Why Conversions are Important for your PPC Campaign

A conversion is what happens when a visitor to your website takes a desired action. This could be something like making a purchase, signing up for a newsletter, or filling out a contact form. Essentially, a conversion is any action that you want your visitors to take that will benefit your business. Conversions are important for your PPC campaigns and should be included in every ad.

Conversions are a measurement of success

Conversions are important to your ppc campaign

Businesses use conversions to measure the success of their online marketing campaigns or paid ads. After all, the whole point of driving traffic to your website is to get people to take some sort of action that will improve your bottom line. That’s why it’s so important to track conversions (data) on your google adwords campaign and continually work to increase the number of conversions that you’re seeing for your target audience. Conversion tracking is also used in SEO, on page marketing and social media campaigns.

Mirco vs Macro-Conversions

There are two main types of conversions: micro-conversions and macro-conversions. Micro-conversions are small actions that may not directly lead to a sale, but they’re still valuable because they help move visitors down the sales funnel. Macro-conversions, on the other hand, are conversions that directly lead to sales or other high-value actions.

A good example of a micro-conversion would be someone subscribing to your email list. This isn’t a direct sale, but it’s still valuable because it gets the person’s contact information so you can market to them in the future. A macro-conversion would be something like someone calling your office and making an appointment.

PPC and Conversions; Conversions are important for your PPC campaigns

Conversions are important not just for general website success, but also for pay-per-click (PPC) campaigns specifically. That’s because one of the main goals of most PPC advertising is to increase conversions while simultaneously reducing costs per conversion. In other words, businesses want to get more people taking desired actions while reducing the cost per conversion.

Track with a Pixel to Collect Data

To track conversions from Google Ads, businesses need to set up conversion tracking in Google Analytics. This involves adding a piece of code—called a conversion tracking pixel—to your website that will allow Google Analytics to track when someone takes a desired action after clicking on one of your ads.

Once you’ve set up conversion tracking, you can see how many conversions each of your ads is generating and adjust your campaigns accordingly.  Collecting this data is paramount for marketers, businesses and company owners.

The Difference Between PPC Conversions and Views

If you’re running a Pay-Per-Click (PPC) campaign, it’s important to understand the difference between a conversion and a view. A conversion is when someone clicks on your ad and then takes a desired action, such as making a purchase or signing up for a newsletter. A view, on the other hand, is simply when someone sees your ad.

While views are important—after all, you want people to see your ad—conversions are more important because they indicate that people are actually taking the actions you want them to take. That’s why it’s essential to track both conversions and views when you’re running a PPC campaign. We’ll give you a more in-depth look at the difference between these two metrics and how to track them.

Conversions vs. Views: What’s the Difference?

As we mentioned above, a conversion occurs when someone clicks on your ad and then takes a desired action. This could be anything from making a purchase to signing up for your email list. A view, on the other hand, is simply when someone sees your ad.

There are a few key things to keep in mind about conversions:

1. Conversions represent people taking action, which is what you want from your digital marketing campaign, including social media.

2. Not every person who sees your ad will convert; in fact, most people won’t. That’s why it’s important to track both conversions and views.

3. You need to set up conversion tracking in order for Google Ads to track conversions for you; otherwise, it will only track views.

4. The number of conversion can vary depending on your industry and business type; however, even if you only get one or two conversions per day, that can still be considered successful depending on your goals.

5.You should also track conversion rate, which is the number of conversion divided by the number of impressions (views). This will give you a better idea of how effective your PPC advertising is overall, as well as the data to optimize it in the future.

What are “views” in PPC Campaigns?

Now that we’ve gone over what conversions are, let’s take a look at views. As we mentioned above, views occur when someone sees your ad but doesn’t necessarily take any action. While views are important—after all, if no one ever sees your ad then you’re not going to get any conversions—conversions are more important because they indicate that people are actually taking the actions you want them to take.

Tracking conversions for campaign optimization

iIt’s essential to track both conversions and views when you’re running a Google Ads campaign; otherwise, you won’t have a complete picture of how effective your ads are performing.

Often times, online marketing companies show views instead of conversions in search ad results reporting. Views are good, but do not accurately show the health or success of your campaign. Views can be wasteful if they ad goes to the wrong audience.

One we see all the time is people paying for their company name. Any reputable marketing company will not pay for these search terms. They use search query for a company name to boost their ppc conversion rate.

Your ppc conversion rate is a great way to determine your ROI (return on investment) of your ad spend. During a search ad campaign it’s imperative to have conversions set up.

Once you know what ad is converting best, it’s time to scale your marketing.

Scaling a Well-Converting PPC Ad Campaign

Scaling a PPC ad campaign essentially means making adjustments to your ads so that they reach a larger audience while still maintaining a high conversion rate. This will improve your PPC.

There are several factors you’ll need to consider when scaling your ad campaigns, including budget, targeting, and creative. Let’s break down each of these elements so you can see how they come into play.

Budget

As your ad campaigns begin to pick up steam, you’ll need to factor in an increased budget to continue reaching new people. The key here is to find the right balance between reach and conversion rate.

You don’t want to sacrifice quality for quantity—if your ads aren’t converting well, then all the extra clicks aren’t going to do you any good. But at the same time, you don’t want to be so focused on conversions that you’re not reaching new people who could be potential customers. Finding that sweet spot will take some trial and error, but it’ll be worth it in the long run.

