Focus on Google Adwords conversions to optimize your ads

Focus on Google Adwords conversions to optimize your ads

Google AdWords gives you a lot of data to look at in the statistics and your focus should be Google Adwords conversions to optimize your ads. I’m going to show you in this blog post how this has worked very well for me to make more sales at the lowest cost per conversion possible.

Focus on Google Adwords conversions to optimize your ads

Focus on Google Adwords conversions to optimize your ads

First of all, let’s have a closer look at the three most important AdWords terms you have to understand.

The three most important Google AdWords terms

Here are the three most important Google AdWords terms you want to be very familiar with in order to improve your results: conversion, cost per conversion and conversion rate.

1. Conversion

A conversion is a sale or a lead, however you set it up. A conversion is whatever key action you want taken. Usually a conversion is counted by a visitor reaching a specific page on your website.

The three most important Google AdWords terms

When someone reaches the success page of my online courses after making a payment, then a conversion is counted. There are 143 conversions counted or 143 people that went through and reached the success payment page. The code on that particular page sent back information to Google AdWords that this person who clicked on the ad had reached that page.

“Conversion” is the most critical term in Google AdWords because the main reason you are doing Google AdWords is for conversions.

Conversion is the main term to keep an eye on because all the other terms are only relevant as far as you are getting Google AdWords conversions.

If you are doing a branding campaign like I’m doing with this remarketing campaign below, just trying to get people on my website, then conversions are secondary.

The three most important Google AdWords terms

Other than that, you want Google AdWords conversions.

2. Cost per conversion

This column is the cost per conversion. The cost per conversion is the cost of all the ads that were run divided by the amount of conversions received.

The three most important Google AdWords terms

In this example my cost per conversion is $19.74, which is the total cost $2,822.93 divided by 143 Google AdWords conversions.

total cost ÷ conversions = cost per conversion

$2,822.93 ÷ 143 = $19.74

3. Conversion rate

The conversion rate is the percentage of clicks that turned into conversions.

The three most important Google AdWords terms

A click is when someone actually clicks on your ad and sees it in search.

In this example there are 9,994 clicks and 143 conversions, which tell us that 1.43% of people who clicked on the ad went through and reached the payment page.

☛ (conversions ÷ clicks) x 100 = conversion rate

☛ (143 ÷ 9,994) x 100 = 1.43%

Focus completely on Google AdWords conversions

What has worked for me in Google AdWords to get exceptional results is making a relentless focus on conversions. That allows me to keep things really simple because I know all I need to do is driveGoogle AdWords conversions.

I don’t need to worry about the keyword score particularly and I don’t need to worry about anything else like the cost per click or the click-through rate. All I need are conversions.

Google gives you way more data than you need, especially when you are starting out, and even with as much experience as I have in Google AdWords, I still relentlessly focus just on Google AdWords conversions, cost per conversion and number of conversions.

I’m going to show you, I click on “Conversions” from the Tools menu.

Focus completely on Google AdWords conversions

I set up conversion so that when I make a sale or when I get a student to enroll in a free course, I then have those Google AdWords conversions tracked. That way Google AdWords knows what it is doing right for me. It knows when it has made me a sale and the key to doing really well with online advertising is to be able to let the platform that’s running the ads know that what it is doing is helping you.

Focus completely on Google AdWords conversions

Google has the ability to do a lot of things on the backend that you and I aren’t aware of. If Google knows where it is giving me what I want to, then it can optimize on all kinds of things that I can’t control or that I don’t have time to try to do myself.

In the last month I have 1,488 Google AdWords conversions tracked and approximately $27,000 in revenue for my business.

Now I can see exactly what I’m getting out of my ads, when I go back to campaigns, then I can compare my conversions with my ad spent.

Focus completely on Google AdWords conversions

When I go down, I can see that I have spent $13,358.18 on my ads.

Focus completely on Google AdWords conversions

I’m getting an approximately measured 2 to 1 ROI on my ads in the immediate short-term.

Now there are all kinds of side benefits I get. When someone buys a course and then leaves a review on it, then it ranks higher. It is easier for me to get a Udemy organic sale and rank higher in Google search results.

There are so many other factors that aren’t trackable, but what I can track are immediate sales and student enrollments. So this is fantastically helpful because now I know what I’m doing right.

The problem is that the more you do in Google AdWords, the more data you have. I’m running 20 active campaigns and I have 1,617 ads that are active right now. That doesn’t include all the ads I’m not running.

Focus completely on Google AdWords conversions

If I look at my keywords, I have 103 keywords I’m attempting to run ads on right now. I also have 67 ad groups I’m running ads on with search and display ads.

Focus completely on Google AdWords conversions

What you can see out of this is that managing all this data gets complicated. If I try and fool around with hundreds of different keyword scores, that is not going to be very easy to do. When I have conversion tracking set up, it gives me very simple results to interpret.

