August 6


CPC (Cost-Per-Click) is getting more expensive, shall I keep using Google Ads?

By Pen Kwok

August 6, 2019

This question could be divided into 2 parts:

  1. Is it worth spending more than $10 for a click?
  2. Is it possible to lower CPC?

The Real Value of a Click

For the first part, whether it is worth setting a higher bid for a click? The main consideration here is how much value could be brought in by each click, i.e. the ROI (Return-On-Investment). For example, if on average you could get an order of HK$50 for every 10 clicks to your web store, that means you are spending HK$100 and get a return of $50, then, of course, this is not worth spending this money. However, if you could get an order of HK$1,000 for every 10 clicks, then obviously it is a good investment. The key here is how to optimize the user experience (UX) to increase the conversion rate, making each and every click bringing in a higher value.

Getting a Better Deal

The next part is about how to lower the CPC. Here are some points for your reference:

  1. Relevancy – many people always use the same landing page (most likely is the homepage) for all campaigns. Making it like a one-size-fits-all page, the relevancy would certainly be not satisfactory. Please customize a dedicated landing page for each campaign so as to get an improved Quality Score.
  2. Negative keywords – please remember to check your search query report regularly and see which keyword(s) are not bringing in qualified clicks. Add these keywords to Negative keywords. This would help Google to improve the system, and at the same time, you could save your money on those irrelevant clicks.
  3. Keep testing and optimizing – the set of keywords, location, device and ad schedule, etc. could all be tested with different parameters and combinations. Please spend some time to test out the best combinations. It might be time-consuming, but it could bring in long term returns.

About the Author

Pen loves sharing good food and wine with friends. When he is not working on his Macbook Pro, he learns Japanese and Chinese calligraphy for fun.

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