google adwords fundamentals exam course notes
DESCRIPTION
I recently acquired my Google Adwords Certification by taking the fundamentals and advanced display network exams. Every week I presented to a group of individuals the course materials, with the open book exam this presentation serves as a great reference point for the open book exams. Sign up for the exams and receive the full course material here - https://adwords.google.com/professionalsTRANSCRIPT
Google AdwordsAccreditation Fundamentals Exam
Course Breakdown – Fundamentals Exams1. Introduction to Adwords2. Account Set-up and Basics3. Ad Formats4. Targeting and Placements5. Bidding and Budgets6. Ad Quality Topics11. Optimising Performance15. Selling Adwords
Introduction to AdwordsModule 1
1.1 Overview of Adwords
1.1 Overview of Adwords
Getting Started on Adwords
Benefits of Adwords
RelevanceReturn on InvestmentReach
Basic Features
KeywordPlacementImage AdCampaignAd groupImpressionClick
Basic Features
Click-through RateCost per ClickMaximum Cost per ClickCost-per-thousand ClickQuality ScoreFirst page bid estimatesOptimization
1.2 Getting Started With Adwords
Account types: My Client Centre (MCC)
Adwords Client Accounts Client manager account
1.2 Getting Started With Adwords
Ad Creation marketplace
Google Advertising Professionals Search
Account Set Up and BasicsModule 2
Search Vs Display network
Google search Mobile search CPC
Google search partner sites Text ads on websites Image ads on websites Video ads on websites Ads on mobile websites Managed placements CPM
Account Structure
AccountUnique email address
PasswordBilling information
Campaign Campaign
Daily budgetGeo-targeting
Syndication preferenceStart and end dates
Daily budgetGeo-targeting
Syndication preferenceStart and end dates
Ad Group Ad Group Ad Group Ad GroupOne set of keywords
One or more ads
One set of keywords
One or more ads
One set of keywords
One or more ads
One set of keywords
One or more ads
2.1 Account Management BasicsModule 2
Monitoring Adwords Accounts
All critical account alerts related to payment problems, pending budget end dates, credit and bank card expirations, ad disapprovals, and other issues that will cause your ads to stop being displayed are shown in the Campaigns tab, at the All Online Campaigns level.
The alerts can be changed at the Notification settings page (under My Account) You can also set up SMS alerts
2.2 Campaign Management BasicsModule 2
Key Concepts
From the campaigns tab: Receive alerts Create a new campaign Change campaign settings See the list of campaigns View campaign status
Enabled: Set to run normally Paused: Temporarily suspended and not currently running Deleted: Deleted and no longer running Pending: Not yet started running Ended: No longer running as end date has already passed
Key Concepts Clicks: The clicks accrued for the ads in each campaign Impr. (impressions): The number of times that the campaign's ads have been displayed on Google or
on sites in the Google Network CTR (click-through rate): The number of clicks divided by the number of impressions that the ads
have received. This is expressed as a percentage: 2 clicks for 100 page views equals a 2% CTR. Avg. CPC (average cost per click): The average cost accrued for clicks on the ads within that campaign. Cost: The total costs that a campaign has accrued during the time frame that you selected. Avg. Pos. (average position): This refers to the average position on a search result page that an ad
appears in when it's triggered by that keyword. Conv. (1-per-click) (conversion rate): The number of user clicks that turned into actual conversions for
the advertiser. Conversion rate equals the number of conversions divided by the number of ad clicks. Cost/Conv. (1-per-click): The total cost divided by the total number of conversions. This tells you how
much each conversion costs. This applies only to users who have set up conversion tracking. Conv. rate (1-per-click): Number of conversions divided by total clicks. This tells you your conversion
rate. This applies only to users who have set up conversion tracking.
Key ConceptsFrom the campaigns tab: Account tree: Use this menu beside your account pages to switch between campaigns and
ad groups. Performance summary graphs: Use these customised graphs to compare trends on every
level of your account. Click the "Change Graph Options" link to see data points such as clicks, impressions and average position or to compare two of these metrics at once.
