Five smart ways to increase your ROI in AdWords

Measurement and Analytics, Search / March 2018

James Moffat

As founder of Organic James leads a digital agency that brings innovative thinking, creativity and agility to a range of leading global brands.

Whether you are managing your AdWords yourself or outsourcing to an agency, there is always one question that gets raised again and again: How can we increase campaign performance? Whether you are measuring return on investment (ROI) or return on advertising spend (ROAS) there are a range of activities you can undertake to improve ROI from AdWords.

While the overwhelming focus of your activity to improve your AdWords performance will be increasing your account’s overall average keyword quality score and refining your keyword targeting, there are a number of other considerations that you can use to increase your ROI.

  1. Understanding which channel generates best return. Adwords provides a range of channels as part of your campaign. While paid search is the most popular others can provide a real opportunity to get better value clicks. If you understand how to utilise each channel, and target it with relevant messages based on the role it plays in the customer journey, you can get significant and unexpected returns.
  2. Segmenting campaigns strategically. How you organise your campaign can be the difference between success and failure. Get this wrong and you can have keywords that might deliver a great return on investment, but that need more than their fair share of the budget to perform. Relevancy is the key when looking at this aspect of your AdWords performance. Organise your campaigns and ad groups around customer intent and relevancy to make your budget work harder. Divide and subdivide to refine over time and watch your ROI from AdWords edge higher and higher. In addition, Google Analytics has a powerful segmentation engine. Break your audiences down into parts and understand how each part interacts with your site, then tailor your bidding strategy, copy and landing pages accordingly. Using secondary dimensions in Google Analytics can provide additional insights. They work like AdWords segments except that there are more of them and they’re more flexible. Want to know if your campaigns are working for you? Find out more about out measurement and analytics services.
  3. Link offline transactions to online campaigns. ROI is often underreported because you only end up tracking sales that happen on or through your website. For many companies the majority of sales still happen offline. Get some help connecting your EPOS systems, CRM and offline sales activity to your analytics and AdWords accounts. With the right technology in place you’ll get a better idea of how your AdWords performance is driving offline sales as well as online.
  4. Understand ROI in each location (as granular as postcode if needed). AdWords location targeting allows you to choose geographic areas where your ads appear, but it can also be used as an optimisation tool to help increase your return on investment. You can even target by postcode if you want to really flex this targeting option. Campaigns will perform better in some areas than others for a variety of reasons: coverage, visibility, store location, product relevance, and so on. A good way to optimise your campaign is to target more successful areas with more budget to maximise ROI from AdWords. Tailor your message to each area, for example surfing gear may be more relevant if you live by the sea. You can even split out your campaigns by location to help with targeting.
  5. Fully understand the role of each device. Different devices are used in different ways. As a result the customer intent and place on the path to purchase can vary. Google’s Zero Moment of Truth model describes this very accurately. Customers researching a B2B product may well read content and consume articles on their phone, but only purchase on a desktop computer. Alternatively a consumer looking to buy a product may choose to research on a tablet at home and then find the store location and directions via their mobile before heading to the bricks and mortar store. Understanding what role each device plays in your product path to purchase is critical to maximise your ROI from AdWords campaigns. Target your keywords and refine your messaging to suit the device and intent of the user.

Need a hand boosting your ROI from AdWords?

If you want a hand implementing some of this advice, or for a complimentary audit of your own Google Adwords performance by a qualified Google certified Professional in the Organic team, contact us today.

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