It is very overwhelming especially when you are getting started and especially as things go well and you scale up. It is overwhelming to try and manage all of the individual parts of it.

If I go into a campaign and try to look at the keyword score, I can see that I got a 10/10, and that’s really good, but I didn’t start with the 10 keyword score, it took a lot of work.

Focus completely on Google AdWords conversions

I know that a keyword score doesn’t allow me to continue running my ads. All these 10/10keyword scores don’t allow me to keep running my ads. What allows me to keep running my ads are Google AdWords conversions, when people actually go buy the course. This allows me to keep running my ads.

Focus completely on Google AdWords conversions

I have a relentless focus on this number: Cost Per Conversion. That’s what I focus on. This is the one number I care a lot about. If I’m paying around $10 to get a sale that’s good. It doesn’t matter if I have a 10 keyword score if I’m not getting any sales. It doesn’t matter what my click-through rate is, if it is not turning into sales.

None of the other data matters if it is not turning into sales and it is in fact simple. I know that all I have to do is make ads with a good cost per conversion.

Now, this is frustrating when you start out because often you make a ton of different ads, none of them will convert, and then the opportunity seems to be to try and optimize keyword scores and click-through rates, and focus on all the other data you have.

The problem is that all this stuff doesn’t matter if you are not making sales, you won’t be able to keep running your ads without making sales.

Now if you are able to make a sale, then that is exciting, and even if it is like way too high of a cost to make a sale, then you can figure out how to optimize it. When I first started my ads, my cost was thirty or forty dollars per conversion and I could see where to optimize.

I have had ad campaigns run that spent hundreds of dollars, they get low cost clicks with a high keyword score that don’t make sales.

Then I have some campaigns like my Google AdWords course, the average position on the ad is five, that doesn’t look very good, does it?

Focus completely on Google AdWords conversions

If I then go over and look at the keywords, you can see that I have a 8/10 keyword score, which is pretty good, an average position of 4.6 and yet the cost per conversion is $16.98.

Focus completely on Google AdWords conversions

I can handle that $16 to sell someone into my AdWords course, which helps it rank higher.

This might be the single most important idea in this book: forget everything else and start with conversions!

If you don’t have a way to track Google AdWords conversions in Google AdWords, it might not be a good thing for you to do. If you are doing it for clients, get them to set up conversion tracking if they don’t have it, that can help you a lot to show them what you are doing for them.

If your client doesn’t have conversion tracking set up, how are you supposed to show them what to do?

If keyword scores are hard for me to understand, even as someone who has used them, I don’t understand sometimes why I have a 5/10 keyword score on one keyword and a 10/10 on the other, everything looks about the same to me.

For some reason Google says, “below average experience” or “below average click-through compared to other ads.” I don’t understand how everything works. I can say though that I have spent $3,200 on this campaign and I have made 472 sales or student enrollments.

Focus completely on Google AdWords conversions

That’s stupid simple, anyone can get that idea.

With reporting to a client or a business partner, or whoever might be funding you, you have got to show those sales. I say this several times because I fooled around and wasted thousands of dollars on my Google ads.

I have wasted thousands of dollars on my ads with no conversion tracking set up trying all these third-party things. The problem is that you can’t optimize it very well and you can’t let Google optimize it internally.

This is the most single important idea in this blog post. Work to get conversion set up. If you are trying to sell something where you can’t track Google AdWords conversions, you might want to figure out a way to work around it, so you can track conversions.

I’m a Udemy affiliate, but I primarily use Google AdWords to sell my own courses so I can track conversions there, and then whatever the affiliate program gets it is extra. If you are trying to sell using someone else’s store, there might be a way to make your own products in the store or there might be a way to do your own store instead of selling for someone else.

If you can’t track Google AdWords conversions, it is usually a good indication that you need a new business system. If you are trying to sell an e-book or something else without conversion set up on Amazon, it is a nightmare. It is just too hard to actually track what you did right.

With the system I show in my book and my AdWords course, it is all about tracking what you have done right. You can optimize internally in Google AdWords, but if you are doing anything else, that’s the hard way. I have learned the hard way in wasting a lot of money doing it that way. What I’m showing you is the easy way, and it works for me because it is easy!

It is not easy to set up from the start, but it allows you to just keep working and keep doing a little bit better every day.

That’s how I’m able to have an average of $9.35 per conversion now when I started with $30 to $40 per conversion.

Focus completely on Google AdWords conversions

With no conversion tracking I had almost no way to get down below $30 a conversion, let alone below $10.

I hope this is useful for you and inspired you to definitely get your conversion set up.

 I invite you to learn more about AdWords advertising with me in my book:

The Complete Google AdWords and YouTube Advertising Book

The Complete Google AdWords and YouTube Advertising Book: Beginner to Advanced

Available both in Kindle and Paperback format.