Networks tab: This is where you manage your placements. You'll also see the summary statistics for both your Search and Display Networks.
Campaign roll-ups: 'Roll-up' views let you see and edit all a campaign's keywords, placements or ads in one place, instead of finding and changing them ad group by ad group.
Dynamic help content: Help sections display the FAQs that you most likely need for the page that you're viewing. Of course, you can also always click the "Help" link in the top corner of your account to see the full Adwords Help Centre.
Key ConceptsActions you can take from the Campaigns tab: Campaign and ad group creation workflow: Create new campaigns and ad
groups with the New+ button at the top of any table. In-line editing: Edit ads, keywords, placements and bids within the tables on
the campaign and ad group tabs in your account. Just position your cursor over a row to reveal the editable fields.
Copy/move: A click of this button lets you copy and move keywords, placements and ad groups between campaigns without leaving the campaign management interface.
2.3 Ad Group Management BasicsModule 2
Ad Group Management
Ad groups can be separately named, sorted by results, paused, edited Groups can host different keywords, placements, ads, bids But location and bidding occur at a campaign level Ad groups tab shows you a summary of performance/issues in all groups
Adwords Ad Formats & Best PracticesModule 3.1 + 3.2
Do you understand how ads are placed?
Text Ads
Text Ads or Sponsored Links
Text Ads
NOTE: Double-Width characters (e.g Chinese or Korean) have half the character limits. But punctuation is single width!
Text Ad Guidelines
Editorial and format: Character limit: Your intended headline, text and URL must fit within the required limits and not be
cut off. Prices, discounts and free offers: If your ad includes a price, special discount or "free" offer, it must
be clearly and accurately displayed on your website within 1-2 clicks of your ad's landing page. Punctuation and symbols: Among other requirements, ads may only contain a maximum of one
exclamation point. Content: These policies relate to the products and services that you advertise, and may
apply to ads and the content of your site. For example, advertising is not permitted for the promotion of certain weapons or for aids to pass drug tests.
Link: These policies relate to the Display and Destination URLs in your ad. For example, the Display URL must be accurate and links to your website must allow users to enter and exit the landing page easily.
Text Ad Guidelines
Ads should: Be simple and enticing Include prices and promotions Strong call to action Include the keywords in the text
Image Ads
Image Ads
Animated or static Never on the search network The power of the image Give each image a title
Don't exceed 50 characters Include an image description Include the campaign or ad group name
All image ads need to first be approved by Google before they start running The display ad builder allows for template designs
Image Ad guidelines
Gif, jpg or png or animated in flash Max size = 50kb Sizes 250 x 250 Square 200 x 200 Small Square 468 x 60 Banner 728 x 90 Leaderboard 300 x 250 Inline Rectangle 336 x 280 Large Rectangle 120 x 600 Skyscraper 160 x 600 Wide Skyscraper
Image Best Practice
Call to action - such as "learn more", "buy now" or "visit us today" Prominently showing your Display URL which typically contains a company's name, is a major
component of a text ad. You have more room in an image ad, so don't be afraid to use your brand or logo as well
Include details like prices, delivery details and relevant special offers Ads lead to a relevant landing page Use appropriate capitalisation - the nice thing about display is that you can have all caps Promote a sense of urgency in your display ads if you have time-sensitive pricing or offers. Use
phrases like "hurry!", "limited time" and "special offer" to capture a user's attention and push them to take action
