20 PPC Best Practices To Succeed in Paid Advertising 

September 17, 2024

Increase Click-Through-Rate

The best PPC practices include: 

  • Using single keyword ad groups for better targeting 
  • Optimizing ad copies to increase quality score 
  • Implementing ad extensions to improve CTR 
  • Utilizing geo-targeting to reach the right audience
  • Optimizing for voice search to capture voice search traffic 
  • Advertising with YouTube ads to engage a broader audience 
  • Adjusting budgets based on performance to optimize spending 
  • Pay-per-click advertising improves your online visibility when done right. Historically, it has high ROI performance. Businesses make an average of $2 in revenue for every $1 spent on Google Ads. 64% of people click on Google ads when looking to buy an item online. It's crucial to implement the right strategies to gain better visibility in the search engine and increase conversions. 

    Each platform has unique features and audience targeting options. Google Ads reaches over 90% of internet users worldwide. Facebook Ads target users based on over 350 parameters. LinkedIn Ads, though more expensive, can be highly effective for B2B marketing. 

    PPC advertising has great potential. But, I advise new PPC advertisers to approach this biz with caution. Paid advertising is expensive. Newbies are prone to exceeding the budget and mismanaging campaigns. It has a steep learning curve, which is why I avoid it completely and use organic leads because it's much more sustainable long-term.

    If you're still eager to explore the PPC ad agency biz model, I list 20 best practices in this article. These strategies will help maximize your campaigns while efficiently managing costs.

    1. Use single keyword ad groups (SKAGs)

    Focus each ad group on one keyword for better targeting and more precise ad copy. SKAGs can increase click-through rates (CTR) by up to 28%. 

    Example: Instead of having an ad group for "running shoes," create separate ad groups for "men's running shoes," "women's running shoes," and "kids' running shoes."

    Indicators of Success in SKAGs

    • Quality score improvements
    • Increase in click-through rates
    • Changes in conversion rates
    • Decrease in CPC costs
    • Overall Return on Ad Spend (ROAS) improvements

    2. Do thorough keyword research 

    Use tools like SEMrush, Google Keyword Planner, or Ahrefs for extensive keyword analysis. These tools help you find high-performing terms with great search volume. 

    According to WordStream, the average conversion rate for Google Ads across all industries is 3.75% for search and 0.77% for display. Proper keyword research can help you identify terms that perform above these averages.

    SEMrush: Offers comprehensive keyword analytics. It provides information like search volume, keyword difficulty, and SERP features. SemRush provides competitor keyword analysis and gap analysis.

    Google Keyword Planner: It is a free tool within Google Ads. Google Keyword Planner offers search volume data and forecasts for keyword performance. 

    Ahrefs: It is known for its extensive backlink database. Ahrefs offers powerful keyword research features. It provides "clicks" data, which shows how many searches result in actual clicks.

    3. Automate bidding strategies

    Use automated bidding features in Google Ads to optimize bids for better performance. Automated bidding improves conversion rates by up to 30%. Google's Smart Bidding uses machine learning to optimize for conversions in every auction. This feature is known as "auction-time bidding."

    Google Ads PPC Best Practices

    • Use various match types, like broad, phrase, exact, and negative keywords. 
    • Track key metrics, such as impressions, clicks, conversions, and ACoS. 
    • Adjust bids based on data by identifying areas for improvement. 
    • Highlight unique selling points and include strong calls to action. Focus on load time through calls to action and key product info. 
    • Monitor performance regularly and make data-driven adjustments. Stay updated on industry trends and best practices. 

    4. Optimize ad copies

    Your ad text should include keywords that catch the attention of your target audience. Optimizing ad copies of PPC campaigns improves the quality score of ads. Ads with emotional appeals perform 50% better than those without. They drive 31% more sales to the business. 

    Example: An ad copy that says "Buy Running Shoes," could be improved to "Transform Your Run with Our Lightweight, Cushioned Shoes."

    5. Use negative keywords

    Exclude irrelevant terms to prevent budget waste and improve ROI. Negative keywords can reduce wasted ad spend by up to 30%. These are words or phrases that you add to your PPC campaigns to prevent your ads from showing up in irrelevant searches. They help you refine targeting by excluding search queries that are not relevant to your products or services. 

