PPC advertising is attractive because it provides excellent metrics. You know exactly how many people see your ad (impressions), how many of those people clicked your ad (clicks & CTR), how much those clicks cost you and how many of those clicks turned into sales (conversions, conv. rate & cost/conversion). Do a little simple math and you know your ROI. What company/advertiser wouldn’t want all these metrics?
ROI: The Pot of Gold or the Man Behind the Curtain?
Many people I talk to believe that ROI is the pot of gold at the end of the PPC rainbow. The higher the ROI the better. Nothing could be better, right?
I mention the man behind the curtain (via The Wizard of Oz) to highlight that many advertisers don’t know what really drives their PPC ROI. They pull levers, push buttons and turn knobs in a desperate effort to make the magical ROI increase. But do you know what all of those levers, buttons and knobs are really doing? Leave a comment with your thoughts.