PPC is getting harder, more competitive, and more difficult to implement. It’s fast becoming difficult to achieve healthy ROI by relying on PPC campaigns exclusively. There are several reasons why your PPC campaigns aren't working. You have to find it out.

1. Why Your Shopify PPC
Campaigns Are Not Working
And What To Do About It

2. PPC Traffic Is
Growing In Size
and Variety
Huge opportunity and challenge for
Shopify stores

3. A Lesson From
Eating Sushi
for the first time in a nightclub.

4. Wasabi Was Not
Japanese Mashed
Potatoes
I failed to observe, analyze, and
learn from the situation.

5. PPC Campaign Results
Is Your Responsibility

6. Four Internal Factors Affecting Performance
BUSINESS ANALYTICS STRATEGY EXECUTION

7. Sushi King
Overview
Sushi supply Shopify store
Google AdWords is a primary
channel for customer acquisition
Clicks 1,000
CVR 5.0%
Customers 50
CLV $100
Gross
Profit $5,000
CPC $5.0
Cost $5,000
ROAS 100%
CAC $100.0

8. Sushi King
Improve results by applying BASE
methodology
Before After Difference
Gross Profit $5,000 $14,325 $9,325
Cost $5,000 $5,000 $0
ROAS 100% 287% 187%

9. BUSINESS
Your Customer Lifetime Value Is Low

10. Double PPC Results Without Touching PPC
CAC = $100
CLV = $100
ROAS = 100%
CAC = $100
CLV = $200
ROAS = 200%

11. Starbucks generates
$14,099 from each
customer over the
lifetime
Source: KissMetrics

12. If you don’t track CLV,
you rarely focus on
maximizing it

13. CLV = AOV x T x
ALT x AGM
AOV = Average order value
T = Average monthly transactions
ALT = Average Customer Lifespan
(in months)
AGM = Average gross margin

14. Action: Increase Three CLV Variables

15. Upsell A Product Subscription
$31.43 vs. $89.58
186% Increase

16. Upsell A Product Bundle
$31.43 vs. $55.39
76% Increase

17. Cross-Sell A Complementary Product
$22.49 vs. $25.08
12% Increase

18. Increase CLV for
Sushi King
AOV $100.0 $120.0
Frequency 1 1.2
Lifespan 1 1.2
CLV $100 $173

19. CLV Impact for
Sushi King
Increasing AOV, frequency and
lifespan result in higher CLV
Clicks 1,000
CVR 5.0%
Customers 50
CLV $173
Gross
Profit
$8,640
CPC $5.0
Cost $5,000
ROAS 173%
CAC $100.0

20. ANALYTICS
You Have A Leaky Sales Funnel

21. 3%
Conversion Rate
of US Online Shoppers
Source: Statista

22. Sales Funnel With
Limited Data
Missing Insight Between The Steps

23. Sales Funnel With
Complete Data
Insight Helping To Troubleshoot
The Steps

24. Shopping Behavior Report

25. Checkout Behavior Report

27. Integrate Shopify & Enhanced Ecommerce
Shopify Side Google Analytics Side

28. Action: Identify & Fix Leaks

29. CVR Impact for
Sushi King
Reducing leaks result in Improving
CVR from 5% to 6%
Clicks 1,000
CVR 6.0%
Customers 60
CLV $173
Gross Profit $10,368
CPC $5.0
Cost $5,000
ROAS 207%
CAC $83.3

30. STRATEGY
Your Strategy Is Not Aligned To Buyer’s
Journey And Traffic Channels

31. 1. Who are you trying to reach?
2. Where are you going to reach them?
3. How are you going to reach them?
4. What are you going to offer them?