    Let's say you're running a campaign for a high-end watch store:

    • Negative keyword: "cheap": Prevents your ad from showing for "cheap luxury watches"
    • Negative keyword: "repair": Excludes searches like "watch repair services"
    • Negative keyword: "free": Avoids displaying ads for "free watch giveaway"

    Benefits of Using Negative Keywords

    • Improves ROI by eliminating irrelevant clicks, saving you money. 
    • More relevant ads can lead to better Quality Scores, potentially lowering your cost-per-click.
    • Ensures your ads reach the most appropriate audience for your offerings.
    • Negative keywords Increases conversion rates by filtering out unqualified traffic. Visitors who click the ads are more likely to convert.

    6. Leverage broad matches with audience targeting

    Combine broad match keywords with audience targeting to widen reach while maintaining relevance. Google reports that advertisers who use audience targeting on search see a 20% increase in conversion rates.

    • Use broad match keywords to capture a wide range of search queries.
    • Apply audience targeting to ensure ads are shown to the most relevant users.

    Example: Targeting for an online furniture store

    • In-market audience for "Home & Garden"
    • Custom intent audience based on visits to competitor websites
    • Remarketing list of users who viewed product pages but didn't purchase
    • Set up separate ad groups or campaigns for each audience segment
    • Use audience targeting to show ads to the specified groups

    7. Implement ad extensions

    Use site links, call-outs, and structured snippets to provide more information and increase click-through rates. Ad extensions can improve CTR by up to 15%. For example, a restaurant could use call extensions to display their phone number, location extensions to show their address, and review extensions to showcase positive customer feedback.

    Types of Ad Extensions

    Sitelink Extensions: Additional links to specific pages on your website.

    Callout Extensions: Short, descriptive text snippets highlighting unique offers or aspects of your business.

    Structured Snippet Extensions: Lists of specific products, services, or categories.

    Call Extensions: Your phone number, allowing people to call your business directly.

    Location Extensions: Your business address, a map to your location, or the distance to your business.

    Price Extensions: Showcase your products or services with their prices.

    Lead Form Extensions: Allow users to submit their information directly through your ad.

    8. Test different ad formats

    Experiment with text, display, and video ads to identify the most effective formats for your audience. Video ads have been shown to have a 1.84% CTR, higher than the average display ad CTR of 0.35%. For instance, a clothing retailer might find that video ads showcasing their products on models perform better than static image ads.

    Common PPC Ad Formats

    Text Ads: This is a standard format in search results. It comprises a headline, descriptions, and a display URL.

    Responsive Search Ads (RSA): Ads that automatically adjust their content to match relevant search queries.

    Display Ads: Visual ads that appear on websites within the Google Display Network.

    Video Ads: Ads that play before or during YouTube videos or on video partner sites.

    Shopping Ads: Product listings that appear in search results for relevant queries.

    9. Optimize landing pages

    Ensure landing pages are relevant, fast, and mobile-friendly to boost conversion rates. A 1-second delay in page load time can cause a 7% reduction in conversions. According to Google, 53% of mobile site visits are abandoned if pages take longer than 3 seconds to load.

    PPC Landing Page Best Practices

    • Unique pages for each campaign. Each PPC landing page should be unique to its corresponding campaign. This reduces confusion and lowers bounce rates by ensuring visitors find precisely what they want.
    • Write compelling headlines. The headline is the first thing visitors see. It must be compelling to grab attention immediately. 
    • Use clear calls to action. CTAs should be clear and interesting. They suggest an intriguing next step for the visitor.
    • Insert dynamic keywords to boost the quality score. Match the ad text with user's search terms. This improves relevancy and boosts quality score.
    • Conduct A/B testing to determine what elements work best. Testing different headlines, CTAs, and images increases conversion rates.
    • Ensure the landing page is mobile-friendly. It's essential to have a responsive page design.
    • Leverage social proof through customer testimonials and product reviews. This enhances credibility and can significantly influence new visitors.
    • Comply with industry regulations. Follow industry-specific rules to avoid issues that may negatively affect the PPC campaign.

    10. Monitor quality scores

    Regularly check quality scores in Google Ads to identify areas for improvement. Ads with a quality score of 10 have up to 50% lower cost-per-click than those with a score of 5. Quality Score is calculated based on the combined performance of 3 components: expected click-through rate, ad relevance, and landing page experience.