If you are wondering what your digital marketing budget should be, check out our marketing budget calculator.

Targeting

Another important factor to consider when scaling your ad campaigns is targeting. This is known as target audience. As you expand your reach, you’ll need to make sure that your ads are being seen by the right people. That means specifying audience targeting options like location, age, gender, interests, etc.

Narrowing your focus may seem counterintuitive when you’re trying to reach more people, but trust us—it’s worth it. You don’t want to waste clicks on people who are unlikely to convert; better to target those who are more likely to be interested in what you have to offer. This is why we recommend scaling an already well performing and concerting PPC ad set.

Creative

Finally, you’ll need to make sure that your ppc ads are creative and compelling enough to capture attention and drive conversions. Your ad copy along with the graphics, call to action, conversion rate can optimize your results.

A quality score is given to every ad

Quality scores are based on a number of factors, including click-through rate (CTR), relevance, and landing page experience. In this blog post, we’ll take a closer look at each of these factors and how they can impact your quality score.

Click-Through Rate (CTR)

One of the most important factors in determining your quality score is your click-through rate, or CTR. Your CTR is the percentage of people who see your ad and then click on it. The higher your CTR, the higher your quality score will be. There are a number of things you can do to improve your CTR, including using relevant keywords, writing compelling ad copy, and offering a strong CTA.

  • Click-through rate (CTR)
  • Landing page experience
  • Ad relevance
  • Expected CTR
  • Historical AdWords performance
  • Account performance history
  • Keyword relevance

Relevance

Another important factor in determining your quality score is relevance. Your ad must be relevant to the keywords you’re targeting and the landing pages you’re sending users to.

If users click on your ad and then land on a page that is irrelevant to their search query, they will quickly bounce back to the search results page. This will not only lower your CTR but also damage your reputation with Google, which will impact your quality score.

Landing Page Experience

The final factor we’ll discuss is landing page experience. Once a user clicks on your ad, they should be taken to a landing page that is relevant to their search query and provides a good user experience. If you’re sending users to a generic homepage or an irrelevant landing page, you’re likely to see a high bounce rate.

Improving your Quality Score For Conversions

This is where split testing comes in handy—by testing different versions of your ads, you can see which ones perform the best and then use those as the basis for your scaled ad campaign. Remember, it’s all about quality over quantity—a few well-converting ads will do you more good than a bunch of ads that no one pays attention to.

Using a Tracking Pixel

A PPC tracking pixel is a small piece of code that’s placed on your website. This code enables you to track conversions and attribute them back to the original ad that they came from. In other words, tracking pixels allow you to see which ads are performing well and which ones aren’t worth your time and money.

While all of this may sound complicated, it’s actually quite simple once you understand the basics. So, let’s take a closer look at how PPC tracking pixels work.

How PPC Tracking Pixels Work

PPC tracking pixels work by placing a small piece of code on your website. This code consists of a short string of alphanumeric characters that are generated by your ad platform (e.g., Google Ads, Microsoft Advertising, etc.). Once the code is placed on your site, it will fire whenever someone clicks on one of your ads and is subsequently led to your website.

The Pixel Tracks Conversions

The main purpose of a PPC tracking pixel is to help you track conversions. A conversion can be defined as any desired action that a visitor takes on your site (e.g., making a purchase, signing up for a newsletter, filling out a contact form, etc.). By tracking conversions, you can see which ads are driving the most valuable traffic to your site.

Additionally, tracking pixels can also help you attribution conversions back to the original ad that they came from. This is important because it allows you to focus your campaigns so that you’re only spending money on ads that are actually driving results known as audience targeting.

It’s also worth noting that there are two types of PPC tracking pixels: postback URL pixel and image pixel. Postback URL pixels are more commonly used because they’re more accurate and effective than image pixels. However, image pixels are still occasionally used in certain cases (e.g., when it’s not possible to place a postback URL pixel on a website).

Pixels are Essential for Conversion Tracking

PPC tracking pixels are an essential tool for any business that’s running a pay-per-click campaign. These tiny pieces of code allow you to track conversions and attribute them back to the original ad. This information is then used to optimize your campaigns so that you’re only spending money on ads that are actually bringing results.

Conversions are vital for the success of any online marketing campaign—including pay-per-click (PPC) campaigns specifically. To track conversions from your PPC ads, you need to set up conversion tracking in Google Analytics by adding a piece of code—called a conversion tracking pixel—to your website.

Doing so will allow you to see how many conversions each ad is generating so that you can adjust your campaigns accordingly and continue working towards increasing the number of conversions while reducing costs per conversion. Overall this will increase your revenue, beat your competitors, create new opportunities for first time customer and boost your average ROI.

At Visual Realm we understand the importance of correctly tracking, converting scaling your ads. Our marketing clients report better ROI, faster growth performance, more new customers, improved quality of leads and lower overall ad spend.

Contact us today for your free business consultation and review.

By Published On: November 14th, 2022Last Updated: November 16th, 2022Categories: News

About the Author: Kyle Theil

Avatar of Kyle Theil
Kyle is the owner of Visual Realm a full service marketing and ad agency, specializing in web design, ppc and seo. He has been running Visual Realm since 2005 growing with the ever changing online landscape.

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