on the table.

Here is a real example on how a great QS will make you more money.

I pay on a very competitve keyword 35 cents, in my google keyword list it gives me a little error message saying "the bid amount is not high enough for the first page, and it needs to be 75 cents" (or something very close to that. My QS is 10.

BUT before I increase that bid I see the Avg Pos for that keyword is 1.5. That means I am not only on the front page page I am either number 1 or 2 every time!

My competition is paying more than double just to get on the front page in position 7. and I am in the top spot paying over 50% less for my clicks.

How do you get that QS to 10? many have already said it in this post, but the ad (especially the headling) needs the keyword your bidding on, you have to have a high Click through rate, and you should start your initial bidding high and then scale back as history is captured for your ad, then you can scale back the bid and not lose position.

BeTheBest 9th June 2010 06:21 PM

Uh... can I ask a question? Why are you worried about PPC when you can spend some time and optimize your site with content and come up in a better position for the organic search?

I had a quick look at your site. There isn't really a lot of content. Why aren't you publishing informaiton in 'short articles' that are about 250-500 words. Things like:
- 5 Driving tips you need to know
- How to Become a defensive driver
- Become a safe driver- Here's how
- Do you make these mistakes when driving?
- Drive like a pro when you follow these 5 tips

This list could go on and on. But this content will help your site in many different ways... including the long tail search that will not deliver as many visitors... but long tail search delivers a visitor that know what they want. When you can prove that you provide it.. they will purchase.

Hope this helps!

Newbus 10th June 2010 05:19 AM

I think that it is important to look at both CPC and conversation rate.

You can bring down the CPC through improving your quality score for your chosen keywords. You can also look for keywords that are less competitive.

As a small business be suspicious of those that claim they can achieve these goals cheaply. It costs approx 500 per month to have a managed PPC account.

Alternatively use the training provided by Google. It is excellent and will provide you everything you need to implement an excellent PPC campaign.

Next look at the conversation of those that enter the website. Set up a landing page specific for this purpose with good information, and a form for people to leave their details and you phone number.

Ultimately cost per conversation is more important than cost per click. The cheaper is it to win each new account the more new business you can get for your money.

macrylinda 13th August 2010 10:00 PM

Quote:

Originally Posted by ecommerceguru (Post 114735)
Logan is pretty much spot on - I echo his recommendations.

If you've had your account for years, chances are, you are not going to have someone who does not know your business, magically get you more clicks for less. It's not impossible, just not likely. I would only consider using a third party to manage CPC if you don't have the time to do it they way you want, and your margins justify it.

It's all about ROI, not just clicks. I would also look into using googles reports to find keywords that caused clicks but are not relevant. If they are expensive clicks, or if there are a lot of them for the same words, add them as negative keywords. The report I'm referring to is found on the reports tab inside Adwords, and it's called "Search Query Performance". If you've never ran it before, you might be surprised at what people type in and triggers your ad - and they click through costing you money.

Hopefully you have a reliable way to measure conversions, though I suspect as a driving school, you may get more phone calls than online sign ups.

Best of luck!

Ken

1- Optimize your ad. Google takes into consideration the history of the ad. If your ad performs well you will end up being charged less per click than a competitor with a lower ctr.

2-Optimize your landing page. If your ad is important, your landing page is equally important. Google's algo controls your CPC, but you control your landing page and conversion rate. A/B test the page, change colors, add more information, change the copy etc...I ran a successful ad this weekend. My CTR was great, but I did not put enough work on my landing page. Result= Lost leads.

jetfuelcreative 15th August 2010 12:15 AM

Organic SEM and CPC SEM are equally as important.

One of the most important things you can do as a business owner is focus on saturation. And I don't mean keyword saturation. I'm referring to saturation of marketing techniques.

You need to be able to hit your target audiences from multiple avenues at once and continue to reach them as often as possible, as you never know when they might be in need of your products and/or services.

That said, the best way to lower your CPC is to focus on more streamlined keyword combinations. Think like your client would think.

For example, if I own a website design firm in say, Dallas, Texas, I wouldn't want to run a CPC campaign based solely on "web design"

In fact, I would much rather target my keyword combinations to where they not only focus on my location, but they focus on my particular niche in the industry as well. You can also prequalify your leads even further, as someone searching for "website design dallas" may only be searching for examples of other websites in the area. Instead, something along the lines of "hire website design company dallas" could prove more worthwhile in the long run. While you may see less impressions, the goal is to make sure the impressions that DO occur turn into clicks, which turn into leads, which turn into clients, which turn into lasting business relationships.

