Online store study case

Online store study case

Managers of today have great doubts regarding investment in online and in business development in this regard. Also, the marketing investments are very small, and the results are expected to be on the table, and most of the time the product is not the one we want.

The causes of failure in online can be extremely diverse and multiple, but there are businesses that have managed to grow and reach high levels.

In the following, you will find that investments in the online marketplace can be useful as long as all the elements will determine success.

Creating and managing AdWords campaigns is not as easy a task as it may seem at first sight because primarily every PPC specialist is responsible for its budget and often the amounts are colossal and secondly, the PPC specialist needs to make the figures speak for him, that is, to obtain clear and relevant results demonstrating the efficiency of his work.

 

Nothing is perfect, but everything around us can evolve and improve, which also happened with the Google Ads account of an online store selling children’s clothes that came at a time when it did not work to increase sales.

From October 2015 until April 2017, they only managed to get 662 conversions at a cost per conversion of 6.05$, a charge that is relatively high compared to the results we have achieved.

There were at that time three or four general campaigns that were costly and not correctly optimized. After several good months when campaigns failed to meet expectations, the Google Ads account became our responsibility.

#1. We start from 0

The first thing we did was stop the old campaigns and start from scratch because each PPC specialist’s style differs, and we have our own style in organizing our campaigns. Sometimes it is easier to create from scratch and understand how things evolve rather than taking an account and optimizing campaigns where the problem is more difficult to find.

#2. Data analysis

Campaigns on your account have been stopped so they do not consume the budget.

Data analysis was the next step, and the fact that there had been campaigns for several months on the account was a good start. Studying campaign data and Analytics also helped us create a list of the store’s top products.

Our recommendation is to analyze any information you have at your fingertips and think from macro to micro. Look for your business from the perspective of a user who does not know what they are looking for, reaching the point where you identify key products.

#3. Campaign structure

The structure of Google Ads campaigns influences the efficiency of the account and the speed at which it is optimized.

We recommend that when creating campaigns, keep in mind the site’s structure and create campaigns by large categories, subcategories and products. This will tell you what kind of campaigns best perform for your business.

# 4. Keywords

After analyzing the site, we’ve created a list of the campaigns we want to build, and the next step was to search for keywords with Keyword Planner, a handy tool to help you discover new keywords but and negative keywords. This way you can optimize your campaigns from the start point in order not to waste big amounts of money.

Choose your keywords wisely and keep in mind the landing page, their relevance to the products you sell and create ads that match your keywords.

# 5. Ads A/B Testing

According to Google’s best practices, it is recommended that you create at least three ads in each ad group, which we have also implemented.

Why do you need at least three ads?

Creating different ads will help you understand what stimuli are best for users. A business needs to know that most customers are stimulated by discounts and not by organized contests. This is just an example to show that identifying the incentive and highlighting it in ads will directly impact sales.

 

# 6. Extensions

Extensions offer you the possibility to provide additional information about the products/services you sell. Also, visually, an ad containing much information and occupies as much space as a mobile or desktop screen will attract users’ attention and cause them to click.

Take advantage of the available extensions and provide as much information as possible by including as many extensions as possible.

# 7 Permanent Optimization

Taking over the AdWords childcare store AdWords account was the easiest part of this equation. In less than 3 hours, we analyzed the data, we thought about a site strategy, structured Google Ads campaigns, selected the right keywords, added negative keywords to remove irrelevant searches, and added ads and extensions which will attract as many clicks as possible.

Permanent optimization is the key to success for any account. In the long run, we can identify different campaign optimization opportunities to increase clickthrough rate (CTR) and get conversions at a meager cost.

Analyzing users by gender, age, location, hours of purchase, and the devices they’re browsing will generate conclusions and optimizations that you need to get to get a lower conversion cost.

A Google Ads account is not the result of one day’s work. Create campaigns efficiently, choose the right keywords, create compelling ads, use extensions, add negative keywords, test your ads permanently, analyze keyword quality scores, and optimize campaigns based on gender, age, device, time, location, interests, etc.

Increased attention to these elements will lead you to an extremely low conversion cost, which will be reflected in a large number of sales and incomes.

# 8 The results of our campaigns

In May 2017, the account became our responsibility, and campaigns run-up to that time had a conversion cost of  6$.

From that moment until June 2018, the store obtained with us 1912 conversions whose value exceeds 66.955$.

Permanent campaign optimization and periodic testing of new campaigns has made every conversion brought to the children’s store costing 2.93$, cost per conversion two times lower than initially recorded by the campaigns found on the account.

Campaign efficiency can also be seen at a higher conversion rate of 2.1%.

Our work brought 91,000 clicks online, 1,260,000 views, 1912 conversions and earnings over 66.000$.

The indicator that shows the effectiveness of our campaigns will be ROI (Return Of Investment), and we will calculate it according to each period, but also increase this indicator from time to time.

ROI = [(Income – Costs) / Costs] * 100

ROI0 = [(17 797,46 – 3 306,65) / 3 306,65] * 100 = 438.23% -> for the period 01.03.2016-30.04.2017

ROI1 = [(66 955,22 -5 633,3) /5 633,3] * 100 = 1088.56% -> for the period 01.05.2017-30.06.2018

Evidence of growth from one period to the next will be calculated as follows.

∆ROI = [(ROI1-ROI0) / ROI0] * 100

∆ROI = [(1088.56% – 428.23%) / 428.23%)] * 100 = 154%

As shown in the calculations above, the ROI was 2.48 times higher in the period we managed our account against the period before the account was taken.

Also, the calculations show a 154% increase in ROI.

Any AdWords campaign can be effective and profitable if it is created and optimized accordingly.

Every business has an increased potential to grow, but this is done through much work plus many factors that need to be taken into account to achieve maximum results. With a high number of conversions and low costs, factors such as: economic environment, weather, season, time, device, customers, company internal factors, products, store, structure, design, experience, content, quality products, reviews, marketing, targeting The list of factors is so great that finding weaknesses is not exactly such a task, so we recommend investing wisely in the budget available.

Work with industry professionals to make sure that your primary goal is to convert them at a low cost and optimize your ongoing work to succeed in taking a better online position becoming an authority over time!

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