There’s a lot at stake in keyword bidding, but the appropriate strategies may help you discover the sweet spot for each phrase faster and more efficiently. Let’s look at 5 of the most dependable keyword bidding techniques to use in your campaign management tactics.
1. Set clear bidding limits for each keyword.
Consider your average customer lifetime value (CLV), which indicates how much a client is worth to you throughout their engagement with your company. Then evaluate the expenses of contacting them, and assume that just a tiny percentage of visitors who click on your ad will convert.
2. Bid More on High-Intent, High-Value Keywords
The price you’re willing to pay will likely vary from keyword to keyword. But more generally, you’ll want to go after the keywords that are high-value and high-intent. That way, you’re not only getting people who are more likely to convert, but you’ll also be able to bid higher to get your ad in front of them.
3. Focus On ROAS
ROAS combines two of the most important metrics you can use when you’re running your advertising campaigns. Return on ad spend (ROAS) refers to the amount of profit you’re generating from a campaign divided by the amount of advertising spend that the campaign entailed.
Measuring the ROAS, you’re getting out of each keyword can help you decide which ones are worth going after. So when considering each keyword, take into account how much you’re spending versus how much you’re making in profits. In general, this tip also works well when you’re coming up with your average customer lifetime value.
4. Search Page Location Targeting
Another important way to improve your ROAS is to set up search page location targeting. This is an easy way to ensure that you’re pulling in the most qualified prospects to your site while limiting the number of irrelevant visitors who aren’t likely to convert. It’s easy to set up and should be one of the first things before starting any keyword campaign.
5. Don’t Forget About Your Competition
The goal isn’t to outbid your competitors on every single keyword. Instead, use your keywords to inform the bidding strategies for the other keywords. For example, if you see that your competitor has a few high-value keywords that you want, you can adjust your bids so that they’re not always competing against each other.
Now that you have a better idea of using Google’s keyword planner to dedicate your advertising budget towards the right keyword, you should be ready to start bidding on new keywords.
Although keywords will change over time and will require adjustments, you should now have a detailed strategy that includes the following:
- Your average customer lifetime value (CLV)
- The difference between high-value keywords and high-intent keywords
- Your cost-per-click (CPC)
- Your ROAS
- Where your competitors are bidding
- Where your competitors aren’t bidding
- A plan for how you’ll shift your bids over time
By focusing on each of these factors, you’ll be able to set up a successful keyword campaign.
Magnitude Marketing is a full-service digital marketing and digital strategy consulting in Greenwood, IN. We provide tailored strategies for each client based on their needs and goals. Call us today!