Keep it simple Include product images Each frame should hold its own weight (has logo)
Video Ads
Video Ads
Think entertainment audience One of the largest formats of media consumption Formats
In stream text ads In stream graphical overlay Click-to-play ads
CPM or CPC + always Display network You must use the display ad builder for your ads Managed placements or keyword targeted campaign Low impressions = increase bid
Video Ad Best Practice
Video audiences are not captive (unlike TV) Display your message as quickly as possible (ppl drop off quickly) Be clear about your message (there might not be a web visit) Sight must equal soundOpening image Money shot Rich sharp colours Include a few words to describe offering Tell users to click play to learn more Different placements have different opening image sizes Don’t turn your banner image into your video opening image Don’t cram text
Video Ad Best Practice
Wait 30 days before testing results In interaction is low = change videos and images Rather bid by impression, if using CPC use negative keywords Focus on interaction rates not click through rates as measure of success If one site is performing better, ad more sites like it
Mobile Ads
Mobile Ads
Smaller to fit on smaller screens Mobile ads MUST lead to a mobile website They can include a ‘Call’ functionality iPhones (and others) display normal ads, not mobile ads Create a separate campaign (rather) Mobile image ads work the same as the desktop versions except 12 or 18
character limits
Mobile Ads Best Practice Link policy language
wml (WAP 1.x)xhtml (WAP 2.0)chtml (imode, etc.)PDA-compliant html
No flash! 6:1 Aspect Ratio 300 x 50, less than 7.5 KB file size 216 x 36, less than 4.5 KB file size 168 x 28, less than 3 KB file size 4:1 Aspect Ratio 300 x 75, less than 7.5 KB file size 216 x 54, less than 4.5 KB file size 168 x 42, less than 3 KB file size Japan-standard size 192 x 53, less than 5 KB file size
Mobile Ads Best Practice
Start early Be aggressive Separate desktop and mobile ad campaigns Choose different keywords for mobile vs desktop Catchy ads win You can still use display in mobile! Apps work too Target per device
Rich Media Ads
Rich Media Ads
Include videos, flash, animation, or a mix of text & images Gallery in the Display Ad Builder (must use) Managed placements (recommended at least 10) or keyword targeted CPC or CPM
Rich Media Ads Best Practice
Always respect copyright on the images you use All ad policies apply You may not use the ad to collect private informationStrategies for bidding Compete – place ad with text ads and the one that performs the best will
automatically be shown more often (remember you are then bidding the same rate)
Own ad group – In the ad auction text ads and display compete against each other
Rich Media Ads Best Practice
Customising your ad Colour Strong call to action Balance images and text in ad Include a visible URL Experiment! (copy, templates, colour, call to action)
Rich Media Ads Best Practice
Measurement Driving sales
Compare cost to leads or conversions Narrow targeting to focus on customers Look at hover over rate Analytics to understand website behaviour Use conversion tracking
Summary Ad Formats
Format Network Cost Format
Text Search or partner CPC 25,35,35,35
Image Only partner CPC or CPM Ad builder
Video Only partner CPC or CPM Ad builder
Mobile Only partner CPC or CPM 18,18,18, Call
Rich Only partner CPC or CPM Ad builder
Adwords Targeting and PlacementModule 4
The Google Network
Search Network Display NetworkGoogle + AOL etc.Google search does not equal Search Network
Gmail, YouTube, News24 etc.
By default ads are automatically placed on BOTH networks
Keyword targeting:- Search phrases
Keyword targeting:-Contextual targeting
No placement Placement targeting - Managed placements (specific sites)
Quality score is calculated separately for the two networks, so even in one campaign the same ad may have different quality scores for search and display
Text ads Text ads + images, video, rich etc.
