To be qualified under GAP as a company/agency previously, you had to meet Google’s eligibility criteria, including qualification requirements for at least 2 individuals in a company. This has been changed to require companies to have at least 1 individual to have attained a pass in one of the advanced level qualifications, in addition to the ‘Fundamentals’ exam, which is similar to the previous GAP qualification.

Following the changes introduced, Gravytrain has recently become qualified as a Google Certified Partner by meeting the new requirements under the GCP Programme. You will find our brand-spanking-new certified status logo below and on our website homepage.

Gravytrain remains committed to providing clients with superior online marketing services and continues to keep up to date with developments in the market to deliver effective results.

The pay per click model came about in the late 1990s and differed from previous methods of advertising which were based on CPM (cost per thousand impressions) rather than cost per click. GoTo.com (later Overture, now part of Yahoo) were the first search engine to offer PPC in 1998.  Google were a little late to the party, adopting the PPC model in 2002.

Back in the bad old days it was literally an auction with the advertiser who was willing to pay the most per click securing the top position.

However, it quickly became obvious that this wasn’t the best model – a pretty irrelevant ad which gets only 1% of the clicks @ £10 per click generates less revenue than a relevant one which gets 10% of the clicks @ £2 per click.

As such in the mid-noughties Google introduced quality score – an algorithm which essentially ensured that most relevant ads (i.e. the ads which generated the most revenue) would get pushed to the top of the results. Yahoo and MSN later followed suit with algorithms of their own.

This changed the face of PPC – as instead of fighting an auction war, PPC-ers had to get a little bit cuter and make sure their ads were as relevant and attractive to users as possible in order to secure a decent position on the page and (potentially at least) reduce the cost they pay per click.

Quality Score Explained

Quality score is calculated every time your keyword matches a search query – that is, every time your keyword has the potential to trigger an ad.

So, how is it calculated?

Quality score on the search network is calculated based on the following metrics:

1. Historic click through rate of the keyword, ad and display URL
2. Relevancy of the keyword and ad to the term which is being searcher for
3. Relevancy of the keyword to the ad copy
4. Relevancy of the keyword to the landing page
5. Landing page quality
6. Historic account click through rate

You can read more here.

For obvious reasons Google don’t reveal quite how these factors are weighted, however it’s easy enough to guess

It’s pretty much all about click through rate.

This a nice metric as high click through rate indicates that users think that your ads are relevant/offer an attractive proposition AND of course clicks = money for Google.

Should you *always* worry about Quality Score?

Frankly, no. Whilst having a high quality scores is good from a cost per click point view (as you’re likely to be paying less per click) – you shouldn’t necessarily let it bother you overly. Obviously Google want you to play by their rules and create relevant ads that people want to click on so they can continue to rake it in; however – on some occasions you might want to bid on certain keywords, but limit the number clicks you get.

For many clients we use ad text to pre-screen clicks. For example, we may bid on a term like ‘taxi insurance’; but because our client only wants to insure taxi drivers over a certain age we might elect to run an ad like this:

Low Cost Taxi Insurance

Over 25? Compare Leading Taxi

Insurers & Find the Cheapest Quote!

TaxiInsuranceExperts.co.uk

Now here, we’re actively trying to limit the number of clicks which we’ll get – which of course may impact our quality score – however it’s far more important for us to deliver the right sort of leads to our client. So it’s not necessarily something you ought to be tyrannised by

Questions, comments, etc? Hit up the comments my dears.

Image credit KB35

The general industry-accepted idea is that while Broad Match keywords are useful for new and old advertisers alike, there are many situations in where using them may not be in the best interests of the advertiser.

Whilst Broad Match keywords promise to give the advertiser maximum exposure, exactly how relevant that exposure is often called into question. The result is that many advertisers will get left with numerous mismatched impressions that negatively affect their campaign quality score and worse, clicks that result in no material gain; as in some instances searchers will click on these mismatched ads, but not go on to convert once on the site. Hence, the cost of that click may not be realised now or ever.

