Integrate Google Ads campaigns into your search strategy
Posted: Tue Feb 11, 2025 10:09 am
Everything has to be 100% right here – from the keywords to the ad texts to the landing pages. After all, Google also calculates a so-called quality factor for your ad . And this has a significant influence on the prices you have to pay for your clicks.
Estimate the profitability of a Google Ads campaign in advance
However, you can calculate – in advance – how your gcash database Google Ads campaigns must perform in order to be successful. For example, if your only conversion is the purchase of a product with a margin of EUR 100.00, then theoretically an AdWords campaign can cost a maximum of EUR 99 in order to still get an ROI greater than 1. Now, if you assume (again as an example) that a click on the AdWords ad costs EUR 1.00, you can use a maximum of 99 clicks to achieve a conversion (i.e. the purchase).
In short: In this example, you would need a conversion rate greater than 1%.
This example is intended to show how you can estimate the profitability of an AdWords campaign in advance. Questions 1 and 2 can therefore be answered by saying that a "good conversion rate" does not necessarily have to be in double figures, but that a "good conversion rate" depends on your own product margin and on external factors such as the intensity of competition (click price). The market volume (number of searches for certain keywords) must also be taken into account.
And to finally answer the initial question, one thing can be said in advance: in a relatively large number of cases, an AdWords campaign will be worthwhile. This is not least due to the annual fall in click prices .
Estimate the profitability of a Google Ads campaign in advance
However, you can calculate – in advance – how your gcash database Google Ads campaigns must perform in order to be successful. For example, if your only conversion is the purchase of a product with a margin of EUR 100.00, then theoretically an AdWords campaign can cost a maximum of EUR 99 in order to still get an ROI greater than 1. Now, if you assume (again as an example) that a click on the AdWords ad costs EUR 1.00, you can use a maximum of 99 clicks to achieve a conversion (i.e. the purchase).
In short: In this example, you would need a conversion rate greater than 1%.
This example is intended to show how you can estimate the profitability of an AdWords campaign in advance. Questions 1 and 2 can therefore be answered by saying that a "good conversion rate" does not necessarily have to be in double figures, but that a "good conversion rate" depends on your own product margin and on external factors such as the intensity of competition (click price). The market volume (number of searches for certain keywords) must also be taken into account.
And to finally answer the initial question, one thing can be said in advance: in a relatively large number of cases, an AdWords campaign will be worthwhile. This is not least due to the annual fall in click prices .