TargetingSearch Targeting Keyword-targeted ads on Google search + Search Network
Target languages, location & keywordsDisplay Network Targeting An entire website, or subsection or even a specific ad unit
on a pageContextual targeting
Device Platform Targeting 1. Desktops and laptops or2. iPhones or other HTML providers• Applied at campaign level• Can target the Google network• Stats with device breakdown• No impact on mobile campaigns
Keywords & Keyword Targeting
Match TypesType Characteristics Keyword Matching searches
Broad DefaultLargest reachIncludes plurals and synonyms
PR Agency PR AgenciesAdvertising PR agencyPR JHB agency
“Phrase match” Keywords in exact sequence
“PR Agency” JHB PR AgencyFH PR AgenciesPR Corporate agency
[Exact] Matches exactly consumer search phrase
[PR Agency] PR AgencyPR AgenciesJHB PR Agencies
-Negative Prevent your ad from appearing when another word appears in a search
PR Agency –Cape Town PR AgencyJHB PR AgencyCape Town PR agencies
-{Embedded] Removes an embedded exact search phrase
-[Philips] Lighting Philips lightsPhilips lightingPhilips
Keyword Lists
Build keyword list
• Using the Google Keyword tool
Group keywords by
theme
Set the right match for
each keywordRefine list Test & refine
Monitoring Keywords
Quality Score (disabled by default) Keyword analysis toolRemember to adjust poor performing keywords and change the match rules Keywords must match what your advertising
Keywords best Practice
Group keywords Broader match give scale but could blow budget Narrow match gives fewer targeted clicks and can save $ Negative keywords rock Don’t forget about campaign level settings/adjustments Keep keyword list tight 20-30 Two or three word phrases work best Keep testing keywords and refining.
Adwords Location Targeting
Language & Location
Language – Target up to 40 languages Location – Any combination
Target the language spoken by the audience that you're trying to reach. This should also be the language in which your ad is written.
Target countries or territories if you want to reach a wide audience across one or more countries.
Target regions and cities if your business serves specific geographic areas or if you want different advertising messages in different regions.
Target customised areas to reach specific geographic areas which may not be available in region and city targeting.
You can combine these targeting options any way you like within the same campaign.
How this stuff works
Language = Google interface languageLocation =
Google Domain (e.g www.google.fr = france)Search term (e.g. Johannesburg PR agency = JHB)IP address
Location
Regional or City Targeting Proximity or radius targeting
Location Challenges
IP address shows wrong location A user outside the target area searches for something specific in it (they will
still see your ad, automatically) You target country level, Google then uses their domain, but the user is
actually in a different location (e.g. Chris using google.co.za in Amsterdam)
Best practice
Before setting location, check Google Insights for search, optimise for country traffic
Check on campaign performance where traffic actually comes from and optimise
Different regions can have different landing pages Add location extensions to your ads
Placement Targeting(Display Network)
Google Display Network – Recap
Display network reaches 70% of all internet users in 20 languages in 100 countries
Automatic placements: If you have keywords in your ad group and are targeting the Display Network, using contextual targeting
Managed placements: If you choose to manage placements separately for increased control, you'll use managed placements.
Excluded placements: You can also choose certain placements on which you don't want to run ads.
Contextual Targeting Individual Placement targeting Managed placements
Your keywords are used to match page level contentRemember this is set by default
Bidding (in order)• Individual placement bids• Managed placements bid• Display Network bid (or your
campaign if you leave it blank)
PlacementsNo keywords required, you choose the sites. Ads appear regardless of contentCan be the entire site, section or ad unitMust be part of the networkPlacement tool will help tell you where to placeYou still compete in the bid for that spaceCan exclude up to 5 000 sites
Allow for placement targeting or restrictionsSeparate bid managementFirst Google uses keyword contextual targeting, then managed placement rules
3 ways to select placements:• Manually• Automatic• Placement tool
Bidding (in order):• Individual bid. • Ad group managed placement bid.• Ad group Display Network bid• Ad group default bid
Monitoring Performance Run a URL report and check: Implement Google's conversion tracking so that you can understand how individual sites are converting
for you. Don't focus on lower overall click-through rates (CTR). Remember: A low CTR on a given site does not
necessarily mean that your ads perform poorly. Users behave differently on Display Network pages than they do on search sites. For more telling information, rely on your conversion data.
When you find placements where ads from one ad group convert well, consider adding them as managed placements on the Networks tab in your ad group. Try raising your bid so that your ads will have a better chance of appearing whenever your keywords put your ad on that placement. Or try doing the opposite with poorer-performing placements: lower your bid to seek a better ROI on those specific placements.
Respond only to statistically significant data. It may take several weeks before you can see how your ad is doing on a specific site. We recommend waiting until you have enough click and impression data before making decisions.
