Pay Per Click (PPC) Campaigns can be a lucrative way to increase leads and conversions. In order for them to be successful (and to ensure that you don’t spend more money than you earn from them), they need to be closely monitored on a regular basis.

With so much data at your fingertips, it can be difficult to know which metrics to focus on in order to refine your campaigns. We’ve put together the top five metrics that will give you a clear overview of your PPC campaign performance.


1 – Quality Score

Quality Score is Google’s measure of the relevance of your keywords, used to ensure that searchers see relevant ads and have a positive experience. Maintaining a good Quality Score is important as Google uses them to determine your ad rankings as well as how much you pay per click.

The following factors determine your Quality Score;

  • The click-through rate (CTR) of the keyword and its corresponding ad
  • The relevance of the keyword and ad to the search query
  • The relevance of the keyword to its ad group
  • The CTR of the display URLs in the ad group
  • The quality of your landing page


2 – Click-Through Rate

CTR is important for several reasons; (1) it’s one of the most important factors in determining your Quality Scores, (2) it tells you whether or not your ads are relevant to searchers. Low click-through rates are a sign that either your keywords or your ad creative (or both) need improvement.


3 – Conversion Rate

Conversion rate tells you how many people who clicked your ad went on to complete the desired action on your landing page. It’s equally as important as your click-through rate, as you don’t want to pay for tons of clicks and traffic if none of that traffic ends up taking a meaningful action. Strong conversion rates mean that the money you spend per click is coming back to you in profits – in short, a high ROI.


4 – Cost Per Conversion

Cost per conversion dictates how much you are spending for each person that converts. In other words, if you have to pay more to gain a new customer than that customer is actually worth to your business, then your campaign is failing.


5 – Wasted Spend

The best way to reduce your wasted spend is through smart use of negative keywords. Negative keywords allow you to filter out traffic that is irrelevant to your business and unlikely to convert. By creating a negative keyword, you’re preventing your ads from displaying for search queries that contain that keyword.


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