While the more restrictive Phrase Match option covers this issue to a large degree, it achieves that by compromising on ad exposure which means lower traffic and conversion volume. Increased ROI at the cost of significantly lower volume of conversions is not very appealing to businesses/marketing professionals.

The accepted norm in the search marketing community until now has been to start with Broad Match keywords with an extensive list of accompanying negative keywords to manage exposure to relevant searches. Search marketers will then identify the keywords/phrases that perform to the desirable level of ROI and subsequently move them to the stricter Phrase and Exact Match types. In all this, the start of the campaign has been most crucial and the precision and accuracy with which the initial selection of Broad Match and negative keywords work has been of great impact on the success of the campaign.

The search community has long debated over the usefulness of Broad Match and demanded an alternative for and more control over the random search queries their keywords end up getting impressions for. Google have finally answered by introducing a new match type in the arsenal. It’s called the Broad Match Modifier (BMM). Essentially, it fits somewhere between the Broad Match and Phrase Match keyword types. The object it satisfies is to stop individual words from Broad Match keyword phrases from triggering impressions on ‘deemed’ related words in user searches. Google have released the graphic below to explain exactly how BMM differs from all other match types.

Click for larger image

With Broad Match, the words ‘formal’ and ’shoes’ will both be independently considered and matched to singular/plural versions, synonyms and other related words not included in the campaign keyword. ‘Formal’ triggered impressions for ‘Evening’ and ‘Men’s Dress’, while ‘Shoes’ triggered ‘Footwear’ and ‘Wingtips’. If the advertiser earlier only wanted people searching for shoes and Phrase Matched ‘Formal Shoes’, they would lose impressions on searches like ‘Evening Shoes’ and ‘Black Dress Shoes’ because their ad will only show if the phrase ‘Formal Shoes’ was part of the search query.

However, by introducing a “+” sign just before the word shoes, they can achieve exactly what is desired, without losing on a possible load of other search queries that are not part of their campaign.

Google has reported that advertisers who used BMM during beta testing of the new match type reported seeing higher clicks and conversions than before. However, Google reported their findings from advertisers who earlier mainly used the Phrase and Exact Match types. Clearly, the increase in exposure lead them to receive more traffic, but with greater control over click-quality – this probably led to the rise in conversions. The report clearly shows the BMM as a means to entice cautious advertisers to have a more bullish approach with their marketing without losing too much control. But what does it mean for the rest of the advertising community that already uses Broad Match?

Other beta testers have independently revealed that on introducing BMM keywords into campaigns with existing Broad Match keywords, BMMs had significantly higher CTRs and conversion rates than the traditional Broad Match terms. We experienced similar results on testing the BMM with one of our clients.

Overall, we observed average conversions on BMM keywords to be double that of the Broad Match keywords.

All in all, Google seem to have hit the right note with search marketers with this release, although it will be interesting to see how keywords utilising these matching options perform in the longer term.

Please note, for now, the release has been made available to advertisers in the UK and Canada only.

Don’t feel bad, whilst the overriding concept is simple, in practise PPC Campaigns can quickly become complicated.

This free whitepaper explains all the key concepts you need to understand, and provides an easy to follow guide to create your own PPC campaign.

Click here to download our Introduction to PPC whitepaper.

If you’ve any further queries or questions feel free to post them here, likewise if you’ve any feedback on this whitepaper, or suggestions for other whitepapers you’d like to see in the future we’d love to hear about them!

Revenue per click is calculated as follows: Goal Value x Conversion Rate.

As such, ‘Revenue-per-click’ (RPC) simply allocates a value to every paid click.

Comparing what you earned per click to your average CPC will give you a quick indication on the profitability of a given keyword. As such, RPC can help you to identify ‘problem’ keywords that may be adversely affecting your campaign.

Example:

If you receive 10 clicks on a keyword and 2 goal conversions at £20, your revenue per click is

£20 x 20% = £4

i.e. each click is worth £4.

What does this tell me?

It tells you that if your website keeps converting at 20%, then you break-even at an average CPC of £4 on a conversion of £20 value.