Use the report to identify and exclude sites that are not converting for your campaign.
Other targeting options
Videos can be targeted, using the placement tool Ability to target game sites Ability to target RSS feeds Ability to target mobile sites
Best Practice
Using the right keywords Select placements that match your ad Try using rich media Use placement diagnosis to uncover problems
BiddingModule 5
Types of bidsCost per Click Cost-per thousand impressions Conversion Optimiser
Only pay when someone clicks
Automatic bidding – You set a daily budget, Adwords gives you the most clicks a day for that budget. You can also still set a max CPC
Manual bidding – Set individual bids at group, keyword or placement level
Great for branding and visibility
Set on group or placement level
When CPC and CPM compete against each other eCPM is used (or effective CPM). I.e. working out a CPC into a CPM prising model
Set a cost per conversion per campaign
Using the conversion optimiser, Google attempts to give you a lower cost per conversion, lowers your bid automatically for less likely clicks.
Campaign must receive at least 15 conversions in the last 30 days and maintain a similar conversion rate
You can still set a max CPA
Important concepts• When setting up an account consider the value of a click and your daily budget
• Adsheduling - Adjust bids by time of day (using the bid multiplier, 10% to 1000% of the original CPC.
• Note this affects all ads in the campaign
• Demographic bidding ( Bid + %) – Increase your bid when the right demographic is being targeted
Best practice:
• Choose the bidding strategy that fits your goals
• Consider automatic bidding for new advertisers
• Use bid simulator to see possible advertising results with different bids and keywords
• Review where the best bids come from and shift focus
BudgetsDaily budget = amount your willing to spend per campaign on averageUp to 20% over budget on a given day, but never over 100% of the budget over the lifespan of a campaign
Standard deliveryImpressions are spread out through the day
Accelerated deliveryDisplay your ad as quickly as possible to your budget
Google’s recommended budget is calculated as follows:• Determining your total potential impressions• Comparing potential impressions with your recent performance and costs• Combining daily estimates• Tempering recommended amounts to allow for testing
Best Practice
Keep your total account spend in mind when specifying your campaign Remember your bidding amount when setting your budget You may change your budget a max of 10 times a day
Ad Site QualityModule 6.2
What is ad quality?
Google strives for relevance, in searches and ads (this makes the quality score so important) Quality Score is based on your keyword's click-through rate (CTR); the relevance of your ad
text, keyword and landing page; and several other factors. This is calculated for EVERY relevant search Landing page quality is influenced by the usefulness and relevance of information provided on
the page, ease of navigation, load time, how many links are on the page and more Quality score is used in:
influencing your keywords' cost per clicks (CPCs) determining whether a keyword is eligible to enter the ad auction that occurs when a user enters a search
query affecting how high your ad will be ranked estimating the first page bids that you see in your account
How quality score is calculated
Google Search Network CTR Account History Ad group CTR Relevance of keywords to ad Account performance in region
where ad would be shown More
Display NetworkContextually targeted CPC:
The historical CTR of the ad on this and similar sites
The relevance of the ads and keywords in the ad group to the site
The quality of your landing page CPM:
The quality of your landing page Placement targeted
Landing Page Quality
Influenced by: Usefulness Relevance Ease of navigation Load time How many links and more
Each keyword receive a landing page relevance score
Improving Landing Page QualityRelevance Transparency Navigation
How relevant is it to the user queryOriginality, feature unique contentDon’t link or redirect trafficContent of substance
Define what your business doesHonour dealsNo changing usual web behaviourNo software installsPolicy in handling user data
Easy flow pathsAvoid pop-ups etcLoads quickly
Sites with low scores
Data collection sites Sites designed to show ads Malware sites eBook sites Get rich quick Comparison shopping sites Travel aggragators
Monitoring quality scores
This can fluctuate Keyword analysis:
Eligible Disapproved Paused/Deleted Low search volume Below first page bid Low Quality Score
You need to enable the quality score tab to view the analysis
Performance Monitoring & Conversion TrackingModule 11
Performance Monitoring
Track performance and conversions = identifying which clicks are more valuable and optimising budget. This requires understanding what users are doing on your site
Selling and Representing AdWordsModule 15
15.1 Adwords Value Proposition
Dire
ct M
arke
ting
Ads distributed to those directly interested in your productGenerate leadsROI focusCPCAdWords DiscounterSmart Pricing
Bran
d M
arke
ting
Builds awarenessDisplay network reachEvery stage of purchasing decisionMessage testing
Adwords Proposition
• Search query, Language & Location• Networks devices, placement targeting & exclusion tools
Targeting
• CPC• AdWords Discounter• Smart Pricing
Pricing options
• Changes allow 24/7• Account Snapshot | Keyword Report• Campaign Statistics | Ad Report• Conversion Tracking | Placement Report• Google Analytics | Search Term Report | Hourly Report
Reporting
Saves time buying ads & measuring success
15.2 Selling Adwords
Steps in securing an Adwords client
Start with a clients need assessment You can perform a needs analysis to determine a client's current online marketing involvement, learn
about their company/organisation landscape, know who the decision makers are and uncover company weak points.
