Quality Score And PPC Management

1,575 views
1,493 views

Published on

Presentation by Jonathan Hochman at SMX Advanced, Seattle, June 2, 2009.

Published in: Technology, News & Politics
0 Comments
4 Likes
Statistics
Notes
  • Be the first to comment

No Downloads
Views
Total views
1,575
On SlideShare
0
From Embeds
0
Number of Embeds
7
Actions
Shares
0
Downloads
0
Comments
0
Likes
4
Embeds 0
No embeds

No notes for slide

Quality Score And PPC Management

  1. 1. Quality Score and PPC Account Management SMX Advanced, June 2, 2009, Seattle, WA Jonathan Hochman
  2. 2. What is Quality Score? <ul><li>QS is a set of algorithms used by Google to organize the AdWords auction: </li></ul><ul><li>What ads show? </li></ul><ul><li>How to rank the ads? </li></ul><ul><li>How much will the clicks cost? </li></ul><ul><li>The algorithms are secret, but some details are known. </li></ul>
  3. 3. Google Quality Score <ul><li>What does it stick to? </li></ul><ul><li>Keywords </li></ul><ul><li>Matched Ads </li></ul><ul><li>Display URLs </li></ul><ul><li>Landing Pages </li></ul><ul><li>Geographic Areas </li></ul><ul><li>AdWords Accounts </li></ul><ul><li>Content Networks </li></ul>http://adwords.google.com/support/aw/bin/answer.py?hl=en&answer=10215
  4. 4. Microsoft Quality Based Ranking <ul><li>Keyword relevancy to client offering, as determined by software </li></ul><ul><li>Ad Text </li></ul><ul><li>Ad Landing Page </li></ul><ul><li>Overall website user experience, measured by dwell time </li></ul><ul><li>Scores are not revealed.  </li></ul>
  5. 5. Yahoo! Quality Index <ul><li>Attaches to ad versions </li></ul><ul><li>Influenced by relevancy of keywords in the group. </li></ul><ul><li>Historical or expected CTR </li></ul><ul><li>Scored on a scale of 1-5 </li></ul><ul><li>Yahoo says segregate groups by keyword theme. </li></ul>
  6. 6. Google QS Optimization <ul><li>Nine favorite tactics: </li></ul><ul><ul><li>Delete search KW with CTR < 0.50% </li></ul></ul><ul><ul><li>Keywords with QS < 6 are deleted or refined </li></ul></ul><ul><ul><li>Use KW tool to generate negative keywords </li></ul></ul><ul><ul><li>Start with at least one non-DKI ad version </li></ul></ul><ul><ul><li>Landing pages link to Privacy and About Us </li></ul></ul><ul><ul><li>Draw tight lines on the map </li></ul></ul><ul><ul><li>Generous use of site exclusions </li></ul></ul><ul><ul><li>Opt out of mobile device ads (often) </li></ul></ul><ul><ul><li>Separate search and content campaigns </li></ul></ul>
  7. 7. QS Optimization in Action <ul><li>Publisher spends $40,000 per month to generate visits. Optimizations: </li></ul><ul><li>Expand keyword lists </li></ul><ul><li>Test new ad versions </li></ul><ul><li>Prune low quality KW, ads, networks </li></ul><ul><li>Drop bids to maintain constant spend </li></ul><ul><li>Over six months visits improved 300% with the same budget. </li></ul>
  8. 8. Marginal Keywords <ul><li>What do you do with a keyword that rates 5 but still drives conversions? </li></ul><ul><li>Running marginal keywords could damage account QS. How much? A few low QS yet productive keywords are probably harmless. </li></ul>
  9. 9. What to do about QS 5 keyword? <ul><li>Company sells blast cleaning equipment </li></ul><ul><li>Prospects call this sandblasting equipment </li></ul><ul><li>Something else called sandblasting has higher search volume </li></ul><ul><li>Without sandblasting , lead volume dives </li></ul><ul><li>Wrote defensive ad and ran the keyword. </li></ul><ul><li>Business goals trump Quality Score. </li></ul>
  10. 10. QS is Relative <ul><li>Quality score is relative to the competition </li></ul><ul><li>Marginal keywords can be friends </li></ul><ul><li>Don’t bring a knife to a gun fight </li></ul><ul><li>OK to compete with QS 5 against QS 4/5/6, but probably not against QS 8+. </li></ul><ul><li>Some keywords are ambiguous by nature. All advertisers may have lower QS. </li></ul><ul><li>The bottom line: Cost per Conversion. </li></ul>
  11. 11. Homonyms, Heteronyms, and Capitonyms <ul><li>Ford Focus ad on photography website </li></ul>Do words with different meanings hurt Quality Score?
