How to validate a Startup Idea using PPC

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I was invited to give a 5 min lightening talk at one of Australia's largest tech startup meetups, Lean Startup Melbourne, on the topic of "Validating your Startup Idea using PPC".

Here are my slides from the preso. It was a quick presentation so I didn't get to jump into all the different PPC channels but I covered Search Intent Targeting (Google Adwords) and Demographic Intent Targeting (Facebook Ads).

I look at tips for keyword research, tools to use, ad copy guidelines and how to measure success!

Published in: Business, Technology

How to validate a Startup Idea using PPC

  1. 1. How to validate an idea using PPCA small amount of $$$ for idea validationIvan LimHead of Marketing - Tweaky@ivanmelvinivan@tweaky.com
  2. 2. How to validate an idea using PPCinstead of blowing lots of $$$ on a bogus ideaA small amount of $$$ for idea validationIvan LimHead of Marketing - Tweaky@ivanmelvinivan@tweaky.com
  3. 3. PPC testing is about getting infront of potential customersfast, presenting your idea andlooking for validationPPC for Startup Idea Validation
  4. 4. PPC for Startup Idea ValidationWhat I’m going to cover- Search Intent Targeting- Demographic Targeting
  5. 5. PPC for Startup Idea ValidationLet’s use an example
  6. 6. PPC for Startup Idea Validation
  7. 7. Search Intent TargetingPPC for Startup Idea Validation
  8. 8. You are identifyingpotential customers bythe searches theymake onlinePPC for Startup Idea Validation
  9. 9. PPC for Startup Idea Validation
  10. 10. Step #1Figure out what searchterms your solutionshould appear inPPC for Startup Idea Validation
  11. 11. https://adwords.google.com/o/KeywordToolPPC for Startup Idea Validation
  12. 12. Example KeywordsKeywords :- Peer to Peer Car RentalPPC for Startup Idea Validation
  13. 13. Keywords :- Peer to Peer Car RentalFail Factor- Traffic numbers per month are toosmall for testing(210 searches in the US)PPC for Startup Idea ValidationExample Keywords
  14. 14. Keywords :- Budget Car RentalPPC for Startup Idea ValidationExample Keywords
  15. 15. Fail Factor- Budget is the name of a competitor- Searches looking specifically for yourcompetitors will contaminate yourdata integrity for testingKeywords :- Budget Car RentalPPC for Startup Idea ValidationExample Keywords
  16. 16. Keywords :- Car RentalPPC for Startup Idea ValidationExample Keywords
  17. 17. Win Factor- Big search traffic numbers meansyou can test the market quickly- But is highly competitive (expect topay $$$)Keywords :- Car RentalPPC for Startup Idea ValidationExample Keywords
  18. 18. Keywords :- Last Minute Car RentalPPC for Startup Idea ValidationExample Keywords
  19. 19. Win Factor- Greater specificity with strong trafficnumbers (1,300 a month)- Great opportunity to test a segmentof your marketKeywords :- Last Minute Car RentalPPC for Startup Idea ValidationExample Keywords
  20. 20. Other keyword toolshttp://soovle.com/PPC for Startup Idea Validation
  21. 21. Step #2Setting up your AdsPPC for Startup Idea Validation
  22. 22. PPC for Startup Idea Validation
  23. 23. PPC for Startup Idea Validation
  24. 24. Ad tips- Straight to the point- Specify 1 way that you’re different (e.g rent cars from neighbours notexpensive rental companies)- Leverage location targeting- Use separate landing pages to learn what benefit appeals the most- Include target keywords in the ad text (Google highlights this and itcatches the eye)PPC for Startup Idea Validation
  25. 25. Step #3Measuring SuccessPPC for Startup Idea Validation
  26. 26. How do you measure success?- Strong Click Through Rates (CTR)- Strong conversion rates on landing pages (e.g sign ups)- Don’t be overly concerned with Cost Per Clicks (that is optimization)you’re looking for tractionPPC for Startup Idea Validation
  27. 27. Demographic TargetingPPC for Startup Idea Validation
  28. 28. You are identifyingpotential customers bywho they arePPC for Startup Idea Validation
  29. 29. PPC for Startup Idea ValidationFacebook ads ROCK atdemographic targeting
  30. 30. PPC for Startup Idea ValidationI want to target... 20-26 years old males
  31. 31. PPC for Startup Idea Validationwho are single
  32. 32. PPC for Startup Idea Validationlive in America
  33. 33. PPC for Startup Idea Validationlove road trips... the activity
  34. 34. PPC for Startup Idea Validationlike these brands
  35. 35. PPC for Startup Idea Validation#BOOMTOWN
  36. 36. Understand your audience intimatelyPPC for Startup Idea Validation
  37. 37. PPC for Startup Idea Validation- Use questions- Try lots of images- Always sell your uniquedifference- Aim for action, not showand tell
  38. 38. Ad tips- Test against different customer personas- Do not be vague in your ads, be specific about your idea (each clickcan mean some form of validation)- Be relentless in finding new interests to target- Forget about targeting broad interest categories. This is testing notcustomer acquisition- Watch for ad fatiguePPC for Startup Idea Validation
  39. 39. How do you measure success?- Strong Click Through Rates (CTR)- Strong conversion rates on landing pagesPPC for Startup Idea Validation
  40. 40. So why use PPC foridea validation?PPC for Startup Idea Validation
  41. 41. So why use PPC foridea validation?PPC for Startup Idea ValidationFast Feedback Loop
  42. 42. So why use PPC foridea validation?PPC for Startup Idea ValidationLittle EffortFast Feedback Loop
  43. 43. So why use PPC foridea validation?PPC for Startup Idea ValidationLittle EffortMeasurableFast Feedback Loop
  44. 44. So why use PPC foridea validation?PPC for Startup Idea ValidationFast Feedback Loop Little EffortMeasurable Targeted
  45. 45. How to validate an idea using PPCinstead of blowing lots of $$$ on a bogus ideaA small amount of $$$ for idea validationIvan LimHead of Marketing - Tweaky@ivanmelvinivan@tweaky.com

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