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5 essential ppc kp is you must track
1. 5 ESSENTIAL PPC KPIS
YOU MUST TRACK
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Every industry uses key performance indicators, or
KPIs, as metrics to measure the success of any
new venture, here are 5 essential PPC KPIs that
you must track. It can also enable you to measure
your campaign performance from day one, which
will allow you to have a bird’s-eye view of your
campaign. Let’s take a look at five PPC KPIs you
need to remember to measure the success of an
ad campaign!
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1. Clicks and CTR
Every conversion starts with a click, which is why they are an early indicator of the
success of a campaign. It measures how many users clicked on your ad. By measuring
clicks, you can pause an ad that is not performing as expected and increase your bids
on ads that are performing better than expected. Similarly, the CTR or click-through
rate of your ads can also help you measure the success of your campaign. However,
since CTR varies from industry to industry and keyword to keyword, you shouldn’t
strive for a singular, perfect CTR. With that said, boosting your CTRs will help you
improve your ad rank and quality score.
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2. Quality Score
Quality score is inarguably one of the most elusive PPC KPIs amongst advertisers.
Created by Google, quality score is a metric that tells the search engine how relevant
your ad content is. Google uses other metrics, such as CTR, and performance variables,
such as landing page experience, to calculate your ad’s quality score. If your quality
score is good (between 7 and 10), you will have to pay less money to advertise your ad
to Google. If it’s lower than 6, you will have to pay more.
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3. Cost-per-Click (CPC)
As an advertiser, you know how much you can pay for your campaign since you have a
predetermined budget. However, even with a specified budget and bid, it doesn’t
mean that you will pay the expected amount. After all, your competitors can outbid
you for a keyword, which will force you to pay more for it if you decide to go ahead
with it. CPC is a metric that measures how much you pay per click. It’s measured by
dividing the total cost of your campaign by the number of clicks it generated. It will
help you measure the success of your campaign by weighing it against the total cost.
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4. Conversion Rate (CVR)
Conversion rate is one of the most obvious KPIs for PPC campaigns. You can measure it
by dividing the total number of conversions by the total number of clicks received by
your campaign. For instance, if your campaign had 1,000 clicks and 100 conversions, it
means your conversion rate is 10%.
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5. Average Position determined by Ad Rank
Ads on search engines appear in rank. Your average ad position tells you which position
your ad is shown on the search engine most of the time. Google doesn’t just assign the
first position to the highest bidder all the time. It assigns the highest position to ads with
the highest rank. Your ad rank is determined by your quality score and your cost-per-
impression. Aiming for a higher rank should align with your overall campaign goals.
Otherwise, your efforts will end up in vain.
The best part about PPC KPIs is that they are not mutually exclusive. For instance, if you
have a higher CTR, you will most likely have a higher quality score as well. Similarly,
boosting your quality score can help you improve your cost-per-click, creating a
successful PPC campaign. At the end of the day, you should assign KPIs that align with
your campaign goals and make the most sense while indicating your progress. Contact
Marketing Tiki for effective PPC marketing solutions!