Good luck!

Social-Media 23rd August 2010 10:24 AM

If you want to decrease your CPCs, you need to improve your quality score for the keywords in your ad groups. There are lots of ways to do this. Quality score is not JUST based on CTR. It's based on several other factors.

Having a high quality score means your ad will be shown in higher positions for lower CPC costs. In other words you could be paying $5/click for the #1 spot when your competitor has to pay $7 per click just to have #3 position... just because the quality score for the keyword in your ad group that Google is matching the search phrase with is much higher than the quality score for the keyword phrase and ad group to which Google is matching that search phrase for your competitors.

How relevant your ad is to the keyword phrases in the ad group affects the quality score of those keyword phrases. In other words, does that keyword in the ad group appear in the title of the ad? the text of the ad? the display URL of the ad. Having ads that are very relevant to the search phrase can also drastically increase (double, triple, quadruple, or more) the CTR for a particular keyword phrase in an ad group.

How relevant your landing page is to the keyword phrase in the ad group affects the quality score of those keyword phrases. Does that keyword phrases from the ad group appear in the <title> of the landing page? in the <h1> of the landing page? in the <h2>s of the landing page? In the content of the landing page? etc.

Optimizing your ad groups themselves can increase the quality score of your keyword phrases and reduce CPCs. For example, say I have a loan related site and my ad group has an ad like:

Quote:

Get a mortgage today
Call today to get a free quote.
We offer mortgages in 50 states.
www.example.com
Assume also that my ad group for the above ad has the following base keyword phrases in it (forget about for now whether exact, phrase, or broad match):

mortgage
home loan
refinance
home loan refinance
fha loan
fha mortgage
fha refinance
fha home loan
va loan
va mortgage
va refinance
va home loan

I can almost guarantee that the phrases "mortgage", "fha mortgage", and "va mortgage" will have a higher quality score and likely a better CTR than the others because the word "mortgage" appears both in the ad title and the keyword phrases. Its more relevant to those search phrases. And because of that people are generally more likely to click on it for those search phrases since Google will BOLD the occurences of those keywords in the ad to draw attention to it.

You could improve the quality scores of the other phrases by putting them in separate ad groups. Perhaps you would group the refinance related terms as follows:

Quote:

Best Refinance Rates
Refinance your home today!
Get a free refinance quote.
www.example.com/refinance
with the following keywords in the ad group:

refinance
home loan refinance
fha refinance
va refinance


You could further break the above refnance ad group down into a "home loan refinance" ad group, a "fha refinance" ad group, and "va refinance" ad group and have even more specific ads like:

Quote:

Home Loan Refinance
Refinance Your Home Loan & Save!
Get a Home Refinance Quote Free.
www.example.com/refinance
with keywords like:

home refinance
home loan refinance
refinance home
refinance home loan


The more granular you get, the more relevant your ads and landing pages can be, the higher your CTR will generally be, the higher your quality scores will be, and the lower your CPCs will be.

But how granular you get depends on how much time/effort you want to spend managing the ads. The more ad groups you create, the harder it is typically to manage because you will likely want to always be A/B test ads for each of your ad groups as well as A/B testing landing pages for each. So you have to weigh the benefits of the lower CPCs from having higher quality scores with the additional efforts required to manage them.

davidbkeegan 30th August 2010 12:02 PM

I am always weary of people saying they're going to charge you basically nothing for something that is not so easy to do. There are a lot of scammers out there who will take your money and get you nowhere

WebWizard 30th August 2010 03:58 PM

wow theres alot of great information here guys. The CPC is highly important!

Henry_Jakson 9th September 2010 10:55 PM

How Can I Reduce My CPC?
 
Hi,
I am running a campaign for my company in implementation business. This campaign is running since few years but always has high CPC position of my ads is 1.5 on average; and CTR between 1 to 3%. I have about 10 keywords all related to. Every day my total impressions on Google search and automatic placement network is about 4000 and about 60 clicks.
:welcome3:

InspiroHost 16th September 2010 08:54 AM

Try to do some basic SEO on the page. Also, add some relevant content to the page. You may have to make separate landing pages for each adgroup.

