‘’We can get you number one position on Google!” How many business owners have heard that worn out claim by so-called internet marketers? Of course you can be number on Google – all you have to do is bid more for any given keyword than anyone else, and voila –your number one!
You can also buy a TV spot on the super bowl if you have enough money, but that does not mean you will get a return on your advertising investment (ROI).
The beauty of Colorado Springs Pay Per Click Advertising as WSI practices it, is that we can determine if bidding enough to be number one on Google gets you a positive return or not. If the bids are generating a positive ROI, than we continue bidding that amount. If not, we reduce the bid on that key word, or eliminate the key word entirely, until we find only those keyword-bid combinations that deliver that maximum ROI for an advertiser’s budget. That, friends and neighbors, is what PPC optimization is all about.
So let’s take a look at some interesting facts about ad placement and click-through-rates to see what can happen to the advertiser that ignores optimization. The following is from a click tracking study that shows the percent of clicks that come from the various organic and paid search positions on the search engine results page:
What immediately jumps out at me from this information is that position number 5 gets more clicks than position number 3 or 4. Yet, in the engines bidding price structure, position number 3 and 4 will cost more than position 5. So does that mean you should always go for number 5? No. It simply means you need to monitor the ROI of every keyword-bid combination to make sure you are getting the most bang for the buck.
In a subsequent post I will explain how WSI Local Adworks dynamically optimizes based on performance and re-allocates our advertiser’s budget to the best performing keyword-bid combinations.
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