    What is Quality Score?

    Quality Score is a diagnostic tool provided by Google Ads. It gives you an estimate of the quality of your ads, keywords, and landing pages. Quality score is reported on a 1-10 scale, where 1 is the lowest score and 10 is the highest.

    Components of a Quality Score

    • Expected Click-Through Rate (CTR): How likely your ad is to be clicked when shown for that keyword.
    • Ad Relevance: How closely your ad matches the intent behind a user's search.
    • Landing Page Experience: How relevant and useful your landing page is to people who click your ad.

    11. Schedule ads appropriately

    Run ads during peak times when your target audience is most active. Ad scheduling can improve CTR by up to 10%.

    Example:

    A B2B company might focus their ad schedule during business hours, while a food delivery service might increase bids during dinner time.

    Why is Ad Scheduling Important?

    • It improves the efficiency of the campaign. By running ads during peak times, you can maximize your budget's impact.
    • Ad scheduling allows better targeting. Aligning the timing with audience behavior increases the likelihood of reaching out to them at the right moment. 
    • Proper ad scheduling optimizes the costs. Reducing ad runs during low-performing hours lowers the overall costs while improving results.

    12. Utilize geo-targeting

    Focus ads on specific geographic locations to reach the most relevant audience. Geo-targeting increases conversion rates by up to 30%. For instance, a local bakery could target users within a 5-mile radius of their store location.

    What is Geo-Targeting?

    Geo-targeting is a feature in PPC advertising that allows you to show your ads to users in specific locations. It is also known as location targeting. "Location" can mean countries, states, cities, postal codes, or even a radius around a specific point.

    How To Implement Geo-Targeting in Google Ads

    • Go to your campaign settings
    • Scroll to "Locations" under "Settings"
    • Click "Edit locations"
    • Search for and select the locations you want to target
    • Choose to target or exclude these locations

    13. Set up conversion tracking

    Track conversions to measure the effectiveness of your PPC campaigns. This can improve ROI by up to 50%. According to Google, advertisers experience an average of 35% more conversions when they turn on cross-account conversion tracking.

    How To Set Up Conversion Tracking

    • Use Clear Naming Conventions: Give your conversion actions descriptive names for easy identification.
    • Set Appropriate Values: Assign monetary values to your conversions to calculate ROI accurately.
    • Choose the Right Attribution Model: Select an attribution model that best reflects your customer's journey. 
    • Test Your Setup: After implementation, test your conversion tracking to ensure it's working correctly.
    • Use Cross-Device Conversion Tracking: Enable this feature to track conversions across multiple devices.

    14. Regularly review analytics

    Analyze data to understand campaign performance and make data-driven decisions. Companies using analytics are 5 times more likely to make faster decisions. Google Analytics can provide valuable insights into user behavior, helping you optimize your PPC campaigns and landing pages.

    Key Analytics to Monitor

    • Click-Through Rate: Measures the percentage of people who click on your ad after seeing it
    • Conversion Rate: The percentage of clicks that result in desired actions
    • Cost Per Click: The average amount you pay for each click on your ad
    • Cost Per Acquisition: The average cost to acquire a customer or conversion
    • Quality Score: Google's rating of the quality and relevance of your keywords and PPC ads
    • Bounce Rate: The percentage of visitors who leave your site after viewing only one page
    • Average Session Duration: How long users typically spend on your site

    15. Use remarketing campaigns

    Target users who have previously interacted with your site for higher conversion opportunities. Remarketing can increase conversion rates by up to 150%.

    Example: An online retailer could show ads featuring products that a user viewed but didn't purchase.

    Types of Remarketing

    • Standard Remarketing: Show ads to past visitors as they browse other websites.
    • Dynamic Remarketing: Show ads that contain specific products or services users viewed on your site.
    • Remarketing Lists for Search Ads (RLSA): Show customized search ads to past visitors when they search on Google.
    • Video Remarketing: Show ads to people who have interacted with your videos or YouTube channel.
    • Customer List Remarketing: Upload a list of email addresses to show ads to those users across Google properties.

    16. Implement A/B testing

    Continuously test different ad elements to identify what works best for your campaign. A/B testing can improve conversion rates by up to 25%. Test elements like headlines, ad copy, call-to-action buttons, and landing page layouts to optimize performance.