However, if your average CPC for the keyword is £5, then you are spending £1 more for every click than you are earning from it. Therefore, you’ll effectively be making a loss of £1 with every click on your ad.

Conversely, if your average CPC is £3, then you’re making £1 in profit per click.

How to view ‘Revenue-per-click’ reports:

1. Log in to your GA account.

2. From the side navigation panel, select ‘Traffic Sources’, then select AdWords^Beta.

3. Select an option from the sub-menu to look at data in an overview or by campaigns (click on campaign name on the right-hand side to get data for the campaign ad groups), keywords, day parts, etc.

4. From the main view on-screen, select the ‘Clicks’ tab and find the RPC column on the right-hand side in the main view.

How do you make a loss-making keyword profitable?

a) Lower your average CPC. However, do bear in mind that significantly lower ad positions might also affect your conversion rate, thereby negating any potentially positive affect. Hence, we advise that if your average CPC is higher than your RPC, you should try lowering your CPC gradually to find the ’sweet spot’ which is where your keyword spends less enough per click but still converts at an acceptably high rate to start earning profits for you.

Alternatively, you can try to lower your average CPC by improving your keyword Quality Score. In the earlier example, you were converting on a keyword at 20%, earning £4 per click. If your average CPC on that keyword was £5, you were making a loss of £1 per click. If you can improve the Quality Score of the keyword, you may find that you can reduce your bids without necessarily dropping down to a lower ad position.

b) Improve your site conversion rate. You might do this by testing new landing pages, forms etc.

These methods can be tried alone but it is generally a good idea to try both (together or one-by-one) for best results.

What if I do not have goal conversion values, only target CPAs?

No problem. Just use your target CPAs as goal values in your GA account/profiles. All you have to do is work to break even.

A Word of Warning…

Before undertaking a major optimisation project make sure that you have a representative data set to balance out any peaks/troughs due to external factors.

Also, it is important to bear in mind that availability of granular data like GA makes possible can lead you to create an ‘over-optimised’ campaign that converts at fantastic rates and with low costs, but fails to deliver sufficient volume. A good adwords campaign will strike the balance between driving cost-effective leads/sales and driving volume.

Whilst falling prey to these sins is unlikely to see you in one of Dante’s nine circles; chances are you will be adversely affecting your campaign; and so, without further ado – I give you the seven deadly sins of PPC…

Wrath

Also known as anger or rage; wrath encompasses both actions against others, and indeed self-denial. It also includes the desire to seek revenge, and generally wishing to do harm to others. In PPC such acts of wrath might include clicking on your competitors ads in order to run down their budget…

Don’t do it. Google in particular are pretty good at spotting click fraud so chances are your efforts are being wasted in any case. Your time and energy would be much better spent focusing on improving your own campaign.

Avarice

More commonly quoted as greed, avarice is an excessive pursuit of wealth – perhaps at the cost of everything else. Now in PPC terms this perhaps isn’t quite so sinful; unless of course it’s misguided. Are you so busy ensuring you’ve covered every conceivable keyword that you’ve forgotten to optimise your campaign and focus on what actually works? If you’re in e-commerce are your prices competitive? Alternatively it may be that you’ve swung the other way entirely – in your quest for a perfectly optimised campaign you’ve created a narrowly targeted campaign which works brilliantly from a cost per acquisition/sale point of view; but fails to deliver the volume you really need.

Envy

Envy can cause poor PPC management decisions. You see your competitor consistently appearing for a set of keywords (often head terms) which despite rounds and rounds of testing you’ve never managed to make work for you. You think, how are they making that work? Why is it that they can make it work and I can’t? Focus on your own campaign and your own objectives. Many companies run ‘loss leaders’ within otherwise successful PPC campaigns. Maybe those keywords are just that – loss leaders. Are they something you can afford? If not, pause them. Similarly, some go to great lengths to copy their competitors landing pages, just because they assume they will convert better; rather than checking their assumptions by split testing first.