If all else fails, consider using MSN, Yahoo, or a 2nd tier search engine. Don't let this get you down.

robertantwi 19th September 2010 08:08 PM

Improve LP SEO and Build a List
 
Quote:

Originally Posted by lenzcrafter (Post 110361)
Right, I have a Google adwords account, I have had it for years.

It cost me approx 1 per click for keywords such as Driving Schools Bristol, and Driving Lessons Bristol.

Now I am looking to really crank up my advertising without it costing that much!

I have been contacted by companies telling me that they can optimise my account for just 100 per month, with unlimited clicks etc!!

Now first things first, is this possible?? And can they do it that cheap and get me up on the first three positions?

If this is not so then how can "I" reduce cost per click so that I am still up on the top of the first page?

Any tips or tricks would be great.

Cheers

Matt

Ps there is a driving school called Robbiesdrivingschool.co.uk and they seem to be on the first position all the time....do you think that they pay lots per click or have they got some special thing going on?

This is my 1st official helpful reply - i hope you enjoy it

Hi lenzcrafter

Its costing you a lot because your landing page is not optimized.

Let me explain clearly - Event though your giving G (Google) money to serve your ad, G still wants to help there users by referring them to relevant sites.

Lets start with the first place when it comes to SEO. Your domain name.

your domain is http://www.aandmschoolofmotoring.com/

theres no keywords in your domain that would give G a good guess that you were a driving school. Therefore it knows it can charge you a high cpc because your probably having a hard time getting traffic organically

Your title is Driving School in Bristol

the main keywords google would expect to see in your domain would be "driving school" and you only have "school" school obviously is not broad enough and people do not Google motoring school when looking for driving lessons

For a business im quite shocked that you don't have these special pages in your footer that Google loves to see - theres no

Privacy policy
Sitemap (this obviously helps)
Terms & conditions
locate us/find us
Contact us


Theses are pages that G loves to see when serving a low cpc, it all balls down to your score and without those pages your definitely going to get a low score therefore a high cpc.

Can you imagine bsm having no pages like that in there footer? would anyone use there site to buy anything or even think about making a sale via other mediums that the site has? would you?

I know you have a contact us page, but the other most important ones are the legal pages i.e privacy etc

You already have a good page rank and you could improve on your alexa rank. Manually submit to search engines and related directories pr 4 and above

Do these things and you'll get a lower cpc - i would also advise you to capitalize on the traffic that you send to your site - by installing a list building form - where you could provide valuable information related to driving. Go with video marketing. I would dread to have to pay 1 cpc to have such a low ROI. Remember most traffic that you get via sem you will most probably never see again unless you captivate them with something free.

Logan 19th September 2010 08:29 PM

Welcome aboard :thumbsup2

rdcclu 23rd September 2010 01:27 PM

Books have been written on this, but let me give a couple of quick and simple things that can reduce your CPC.

1. Tighten up your Ad Groups. Each group should focus on one keyword and contain 5-15 related keywords.
2. Make sure the keyword is in the title of your ad.
3. Always prepare two ads. Only change one thing. Test different titles to start. Let the ads run for at least 50 clicks. Replace the losing CTR with a new ad/headline and keep repeating.
4. Put the keyword in the title of the landing page. This will require having a landing page for each keyword, but it's worth it. Optimize the page with the keyword at < 1% density and add in other related keywords (LSI). Have at least 500 words on the landing page and include links to these pages: 1) privacy 2) disclosure 3) contact 4) a link to a page with about 5 articles on it.

All these things will increase your quality score and reduce your CPC.

Bob Cavanaugh

johnnylew 24th September 2010 07:06 AM

One more thing to add...
 
One of the biggest things you can do immediatley to lower your costs and preserve sales is to add "negative keywords"...if you use broad or phrase matching look at your Search Term Query report and start adding those terms that are no where near related to your keyword.

This is by far the secret to lower your costs and will improve all other metrics.

rosewinslet410 14th December 2012 03:28 AM

Solution for less Cost per click
 
Due to the structure of your websites or webpages,there may be some keywords that are not relevant or may be your adwords campaign is not relevant for your landing page.
As low CTR turns into less click by users on your advert hence Google found you irrelevant and penalise you.Google do not like what you are promoting and have increased your bid. So be alert while choosing your keyword.

http://www.dpfoc.com/uk/blog/what-de...cost-per-click

This can help you to get a good overview regarding the mechanism of CPC. All the best :)

zinavo 10th December 2019 07:34 AM

Thanks for sharing a great full information it is very useful.


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