    How To Conduct A/B Testing

    Choose the elements you want to test in your campaign. Experiment with various tones, lengths, or focuses. Try different phrases, colors, or placements of your CTAs. 

    Set-up your test campaign. Use advertising platforms with built-in A/B testing tools. Only test one element at a time for clear results.

    Determine the sample size and duration of your test campaign. Use statistical significance calculators to determine how many impressions or clicks you need.

    Monitor and analyze results by tracking key metrics like click-through rates and cost per conversion. 

    Implement the strategies you gathered from your test campaign into your main campaign. 

    Apply the better-performing version to your main campaign.

    17. Optimize for voice search

    Include natural language keywords to capture voice search traffic. By 2022, 55% of households are expected to own a smart speaker. Instead of targeting "best Italian restaurant," you might optimize for "what's the best Italian restaurant near me?"

    Strategies for Optimizing PPC for Voice Search

    • Focus on long-tail keywords
    • Implement natural language in ad copy
    • Optimize for local searches
    • Leverage schema markup
    • Optimize for mobile
    • Use broad match modified and phrase match keywords
    • Target featured snippets
    • Leverage Google actions and Alexa skills

    18. Leverage YouTube ads

    Utilize video ads on YouTube to engage a broader audience. YouTube ads can reach 95% of internet users. According to Google, viewers who complete TrueView ads—YouTube's skippable ad format—are 23 times more likely to visit or subscribe to a brand channel, watch more by that brand, or share the brand video.

    YouTube Ads Best Practices

    • Capture the audience's attention in the first 5 seconds.
    • Aim to create videos that are 30 seconds or less across all add types to ensure engagement. 
    • Include a strong call to action. Tell the audience what you want them to do. 
    • Explore targeting options to narrow your audience. This improves your ad relevance. 
    • Test different ad formats to see what works best.

    Types of YouTube Ads

    In-Stream Ads: Skippable ads that play before or during YouTube videos.

    Discovery Ads: Appear alongside related YouTube videos, in YouTube search results, and on the mobile homepage.

    Bumper Ads: Non-skippable 6-second ads.

    Non-Skippable In-Stream Ads: 15-20 second ads that viewers must watch before their video.

    19. Monitor the strategies of your competitors

    Use tools like SpyFu or SEMrush to analyze competitor ads and strategies. Gain insights that you can apply to your campaigns. Competitor analysis improves campaign performance by up to 15%. For example, you might discover new keywords your competitors are targeting or identify gaps in their strategy that you can capitalize on.

    How to Use Competitor Insights

    • Find high volume keywords or audiences your competitors failed to identify. 
    • Learn from their messaging on their ad copies to enhance your own. 
    • Strategically adjust your bids on shared keywords. 
    • Discover new opportunities to find new channels or ad types.

    20. Adjust budgets based on performance

    Allocate bigger budgets to high-performing campaigns. Optimize the campaign by adjusting it as needed. Regular budget optimization can improve ROI by up to 25%. Use features like Google Ads' Performance Planner to forecast how changes to campaigns might affect key metrics and overall performance.

    How To Use Google Ads' Performance Planner

    Find Performance Planner in the Tools section of Google Ads.

    Define your performance targets, such as conversion and spending. 

    Review your forecast. and see how new changes might affect the campaigns. 

    Implement the changes and monitor actual performance against the forecast.

    Important Considerations When Launching a New PPC Campaign 

    • Goals and Objectives: Clear goals increase sales, boost visibility, and generate leads. Setting specific and measurable goals provides a clear target to work towards.
    • Budget Allocation: The budget should align with your goals and expected ROI. Small and medium-sized businesses spend between $9,000 and $10,000 monthly on PPC advertising. This varies widely by industry.
    • Target Audience: Ad content should resonate with potential customers. Research shows that personalized ad experiences can increase ROI by 20% or more. Leverage this to capture your target audience’s attention. 
    • Landing Page Optimization: Landing page should be optimized for conversions. It should be fast, user-friendly, and relevant to the ad content. Site visitors on mobile devices leave sites that take over 3 seconds to load. 
    • Monitor and Adjust: Regularly monitor campaign performance. Use analytics tools to track key metrics and make adjustments as needed. Campaigns that are monitored at least 6 times a week perform 14% better. 
    • Compliance and Quality: All ads should comply with platform policies and maintain high-quality standards to avoid penalties or ad disapprovals.