  12. 12. A/B Testing of Ad Versions <ul><li>Running new ads against seasoned ads is not a valid A/B test. QS affects ad rank, CTR and conversion rates. </li></ul><ul><li>Launch new ads and a copy of the old ad at the same time. </li></ul><ul><li>Use Google Website Optimizer to test landing pages, not ad versions. </li></ul>
  13. 13. Invalid A/B Testing <ul><li>Ad (A) was running a long time </li></ul><ul><li>New ad (B) is the same except domain name is capitalized </li></ul><ul><li>Statistically valid CTRs: </li></ul>Which ad is better? Unsure, due to QS effects Data has been anonymized 0.77% B - www.DomainName.com 1.01% A - www.domainname.com
  14. 14. Changing Display URLs <ul><li>Display URLs matter. If you change them, you may pay more for the same ad position. </li></ul><ul><li>Should some changes inherit the QS of the original ad? Is Google collecting a QS tax on minor changes? </li></ul>
  15. 15. Launching New Accounts <ul><li>What’s the best way to launch a new account? </li></ul><ul><li>Many theories, but no silver bullets. </li></ul>
  16. 16. Cautious Launch Strategy <ul><li>Pick best five landing pages </li></ul><ul><li>Create tightly focused ad groups </li></ul><ul><li>Cover branded and niche terms with the highest CTRs </li></ul><ul><li>Favor KW with QS 7+ </li></ul><ul><li>Incrementally build the account </li></ul>
  17. 17. Self-Managed Accounts <ul><li>Poorly managed accounts develop a bad QS, to the point that ads won’t run, or costs may be extreme. </li></ul><ul><li>Google reps have provided “unofficial” advice to close QS-impaired accounts and start over. </li></ul>
  18. 18. QS Crash and Burn <ul><li>Startup tries PPC </li></ul><ul><li>Generic KW like graduation and jobs </li></ul><ul><li>Unclear value proposition </li></ul><ul><li>Content-poor website fails to engage </li></ul><ul><li>Very low CTRs </li></ul><ul><li>Suggested bids rise to $5+ </li></ul><ul><li>Advice: rethink business plan </li></ul>
  19. 19. Should QS be Bought and Sold? <ul><li>QS is a valuable asset. What if an agency runs client campaigns in its own account? </li></ul><ul><li>Google doesn’t allow selling of PageRank. Should they allow selling of QS? </li></ul><ul><li>What if a client needs to set up a new account? Should QS be portable? </li></ul>
  20. 20. $20,000/month PPC Account <ul><li>Client is working with a major SEM firm </li></ul><ul><li>SEM firm runs client ads in firm’s account </li></ul><ul><li>They part ways </li></ul><ul><li>SEM firm gives client an AdWords Editor Backup file </li></ul><ul><li>Client sets up a new account </li></ul><ul><li>What happened to their QS? </li></ul>
  21. 21. QS adds Hair to PPC Management <ul><li>Quality score introduces hysteresis : the system has memory. </li></ul><ul><li>Hysteresis complicates statistical analysis. Must look at the entire history, not only recent states. </li></ul><ul><li>May take time for a system to converge on a result after changes. </li></ul>
  22. 22. CTR and Avg. Position It’s hard to understand the correlation between CTR and ad rank due to multiple causes and effects.
  23. 23. All Changes are Bad™ <ul><li>A client recently said, “All changes are bad. Whenever we make changes, results are worse.” </li></ul><ul><li>What to do with a sub-optimal account running well enough? Restructuring may depress results until the quality score converges . </li></ul>
  24. 24. QS and Innovation <ul><li>QS often favors incumbent keywords, ads and advertisers over newcomers. </li></ul><ul><li>Does QS discourage innovation? </li></ul>
  25. 25. An Advertiser’s Wishlist <ul><li>Provide better disclosure of how QS affects costs. </li></ul><ul><li>Establish a policy on the selling and portability of QS. </li></ul><ul><li>Offer a sandbox for A/B testing that avoids QS complexity. </li></ul>
  26. 26. <ul><li>Jonathan Hochman </li></ul><ul><li>For Questions or Comments </li></ul><ul><li>Contact Us Today! </li></ul><ul><li>www.HochmanConsultants.com </li></ul>Sponsored Links

×