Points to consider: Review their website: Have a basic understanding of the advertiser's business. What is their flagship
product or service? Do some research: Are there articles about the business online? Are they already doing online
marketing? Are they in the organic search results? How competitive is the ad space? Learn to speak their language: What vertical are they in? What is their sales cycle? Are there unfamiliar
terms? Is there seasonality? What challenges might they face? Begin to plan: How might you build an AdWords account for this advertiser? What products or services
would you include in an initial marketing strategy? What products or services might you recommend for expansion?
Steps in securing an Adwords client
Aligning client needs with Goals and Opportunities
Typical problems: Limited time: Unable to effectively pursue new marketing strategies Lack of experience: Mistakes in online marketing campaigns Resource constraints: Cutting corners Not targeting audience effectively: Failure to generate revenue Inability to measure success: Sub-optimal use of marketing budget Limited marketing strategy: Missing out on customer segments Limited budget: Limited investment in future
Steps in securing an Adwords client
Typical scenarios Are you concerned that you're spending too much/not spending enough on
marketing? (feature revealed: control over budget) Are you worried that your current media plan isn't as efficient as it could be? (features
revealed: flexibility and local targeting) Are you concerned you may not know how to best target your advertising to your
audience? (features revealed: reporting and targeting) Are you satisfied with the level of traffic, conversions etc., that you're seeing? (features
revealed: marketing reach and reporting)
Invalid clicks Manual clicks to increase your costs OR automated tools
Google has three powerful tools for protecting clicks on AdWords ads: Detection and filtering techniques:
Each click on an AdWords ad is examined by our system. Google looks at numerous data points for each click, including the IP address, the time of the click, any duplicate clicks and various other click patterns. Our system then analyses these factors to try to isolate and filter out potentially invalid clicks.
Advanced monitoring techniques:Google uses a number of unique and innovative techniques for managing invalid click activity. We can't disclose details about the software, except to say that we're constantly working to expand and improve our technology.
The Google Team In addition to our automated click protection techniques, we have a team that uses specialised tools and techniques to examine individual instances of invalid clicks. When our system detects potentially invalid clicks, a member of this team examines the affected account to glean important data about the source of the potentially invalid clicks.
Explaining the Search and Display Networks The Google Network lets advertisers reach users across the Internet - from small newsletters to large search engines. Since search
results pages make up a very small fraction of all pages viewed online, the Google Network provides a cost-effective way to reach users on the greater portion of the web. The Google Network is split into the Search Network, which includes Google and other search sites like Ask.com, and the Display Network, which includes Gmail, newsletters and sites like the New York Times and HowStuffWorks.
In the Search Network, search targeting applies to keyword-targeted ads shown on Google search results pages and on other search sites. Ads shown on these pages appear alongside, above or below the search results and are specific to that particular search query. If the advertiser's keyword matches the user's search term, the advertiser's ad could appear.