Sloth

Sloth is the most common of PPC sins. If you want your campaign to deliver, you’ll need to work at it. You’ll need to consistently improve and refine your campaign – you can’t just set it up and let it run…

Pride

Pride is described as an excessive love of self. In PPC those who are overly proud probably think that there’s nothing left for them to learn. They believe that their PPC campaign is so well optimised that it really couldn’t be improved. I’d suggest that’s unlikely. No matter how well your campaign’s performing there’s always something which could stand to be improved, so continually test and learn.

Gluttony

This sin refers to the over-indulgence and over-consumption of anything to the point of waste. In PPC terms this might be likened to those who regardless of the cost *want* to appear in the top spot. Appearing first isn’t always the most cost-effective place to be in terms of conversions. Sure in some instances there may be some excellent reasons for wanting to appear in the top spot; but to optimise a whole campaign with this goal in mind is wasteful in the extreme.

Lust

Ordinarily thought of as sexual in nature, I’m going to be use a little artistic license here and use Aristotle’s definition – ‘an excessive love of others’. Some believe that other people’s PPC ads are so good that all they really need to do is copy them. This is a little short-sighted – it may work in the short term, but without developing your own key selling points / benefits / points of difference etc you’re likely to fail in the long term.

Image credit Lori Greig

What am I blethering on about? Negative keywords.

So, what are negative keywords?

According to Google:

“Negative keywords are a core component of a successful keyword list. Adding a negative keyword to your ad group or campaign means that your ads won’t show for search queries containing that term. By filtering out unwanted impressions, negative keywords can help you reach the most appropriate prospects, reduce your cost-per-click (CPC), and increase your ROI.”

Still not sure? Let’s imagine that you sell iPods. Therefore, you’re bidding on terms like iPod, the various models and colours and so on. However, you don’t give them away for free. By including ‘free’ as negative match, you’re ads will not show for searches such as ‘free iPod’.

Sounds sensible, right? And yet, I see many campaigns with either no negative keywords at all, or a woefully inadequate list.

The good news is, that sometimes – you can get away with it. Google applies a relevancy algorithm to every keyword in your campaign, which it compares to the keyword entered by the searcher.

Over time, Google will recognise that certain search terms do not illicit clicks and so over time, you will automatically stop appearing for these search terms. This does take time though, and in the meantime your campaigns will suffer.

However of course, this assumes that you don’t get clicks. If you get clicks your ads will continue to show, and you’ll be wasting money. Bad times.

So, I’m guessing you’re now sold on the need to include negative keywords – but how do you go about it?

Adding Negatives

You can add negative keywords either at a campaign or an adgroup level. Using the new interface, simply click on the campaign you want to add negatives to, then click on the keywords tab. Scroll down to the bottom of the page and you’ll see a link for negative keywords. Here you can elect to add them either at the campaign, or ad group level.

As with the keywords you bid on you can elect to add them as negative broad, negative phrase or negative exact match:

Negative Broad – this will prevent your ads from showing if the keyword (or words) you select appear anywhere in the search query

e.g. If you negative broad match Van, your ads will not appear for any search queries which include the word van

Negative Phrase – this will prevent your ads from showing if the phrase you selected appears in the order you’ve entered it anywhere in the search query

e.g. If you negative phrase match van insurance, your ads will not appear for the search query ‘van insurance’ but will appear for search queries such as ‘insurance for van’

Negative Exact – this will only prevent your ads from showing for the precise phrase which you have selected.

e.g. If you negative exact match van insurance your ads will not appear for the search query ‘van insurance’ but will appear for search queries such as ‘insurance for van’ and ‘van insurance quote’

How to find negative keywords to add to your campaigns

Most you’ll be able to figure out all by yourself

The key question to ask yourself is what don’t you do? Think about products and services which are related to your sector, but you do not offer.

Also think about how you sell – for example if you don’t give things away free – you’ll need to add ‘free’ as negative match. Likewise if you don’t lease or hire you’ll need to add those. Conversely if you only lease or hire you’ll need to include ‘buy’ as negative match.