32. PPC Traffic Is Two
Dimensional
Do you have a strategy for each
dimension?

33. Action: Map Your
Traffic to Paid
Media Cube

34. Sushi King Example
Awareness Consideration Decision Overall
Clicks 500 400 100 1,000
CVR 3.6% 6.0% 18.0% 6.0%
Customers 18 24 18 60
CLV $173 $173 $173 $173
Gross Profit $3,110 $4,147 $3,110 $10,368
CPC $2.0 $5.0 $20.0 $5.0
Cost $1,000 $2,000 $2,000 $5,000
ROAS 311% 207% 156% 207%
CAC $55.6 $83.3 $111.1 $83.3

35. Action: Create Offers For Each Dimension
Awareness stage
Intent: low
Objective: lead generation
Offer: Sushi maker’s guide
Consideration stage
Intent: medium
Objective: lead generation
Offer: Coupon for the first time customers
Decision stage
Intent: high
Objective: immediate sale
Offer: Free Shipping & Free Roller Kit with Any Purchase

36. Buyer Stage Offer Examples
Source: KlientBoost

37. Offer Alignment
Impact for Sushi
King
Improving offers result in 1% point
increase in CVR for Awareness and
Consideration stages
Awareness Consideration Decision Overall
Clicks 500 400 100 1,000
CVR 4.6% 7.0% 18.0% 6.9%
Customers 23 28 18 69
CLV $173 $173 $173 $173
Gross
Profit
$3,974 $4,838 $3,110 $11,923
CPC $2.0 $5.0 $20.0 $5.0
Cost $1,000 $2,000 $2,000 $5,000
ROAS 397% 242% 156% 238%
CAC $43.5 $71.4 $111.1 $72.5

38. EXECUTION
You Have a Gap Between Intended And
Real Traffic

39. Keywords ≠ Search Terms

40. Keyword & Search Terms: Good Match

41. Keyword & Search Terms: Bad Match

42. Where To Find The Search Terms

43. Action: Analyze
Search Terms
● Relevant search terms with good KPIs.
An opportunity to expand. Control the
bids and improve the ad position and
increase the impression share to get
more traffic.
● Irrelevant search terms you don’t want
to target. Exclude full term entirely or
the words not relevant to the campaign.
● Relevant search terms with poor KPIs.
Analyze the KPIs and decide the next
steps: exclude or add as exact match
keywords to manage separately and wait
for statistically significant data.

44. Locations ≠ User Locations

45. Physical Locations & Locations of Interest

46. Locations of Interest Trigger Bad Traffic

47. Where To Find The User Locations

48. Action: Analyze
Locations
● Relevant locations with good KPIs. I
like to use two levels of KPIs: primary
(conversions and cost per conversion)
and secondary (clicks and CTR). This is
an opportunity to expand.
● Irrelevant locations you don’t want to
target. Here’s how you can exclude a
location entirely from your campaign.
● Relevant locations with poor KPIs.
Here, you can exclude or add specific
targeted locations to manage separately
while you wait for statistically significant
data.

49. Traffic Cleanup
Impact for Sushi
King
Improving traffic results in more
clicks in the right buyer stages
Awareness Consideration Decision Overall
Clicks 650 500 100 1,250
CVR 4.6% 7.0% 18.0% 6.6%
Customers 30 35 18 83
CLV $173 $173 $173 $173
Gross
Profit
$5,167 $6,048 $3,110 $14,325
CPC $1.8 $4.0 $18.0 $4.0
Cost $1,200 $2,000 $1,800 $5,000
ROAS 431% 302% 173% 287%
CAC $40.1 $57.1 $100.0 $60.3

50. Sushi King Results
Improve results by applying BASE
methodology
Before After Difference
Clicks 1,000 1,250 250
CVR 5.0% 6.6% 1.6%
Customers 50 83 33
CLV $100 $173 $73
Gross
Profit $5,000 $14,325 $9,325
CPC $5.0 $4.0 -$1.0
Cost $5,000 $5,000 $0
ROAS 100% 287% 187%
CAC $100.0 $60.3 -$39.7

51. Questions

52. Connect
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Website: www.scubemarketing.com