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Andy Brice
Successful Software

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Adwords campain converts but too costly please help

Hi

Im running an adwords campaign the click to conversion ratio is 1.71 from around 500 visitors 10 converted.The average CPC is $32.The product is priced at $35 so this is not profitable at all.
This data is for one month.

The market im in is higly competitive there are a lot of free products plus freemium ones.

The numbers i have given is for 1 month.I bid only for some keywords manually those cost around $0.6.
I have set negative keywords,device targetting,phrase match diff ad groups.The average position of the ad is around 1.something.

I only target clicks from US.

So please advice me what can i do to improve this,how am i doing im i doing okay.

Im in desperate need for help.
railmax Send private email
Monday, July 21, 2014
 
 
>The average CPC is $32.

I assume you mean cost per conversion (not cost per click)?

AdWords has got increasingly competitive. It is hard to make a profit advertising a $30 product, especially if you have lots of competitors.
http://successfulsoftware.net/2013/05/26/the-declining-profitability-of-google-adwords/

Things you can try to increase your profitability:
-better landing page
-more targeted keywords (be v. careful with broad match)
-use 1000s of long tail keywords
-only bid on search ads (not display)
-try turning off google search partners in settings
-bid lower

See also:
http://successfulsoftware.net/2014/03/24/improve-adwords-profitability-30-minutes/
(particularly number 5)

It takes time and effort to optimize an adwords campaign. Of course, it may not even be possible to make a profit in your market at your price point.
Andy Brice Send private email
Monday, July 21, 2014
 
 
BTW $0.60 is too much to bid per click for a $35 sale, unless it is a keyword you know that converts really well.

$0.60 click x typical 1% conversion rate = $60 per sale.

I recommend you bid closer to $0.10. But the mighty Google might not show your ads at all at this bid.
Andy Brice Send private email
Monday, July 21, 2014
 
 
Andy.Thanks a lot for the reply.sorry it was cost per conversion.im targeting only search network now.
I have only less than 150 keywords and its only phrase match.The CPC ranges from 0.50 to 0.60 i set it referring to the estimate top page bid manully.All my competetors ad shows up on the first page.

Do i need to set a low cpc manually for each keyword or set cpc bid limit turning campaign to auto.
railmax Send private email
Monday, July 21, 2014
 
 
In the 'edit' drop down you can reduce all bids by, say, 50% in a single operation.
Andy Brice Send private email
Monday, July 21, 2014
 
 
Okay.what do you think about the product can it be succesful?apart from US which countries should i advertise?
railmax Send private email
Monday, July 21, 2014
 
 
I would start by advertising only in wealthy countries which your software is localised for. So if it is English only: USA, Canada, Australia, UK.
Andy Brice Send private email
Monday, July 21, 2014
 
 
Andy you did not answer my question what do you think about the product can it improve.i have customers from 90% of the world.
railmax Send private email
Monday, July 21, 2014
 
 
Railmax, perhaps it might be a good idea to post a link to your website if you want advice on the viability of your product? I can't see anything in this thread that actually explains what it is and does...
Andrew Gibson Send private email
Monday, July 21, 2014
 
 
I recommend you try AdWord's Remarketing campaign type.  We're finding a lot better conversion.  The trick is it only shows ads to people who have already been to your site, so you'll need to be getting people there somehow besides that campaign.
Doug Send private email
Monday, July 21, 2014
 
 
>Andy you did not answer my question what do you think about the product can it improve

I don't know what your product is.
Andy Brice Send private email
Monday, July 21, 2014
 
 
>I recommend you try AdWord's Remarketing campaign type.  We're finding a lot better conversion.

I would expect it to convert better if you have already had a visit from the customer. The question is whether it improves the bottom line, or were these people going to come back anyway.
Ducknald Don Send private email
Tuesday, July 22, 2014
 
 
>The question is whether it improves the bottom line, or were these people going to come back anyway.

Thats a good question. One I am hoping to test. I haven't seen any other data on it.
Andy Brice Send private email
Tuesday, July 22, 2014
 
 

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