The Display Network has the advantage of reaching potential customers at different points of the buying cycle. Not every potential customer is focused on conducting a search. Not every visitor is ready to buy at a given moment. The advertiser's challenge is to capture their attention at the right time.
For example, a user might begin a search for digital cameras with just an interest in reading reviews. However, while reading a review, that user might take note of online retailers' ads or click the ads themselves. With search-only advertising, this customer would have been missed.
With the Display Network, you can run ads in text and rich media ad formats. Image and video ads can be especially important in branding and marketing efforts. Google charges no additional fee to serve these ads. That's just another benefit of partnering with Google AdWords.
Here's one more benefit: If our data shows that a click from a Google Network page is less likely to turn into actionable business results - such as online sales, registrations, phone calls or newsletter sign-ups - we may automatically reduce the bid for that site. With no extra effort from you, Google technology helps you realise consistent value across Google and the Google Network.
15.3 Maintaining Client Relationships
Best Practice
Keep your client updated on progress often Offer multiple metrics for success Don’t share your login credentials
Product Why hire a 3rd party professional Let's take a look at some pros and cons of each:
Guaranteed ClicksPros
Potentially easier to sell for an untrained sales force Simple value proposition for unsophisticated advertisers
Cons Requires more click-fulfilment strategy because AdWords platform is not built to support Guaranteed Clicks Can create confusion by placing higher value on clicks rather than leads, phone calls, sales Does not take into consideration click differences across verticals Does not work well for very high-cost or low-cost advertiser packages
Budget-based Pros
Facilitates operations because of Adwords platform compatibility with a budget-based product Focuses advertisers' attention on value delivered rather than click targets leading to better performing accounts Provides flexibility to allocate different CPCs based on vertical cost variations
Provides more flexibility to your Account Management Team Cons
Challenging to sell to unsophisticated advertisers
Challenging to set advertiser expectations
Contracts
Short Term: Better suited for risk averse advertisers because of increased flexibility Usually provides more signups, but higher churn rates in the long run Offer short-term contracts with auto-renew functions
Long Term
Better suited for advertisers with online experience Usually provides fewer initial signups, but lower churn rates in the long-run Offer long-term contracts with short-term cancellation policy
Metrics to share with clients
Clicks Impressions Average CPC Ad Rank Cost Spent on Google AdWordsFrequency Send customers reports when they request them
Send a weekly/monthly report via the AdWords interface Provide 'Report Access' into the AdWords account Provide your own UI or technology for advertisers to view their reports
Optimization – Hiring an exper Pros:
Reduced need to hire internal operations staff Can support unexpected spikes in volume or results that exceed projections Already existing search engine marketing expertise Fast cycle to launch Scale is inherent
Cons: Less expertise gained than if running in-house Less control over operational decisions Less control over search networks used New Google products not accessible until built into the AdWords API May accrue additional costs
At a high level for in-house: Pros:
Building in-house expertise for your business
Complete control over operational functions Complete control over search networks used Able to experiment with new Google products not offered by SEM
Cons: Additional headcount needed to run operations Sales may need to be throttled back if hiring is too slow Need to acquire search engine marketing implementation expertise Slower to launch Scale needs to be planned for - beyond hiring more people
Prising Model Some considerations: Ensure your pricing model fits in with your other product offerings (if you offer other products) Create price points that can be easily explained by your sales force Commonly observed pricing models contain upfront monthly service fees or percent-based markups (10-
30%)Examples: 10% mark-up + £50 monthly service fee + £100 monthly budget 30% mark-up + £50 monthly budget £100 one-time set up fee + £50 monthly service fee + £100 monthly budget Deliver 100 clicks for £200 If you decide to bundle your products, here are some considerations: Offer different packages for savvy vs. less savvy customers Allow your sales force to offer customised price packages for higher spend customers
At FH
16.5% commission Plus time to set up, manage and report If we don’t like them a 10% handling fee as well
Good Luck for the Exams!