    Best PPC Platforms

    • Google Ads: The go-to platform for PPC advertising. It has extensive tools for remarketing and in-market targeting. It creates high-authority campaigns that stand out against competitors.
    • Microsoft Advertising: Targets Bing and Yahoo users. Their cost-per-click is lower than Google’s. It also has audience targeting and remarketing features, crucial for PPC campaigns.
    • Facebook Ads: Targets Facebook and Instagram audiences. It offers granular targeting options, like interest, behavior, and demographic targeting. 
    • LinkedIn Ads: Ideal for B2B marketing and reaching a professional audience. It has options for sponsored content, message ads, and dynamic ads. LinkedIn targets audiences based on job title, industry, and company size. 
    • Twitter Ads: Focuses on engagement and brand awareness. It lets advertisers target users based on interests, keywords, and follower look-alike. 
    • Semrush: A powerful tool for optimizing PPC campaigns. It offers keyword research, competitor analysis, and ad tracking. Integrating Semrush into your PPC strategy can help fine-tune campaigns.

    What is PPC Advertising?

    PPC advertising is a strategy for promoting products/services using paid ads. It's a powerful tool for businesses to reach people looking for what they offer. Advertisers create ads that show up in search results on Google or Facebook. These ads are quite effective. About 45% of clicks on search pages go to ads. Ad placement is then decided by an auction system. The decision is based on factors like keywords and how often people click the ad. Advertisers pay a fee each time someone clicks their ad. 

    How Does PPC Work?

    Pay-per-click advertising works by allowing advertisers to place ads on an online platform. The advertiser pays every time the audience clicks on the ad. It starts with keyword research. The first step is to use keyword search tools to identify keyword terms. A PPC campaign is created next. It involves setting up ad groups and writing compelling ad copies. Advertisers engage with PPC companies to optimize these campaigns. Advertisers then set the maximum CPC amount they’re willing to pay. They can also bid for ad placement. Google Ads uses an auction system where quality, relevancy, and bid amount influence ad placement. The performance of ads is then tracked. Metrics like click-through rate (CTR), conversion rate, and ROI help analyze the effectiveness of campaigns. 

    What’s the Difference Between SEO vs PPC?

    SEO

    Improves visibility through organic search 

    Upfront and ongoing costs when creating and optimizing content

    Long-term strategy that could take months to materialize

    Limited control over ranking as it depends on search engine algorithms. 

    No ad copy. SEO focuses on content quality and relevance. 

    Targeting is limited to the keywords 

    Landing page affects overall customer experience

    PPC

    Improves visibility through paid ads 

    Instant charge on click, controllable with budget caps

    Quick and short-term strategy for driving traffic 

    High control over ad placement, budget, and targeting options.

    High-quality score ad copies are essential for reducing costs and increasing rankings. 

    Flexible targeting options which include demographics, location, and time of day

    Landing page impacts the quality score of the ad 

    I Tried the PPC Strategy and Switched To Free Traffic

    I tried the PPC strategy, but it was not long before I switched to free traffic. PPC was becoming too expensive for me. It requires extensive management and the platform policies are constantly changing. It has complex interfaces and algorithms that take time to master. Pay per click could be a good traffic source if you want instant results. You definitely need huge marketing budget to sustain the costs. 

    I switched to free traffic strategy because I get better ROI long-term. Getting traffic through lead gen sites could take about 3 to 6 months. However, once these sites are established, organic traffic continues to flow without continuous spending. I also found that my free traffic generation efforts were getting more conversions. It is because the audience trust organic searches more than paid ads. 

    conclusion-digital-marketing

    I get consistent free traffic through a business model called local lead generation. This biz builds simple websites for local service providers and ranks them on Google. It's way better than pay per click because I don't have to pay for every visitor that clicks on the ad. Each organically ranked site can make at least $2K monthly. And, I make $52K monthly from all the sites I own. It's possible to make money with PPC. However, what really brought me consistent financial wealth for over a decade now is free traffic through local lead generation


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    Ippei Kanehara
    Founder/CEO

    $52K per month providing lead generation services to small businesses

    Ippei.com is for digital hustlers, industry leaders and online business owners.

    His #1 online business recommendation in 2024, is to build your own lead generation business.

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