December 5, 2022

How to Increase Your Profit Margins When Using AdWords

Conversions are the name of the game when you’re using AdWords. And there’s no question that a well-optimized campaign can result in more conversions. But what if you do not see the results you want?

If your cost-per-conversion (CPC) is too high or your low conversion rate is too high, your profits will suffer. So how can you improve your profit margins when using AdWords?

Here are a few tips:

1. Target long-tail keywords

Long-tail keywords are usually cheaper to bid on than short-tail keywords, and they can be just as effective in driving traffic and conversions.

What you’re trying to do is find keywords that are specific enough that they’re not being searched for as frequently. But at the same time, you don’t want them to be so specific that there’s no search volume at all.

You can find these keywords using the “Keyword Planner” tool in AdWords. Just enter in some broad-seed keywords related to your business, and then let the tool generate a list of long-tail keywords.

2. Use negative keywords

Negative keywords are a great way to improve your AdWords campaign’s profitability.

What are negative keywords? They’re keywords that you don’t want your ad to show up for.

For example, if you’re selling bicycles, you might want to add “free” as a negative keyword. That way, your ad won’t appear when someone searches for “free bicycles.”

You can add negative keywords at the campaign or ad group level. However, you must add them at both levels because the way AdWords works is that it will match your ads to the most relevant keywords.

If you only add negative keywords at the campaign level, your ad might still appear for some irrelevant ones. But if you add them at the ad group level, you can be more specific and ensure that your ad only shows up for the keywords you want.

3. Set your bids manually

If you’re not happy with your results, it might be time to set your bids manually.

When you let AdWords set your bids automatically, it uses a complex algorithm to optimize your campaign for conversions. But sometimes, it doesn’t quite get it right.

If you’re unhappy with your current CPC or conversion rate, try setting your bids manually. You might be surprised at the results you get.

4. Use ad extensions

Ad extensions are a great way to improve your chances of getting clicked on. And the more clicks you get, the lower your CPC will be.

Ad extensions are additional information you can add to your ads, such as your phone number, address, or even a call-to-action.

Ad extensions can be a great way to improve your click-through rate (CTR), which will lower your CPC.

5. Hire someone to run your ads for you

Some people like the DIY approach, but hiring an SEO agancy makes sense if you care about conversions. Why? Because they live and breathe AdWords. They know all the latest tips, tricks, and strategies for getting results.

If you’re serious about increasing your profit margins, it might be time to hire someone to run your AdWords campaign for you.

AdWords can be a great way to increase your profits. But if you do not see the desired results, it might be time to make some changes. Your goal from day one should be to get the most out of your AdWords spend.