Other negatives worth considering include:

Job Seekers – consider including: career, careers, jobs, job, etc

Courses/Qualifications – classes, courses, qualifications etc

DIY – DIY, how to, etc

Repair – repair, repairs etc

Second Hand / Antiques - second hand, antique, antiques, etc

Software – software, freeware, downloads

Google’s keyword tool is also a great source, as it demonstrates the sort of searches which Google deem relevant to your selected keywords. Simply copy a representative chunk of your keywords into the keyword suggestion tool. Then go through the list of suggestions generated by the tool and include any irrelevant ones as negatives.

Likewise the search query report will tell you which search queries have elicited clicks. To run the report:

1. Click on the ‘reporting tab and select ‘reports’.
2. Click on create new report.
3. Select ‘Search Query Report’
4. Select adgroup from the drop down menu (for some reason this defaults to ad, but in my view the report’s much easier to use if it’s filtered by adgroup)
5. Select an appropriate length of time e.g. one month.
6. Hit ‘create report’ and Bob’s your Mother’s Brother

Most of the search queries will be relevant (hopefully!), but add any irrelevant ones as negatives.

I hope you’ve found this useful – if you’ve any tips of your own you’d care to share, please do so in the comments.

Image credit Fuyoh

So, by now you should have your account structure nicely planned out – it’s now time to write your ads and get that campaign live.

Back in part three we talked you through setting up your account, so you’ll now need to either login to that account, or if you’ve not done so already create your account.

Step One – Targeting Languages & Location

First you will be asked which languages, and which locations you wish to target. So, pick a campaign and input the relevant details.

Step Two – Creating Adverts

You’ll then be asked to create your first ad. This feels a little backward, as you haven’t inputted any keywords yet. Don’t worry – just pick an adgroup – you’ll be asked to input the keywords after you’ve created your ad.

You’ll see that you have a strict character limit of 25 for the headline, and 35 for the following two lines. Ultimately it’s all about targeting. You want your ad copy to match your keywords as closely as possible. Try to:

1. Mention the keywords targeted
2. Make the ad relevant
3. Add in an offer or call to action to encourage people to click

It’s not a bad idea to have a look at other advertisers to make sure that your ad is competitive – for example offering a 10% discount for online orders sounds great, until your competitor starts offering a 20% discount.

It’s all about testing and learning. You won’t know what works until you try. Always create a minimum of two ads for each adgroup so you can see which ad performs better.

Step Three – Keywords

Now you can cut and paste the keywords which relate to the ad you’ve just created directly from word or excel. Or type them in if you’ve formulated your keyword lists on paper.

Step Four – Pricing

Again here – this is a little confusing - you’ll need to input the daily budget for the campaign, (i.e. the amount you want to spend on all of the adgroups in the campaign) and the maximum cost per click you are willing to pay for the keywords in your adgroup.

Right now I would recommend that you do NOT bid on the content network. To do this, simply leave the box marked CPC Content Bid blank.

Step Five – Billing

You’ll then be asked for your billing details. Again, I know this feels kind of strange – you haven’t finished setting up yet have you? Don’t worry. Just complete your billing details, and you’ll then get the opportunity to continue to build your adgroups and/or further campaigns.

Lather, Rinse, Repeat

You should now find yourself in the Adwords interface. You’ll now need to input all of your other adgroups and campaigns. Until you’re 100% ready to go I’d recommend pausing all campaigns – you can then go live once everything is inputted.

Track Conversions…

If your customers can convert online, it’s really important to track this. If you’re using the new adwords interface, click on the tools tab, then on to conversion tracking. If you’re using the old interface, you can click directly on conversion tracking it’s the fourth option on the campaign management tab.

Don’t Go Live Yet! Top Tips to Save the Pennies…

When you’re starting out, it’s easy to blow your budget on clicks you don’t want – avoid this by following our top tips:

1. Make sure you’re geo-targeting the right area – if you’re based in the UK, you probably don’t want US clicks – check your campaign settings
2. Check that you’re not on the content network (unless you want to be) – again check your campaign settings
3. Add negative keywords – remember when we did keyword research in part four we were left with unrelated terms? Add these as negative keywords to prevent your ads from appearing for unrelated terms – you can add negative keywords at a campaign or an ad group level.
4. Consider keyword matching options – for further details see Google’s explanation

Ok, so you’re good to go? Unpause those campaigns and make it live!

