Is Your PPC Campaign Working for Your Dealership?

A pay-per-click campaign can be a massive asset, but it is not enough to simply launch one, it needs to be nurtured. This means keeping an eye on the figures to see how your campaign is performing. If you are using Google AdWords, it is vital that you understand the basic metrics.

When you log into your Google AdWords account, you will see a table, which provides all of the figures necessary for you to assess your campaign’s performance.

Clicks

When an internet user sees your ad and takes action on it, this registers as a click. Generally, the higher the number of clicks, the better, as long as they are high-quality clicks, meaning that they are likely to convert.

Impressions

The impressions column will tell you how many times your ad has been displayed on Google’s ad network. This is a good indication of the number of views it has had. A high number of impressions is often good because it means that you are getting more visibility.

Click-Through Rate

Individually, impressions and clicks can give you a rough idea of your PPC campaign’s performance, but working out the amount of clicks your ad receives for every impression can clarify things further.

Click-through rate (CTR) is exactly this, the number of clicks divided by the number of impressions. When you look at the CTR column on Google AdWords, you should consider the following points:

• How does your campaign’s current CTR compare with that of previous months?
• How does your campaign’s CTR compare to the industry average? Currently, the average CTR for the automotive industry is 2%.

It is worth noting that CTR should not be used alone to determine whether or not your PPC campaign is successful. For example, if your CTR falls short of average, you should check your impressions as this could just be due to the sheer amount of views that your ad has received, which could be seen as a positive as it increases your brand awareness.

Cost Per Click

When you create a PPC campaign, you will be required to set your maximum cost per click (CPC), which is the top amount you are willing to pay for every click your ad receives. You will want to try to keep this as low as possible, raising it only when you are facing serious competition.

CPC depends on the cost of certain keywords, so the aim is to bid on words which offer quality and value. CPC will vary from campaign to campaign but it is a good idea to constantly make comparisons with the industry average. The average CPC for the motor trade at the moment is £1.12.

If your campaign’s average CPC is below the industry average, while your CTR is high, this suggests that you have chosen strong keywords to bid on and your campaign is performing well.

Regular Reporting on Your Campaign

There are other metrics available, but the ones that will be useful to you will depend on the goals you set for your business’s campaign. Keeping a close eye on clicks, impressions, click-through rate and cost per click, will be enough to give you a clear overview of your campaign’s performance, particularly if you measure them regularly.

At Click Dealer, we provide our dealers with monthly PPC reports, which include an analysis of these metrics, along with a performance summary. Having this makes it easy to see your progress and identify areas for improvement.

For more information on PPC campaigns, regular reporting or to find out more about Click’s search engine marketing packages, get in touch with us on marketing@clickdealer.co.uk, 01782 478 220 or via our contact page.