Google AdWords

Series Overview

In my experience of owning a company that builds websites for tradies and contractors, over the years I’ve observed a number of scenarios where people may be familiar with a certain phrase, or word by it’s name, however they’ve lacked a true understanding of what that word represents.

A prime example of that would be websites. Very often when we scope a company, I’ll be told that they need a website because they want to make their phone ring more. Having a website will help in the sense that now you have a tool that can allow youth be found on a search engine in a direct search, however it’s unlikely that it’s going to make your phone ring unless you apply a marketing strategy to the website.

Another very misunderstood ‘buzzword’ is AdWords. In this series, I’m joined by John from Reach Local as we shoot to break down the myths around Google AdWords and paid marketing. We explore what types of business AdWords suites and we discuss the reality of how much money you need to be spending to make your campaigns affective. We also discuss how paid marketing (also commonly referred to as SEM and Pay-Per-Click) fits into what I like to call the ‘digital ecosystem’.

Episode 2 In Episode 2, John and I explore one of the more misunderstood elements of Google Adwords. That being budget. Contrary to what you have have ben told by dodgy marketing companies that are only interested in taking your money, your potential results are very dependant on budget. A smarter way to look at how to ascertain what you need to spend on a campaign is to reverse engineer it like this.

1. How many converted jobs do you want (per week, or month) Eg: 10/week. 2. How many leads do you need to make a conversion. Eg: I’m converting at 10%, which is 10 leads per conversion. 3. How much does a click cost me. Eg: $20 4. How many days do you want your ads to appear? Eg: 5 (Mon-Fri)

Now you can roughly work out a budget 10 leads at $20/lead = $200/day $200/day at 5 days = $1000/week $1000 at 4 weeks = $4000/month

You can see from this example that it can be an expensive outlay and if you conversion product, or service cost is less than your spend, then you should potentially spending that money elsewhere.

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