One Final Note

Remember – everything you’re doing right now is a test. You’ll find that some keywords work better than others, and likewise some ads work better than others. The key is to test and learn, then refine your campaign accordingly.

Image credit Miss Turner

This means that Google’s click measurement technology adheres to the industry standards for counting interactive advertising clicks and that the processes supporting the technology are accurate. It also covers how invalid/fraudulent clicks are detected and handled.

The audit was conducted by an independent firm on behalf of the MRC.

This is excellent news for advertisers who are concerned about click fraud, (when ads are deliberately clicked upon over and over again, simply to cost an advertiser money) as this accreditation demonstrates Google’s commitment to accurately reporting clicks, and handling fraudulent clicks appropriately.

Read Google’s statement on the Inside Adwords blog.

So in our last post we dealt with keyword research – so hopefully you’ve now got yourself a lovely long list of keywords. Now it’s time to organise them into appropriate groups.

You might remember in part three we talked a little about account structure. To give a quick recap, an adwords account is structured as follows:

There are three levels account, campaign and ad group:

1. Account - this is the top level, your adwords account has a unique email address & password for access purposes and your billing information.
2. Campaign - A campaign is associated with your account. At the campaign level you set the daily budget, language & geographic targeting, distribution (where your ad is shown), when your ad is shown (e.g. particular days of the week, and timings) and if desired an end date.
3. Adgroups – adgroup are associated with a campaign. At the adgroup level you select appropriate keywords and/or placements, set the bids for those keywords/placements, and create appropriate ads.

At the adgroup level you control which adverts are shown for which keywords.

Ultimately you want people to click on your ad, then go on to convert (e.g. buy your product / service; sign up; become a member etc, etc). It’s therefore important that the ad (or ads) that you show for your keywords are relevant.

Let’s imagine that you sell fruit online. You might decide that you want to bid on ‘buy green apples’. Lets consider the following ads:

Buy Green Apples Online                                                             

Golden Delicious, Granny Smiths &

More. Free Next Day Delivery!

Buy Fresh Fruit Online

Huge Selection of Fresh Fruit &

Free Next Day Delivery!

Clearly the first ad is more relevant to the ‘buy green apples’ query. It’s therefore more likely to elicit a click than the generic fresh fruit ad. When it comes of PPC relevancy is King, both for attracting visitors, but also because of the way paid search networks calculate the price you’ll pay per click.

Quality Score

Google calculate the price you’ll pay per click based on a number of factors all of which contribute to quality score. Google say:

Understandably Google don’t want to reveal the precise weighting of their quality score formula, however the core components are:

1. The click through rate (CTR) of the keyword and matched ad on Google (i.e. the number of times the ad has been shown divided by the number of clicks it has received)
2. Account history – the CTR of all of the keywords and matched ads in your account
3. Historical CTR of the URLs in your adgroup
4. Landing page quality
5. The relevance of the keyword to the ads in the adgroup
6. The relevance of the keyword and the ads to the search query
7. The account’s performance in the geographical region where the ad will be shown

By taking the time to create your adgroups appropriately you give yourself the very best chance of achieving a high quality score, which will mean your ads will appear in a higher position, and at a lower cost per click.

Creating Adgroups

Now there’s no ‘ideal’ number of adgroups – it really depends on the account.

If we go back to the example of selling fruit online, I would create an adgroup for each type of fruit which I sold – e.g. apples, pears, bananas, peaches, plums etc, etc. I would then also create other adgroups for more generic search terms like fruit, fresh fruit, dried fruit etc.

When I’m trying to split keywords into adgroups I just try to think about the ads which I’m going to create – e.g. it would be awkward to create a good ad which simultaneously do a good job targeting those who want to buy apples and those who want to buy pears – hence I’d split those keywords into two separate adgroups.

Well that’s all for this week, next time we’ll cover writing your ads and of course getting your campaigns live on Google.

Image credit oskay