Pay Per Click Advertising: Ten Terrible Mistakes

Written on July 5, 2008 – 5:57 pm | by Josh Prizer |
by Josh Prizer

Vigilance, micromanaging and attention to detail can help you avoid some common and costly mistakes of PPC advertising. What are those mistakes? Here are the terrible 10 that are typical to most pay per click campaigns.

Too Few Ad Groups For Your Keywords

It’s important to target your ad to be as relevant as possible. Don’t group all your keywords into one or two ad groups. Break them out. Keep them tight. This gives you more control over ad variables so that you can be as relevant as possible.

Ignoring Negative Keywords

Pay per click advertising has placed more importance than ever on click through rates and quality scores. It is vital to fine tune your impressions by getting rid of the non-relevant phrases that are lowering those CTRs. If you are selling an item such as “software for widgets” then be certain you also have those negative keywords like “-free” if you don’t have a free trial version. One way to find irrelevant keywords that are costing you is to check your log files of your site.

Not Enough Testing

An often neglected, but very important result-booster is the split testing of your ads. Even minor variations can increase your effectiveness. Obviously, you can rework such items like your unique value statement or your different calls to action, but there are many variables of each ad that can be optimized. Your display url, the ad title, each line of copy — all of that may be effectively tested. This can be time consuming, which is why a quality pay per click management company can be a great investment, especially if they offer daily split testing. Effort here pays off.

Not Precisely Tracking Results

Of course, testing your ads and fine tuning your keyword lists only works well if you are tracking results. The search engines will tell you what your click-through rates are … but you need bottom-line results. You need to know your return on investment or what your cost per action is. It’s not enough to know that you spend $5,000 and get back $10,000. You might be able to spend only $3,000 and get that same $10,000.

Not Tracking Down to the Keyword-Level

Setting up good analytics yourself or hiring a professional pay per click management company can do the job. Not only do you get more bang for your buck by getting rid of poor performers, but getting tracking to the keyword-level makes all of your testing and work even more precise. You need to know your earnings per click. If one keyword has a 56 cent Earnings Per Click (EPC) and another had a $1.22 EPC, this is important knowledge. Adjusting your bids to an appropriate level can keep you from over spending…or allow you to throttle up your overall traffic for even more success. Don’t let poor keywords leak your accounts.

Keywords That Are Too Generic

Negative keywords may not be enough to keep you from trouble on too generic a keyword. While these generic keywords are often more highly searched and can even be among your best…they can also be riddled with bad traffic. Users who perform a search on a generic keyword may often be at a very early stage in the purchase process. Are you able to turn an effective profit on them? Once again, this is yet another reason why you need keyword-level traffic. It’s especially vital on a generic keyword.

Not Going After Long-Tail Keywords

This follows the above item on generic keywords. Building a list and individual ads for the long-tail keywords can be a major time-sucker. It can also be profitable if the task is performed correctly. Those earnings per click will likely vary widely from a generic keyword like “mp3 player,” “sony mp3 player” and “sony 2GB S610 walkman video mp3 player.” One consumer is doing research, the other knows what they want and is most likely looking to purchase.

Not Pulling Apart Content and Search Campaigns

An easy way to get scorched on poor performing traffic or even click fraud is to not separate your search network ads from your content network ads. Chances are that if you don’t know what the difference is, then they are likely not separated in your account — and bad keywords are leaking your funds daily. You are better off to build different campaigns for your keywords on the content and search networks.

Failing to Geo-Target if You’re Local

Each of the major pay per click engines offer a way to tightly set up your campaigns. If you are working from a local pool of potential clients in your area, you need to take advantage of some of the area-specific targeting that the PPC engines offer. Fine tuning your campaigns to get the right people in your region to respond can be well worth the effort to your bottom line.

Not Continually Monitoring Your Campaigns

Not everyone has time to run split testing on a daily basis or frequently checking your EPCs (even though you should…because it’s costing you). That said, there are still a high amount of advertisers who seem to ignore their accounts for days … or even weeks … or (don’t tell me you’re doing this!) months. The big PPC search engines are increasingly cracking down on poor performing keywords, smacking advertisers with that “Inactive for Search” status for individual keywords. When this happens, you lose traffic, you lose profits. If you are investing heavily in PPC, you can’t just turn your back on your account for days at a time.

Healthy, efficient and vibrant PPC campaigns require work. The Terrible 10 of PPC Advertising that we listed above form a strong foundation for you consider when revamping or starting up your PPC advertising. Whether you hire out to a pay per click management company or can actively manage your PPC accounts at this level of detail…precision, effort and attention to detail can greatly impact your results.

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