A couple of days ago I talked about applying a great new technique I figured out in Google Adwords. So I thought I would share with anyone who might be interested.
I dove into Adwords through my entrepreneurial efforts because everything I read was that it was the ideal advertising channel to start a business from. (I don’t believe I have said it enough, but Glenn Livingston is amazing!) I wanted as much experience with it as possible, so I implemented it at my day job as well.
I came up to a bit of a problem in that I wanted to advertise on very general terms such as “bank” and “Home Equity.” Anyone who has used Adwords knows that this is a big no-no. A quick look up tells me that the term “bank” gets 151,000,000 hits a month, and you really have no idea what those people are looking for. They could be looking for a new bank, or they could be studying river banks for a school report.
But I really wanted to advertise on “bank” because that is what people who are searching for a new bank will put into Google. So I stacked the deck greatly in my favor. First off, make sure you use all of the match types: broad, “exact phrase” and [exact match]. Meaning if you put in bank as a keyword, also put in “bank” and [bank]. That little trick alone can save you TONS of money.
Now is where the ninja skills come in, go to Google’s Keyword Suggestion Tool in a different window then where you have your campaign for “bank”. Type in bank, and look at all of the suggestions it gives you. When I do this I see 800 suggestions. Now comes the really fun part (said with extreme sarcasm). Go through every single one of these words and add every one that does not apply to your ad campaign into your negative keywords.
What that means, is that when I see words like “crisis”, “bailout” or “river” I put those into my negative keywords for the “bank” campaign.
So why does this work? Google wants to help their searchers first and foremost. So, if you are advertising bank services to people who are searching for “river bank” you are not giving the searcher what they want. The better you define who you are advertising to (e.g. – to people searching for bank accounts, not people who are studying the bank crisis), the more you help Google give their end user a better experience.
Another advantage to this is that your prices go down. If I was advertising to 151,000,000 people and only got 1,000 click-throughs, my Click-Through-Ratio (CTR) would be tiny, and I would pay more for each click. But since I am shrinking the pool of who I advertise to, and I am being more specific about exactly who I want to target; I advertise to a smaller group and get more of them to click on my ad because it is immediately relevant to what they are searching for.
I am not going to lie, this is not a fun thing to do. But it most certainly works. Last month, my “bank” campaign was at 16.53% click-through rate. The industry average is 1%. My average Cost-Per-Click (CPC) was $0.08. And because I was so relevant, my average position was 1.1. Use this ninja trick, and watch all of your numbers go the way you want them to.