Google Ads Tips & Tutorials | Learn Google Ads Live | Google Ads Conversion Tracking

I think we are live hello everyone who's online at the moment I just want to do a quick sound check and make sure the stream is working fine. So I would really appreciate if you just put in the chat box if you can hear me nice and loudly hi Mateusz hope I pronounced your name properly and I've got your question hello seborrhea so welcome to today's session and I'll do my best to answer any of your questions you may have so ping them across in the chat box now because I won't be able to check my emails anymore Okay, we're going to get started.

It's almost five o'clock UK time and a very warm welcome to everyone wherever you are in the world. I hope you are safe, your family and your friends are keeping well as well I know it is a very difficult situation for all of us and we're in the same boat so I'll try and do my best to help you guys out as much as I possibly can with these live sessions and answer any questions or problems you may have with regards to your digital marketing online presence, Google Ads, YouTube, and so on.

So today I'm going to talk about and show you guys why conversion tracking is so important why you need to set them up and how to set it up the right way so let's hop into our Google Ads account which I believe you can't see right now just give me a moment and you should be able to see my screen now so when you go into your Google Ads account you will go to tools and settings and then conversions and you'll come to this page you then have a choice of the categories I just make sure you can see my screen yes you can okay so then you have to decide what is your call to action or your conversion action and this is where a quite a few of you may get confused as well as to what to choose so I'll go through it very easily and quickly so the first one is obviously purchase if you are selling online a product with an e-commerce website where customers come to your site and they make a purchase then you choose this one if you are generating leads then the second option and this is where confusion for some of you may arise why would you consider a page view as a conversion now if you are targeting a top of the funnel audience so let's say for example I'm running a video campaign and a display campaign on Google Display Network and I'm trying to run traffic through to my blog posts which I may have written so I just want to see how many people click on my ads and come and see that blog post and from there I can work out whether they were engaged or interacted or did they take the call to action or not so you can put in a particular page a pricing page or a contact page could be another page which may be important to you and your business.

A sign up could be a sign up to your E-newsletters or weekly newsletters or anything like that where you can get someone to sign up and you can track the conversions okay when you enter the name make it so that it is meaningful for you so don't just write down lead because you might have different leads on your website, different forms or different call to actions.

So as they've said over here that if you are tracking a conversion for the June newsletter signup, then you should make that name as the June newsletter signup or the manager's job applications or whatever it may be. So we're just going to call it a simple contact form. Somebody submitted the contact form and got in touch with us.

Okay, here's where the problem happens. Most accounts which I see and come across, don't have any value assigned in here. Because if you don't assign a value, you will not be able to see what impact your Google Ads campaigns is having on your advertising budget and whether you are making a positive or a negative return on investment.

So don't just put in one, we need to work out what to put in here and I'm going to show you in a second but first let's go through the rest of this page and then we're going to work out a value for our conversions. You have two options over here. For lead generation you have one. So it says you're recommended for lead signups and other conversions.

Everyone is for eCommerce websites because the same person can come back to your website and make another purchase. So that would be another purchase, whereas for leads you just want to keep it to one. Conversion window - you can decide whether you want to keep it for 30, 60, 90 days or a week. 30 is the average.

And that is what I use personally. If you are selling a service, which takes a bit of time for someone to convert, then you can also put in the view through conversion window for 30 days because this is what it means. A person may see your ad and not interact with it and they go away from your website.

Then they come back later and convert. So that is what we call a view through conversion. If it's... if you are tracking a lead or a contact form, you must check this off. Otherwise these conversions will not be included in the conversion column. So you may ask why do they have this? Why not just include every conversion in the conversions column?

You may track a conversion, which is let's say someone scrolls to the bottom of the page or visited three pages per session or maybe viewed your video on your website for up to 75% of the video. So they are not actual macro conversions or the main conversions. Those are my micro conversions. So you don't want to include that in this one.

So for leads, always check this off. Attribution model, the default is the last click, I personally use the time delay. And the way this works is the last click gives all the credit for that conversion to that last clicked ad. So it's kind of like, let's imagine a game of football. The striker always gets the credit for the goal, but the other players who pass the ball around to the striker to score do not get any credit, but that's not right, is it?

So you need to attribute the credits of that conversion, what led to that conversion? Because if that ball wasn't passed, the striker would not be able to score. So it depends on how your attribution model is for your business or for your clients. In my humble opinion, the time delay is the most fair one where every ad gets credit.

So in here is the last ad on this one the first click gets all the credit the linear if they have clicked on multiple ads, all the ads get the same credit. Time delay is where we can say, okay, in this campaign, these ads are getting the most conversions so you can bid more aggressively. Whereas the ones where your brand was introduced, you may not want to bid that high.

Position based as you see over here, the first and the last clicks get 40% each and in the middle is distributed between all these ads as 20%. So I would suggest and recommend that you know if you want to go with something which is a lot better than the last click, time decay is the one, you will find that this is always switched on by default.

You can switch it off as well. So again, it's your personal choice. I personally keep it switched off for manual bidding and then I go and do automated bidding. And then once it's all done, you create and continue. But we need to go back over here and work out this value. So I'm in the UK, obviously this is my currency.

So whichever currency is in your account, you will first of all select that. Okay? So let's focus on the top one first. So let's say you got 10 leads and your conversion rate is 30%. So three out of every 10 leads you get, they convert. So you get three clients. The value per client or order or sales is let's say a thousand each.

So three times a thousand is 3000. So we are working on that first transaction. The first time the customer has made a purchase, right? So we've got a total of 3000 pounds as our total value or sales from these three conversions. So the value per lead would be 3000 divided by 10 leads, right? And that is the number which I'm going to go in here and put in.

So every time a conversion happens,in the Google Ads reporting, you'll be able to see how much money you have potentially made. As long as your conversion tracking and your offline tracking is accurate you cannot go wrong. So you make sure that you have something in place for tracking these conversions. So it could be just a simple spreadsheet.

That's what we use for our business. We see at the end of the month how many leads we had. How many converted and we work out a conversion rate, and then the average value we work out and we get the value per lead. So this is So this is what most people do, if that's what, even if they managed to do this, but because most of the time I will only see this number one, and nothing else because nobody knows how to work this out.

Even though it says over here, if you sell one type of product under the value for each sale, if you say only one product for 20 pounds, assign a value of 20 pounds or whatever, so you work something out, so 300 you might think, okay, that's my value per lead, but that is the wrong number and here's why...

So I'm not trying to mislead you, I'm just trying to guide you to the right way of setting up this conversion value. Because once you get a customer in, for a lot of businesses, the customer, if they're happy with your service and your products, they will come back to you again and again. So what we want to do is to work out the customer lifetime value.

Now I'm not suggesting in any way that we work out the value of customer lifetime value until the customer dies, not at all! Usually 12 months to 24 months. If you have got data that you've got a very old and existing business and you know that every time you get a client they stay with you for five years or six years.

A perfect example is car insurance or home insurance. How often do you change? Not very often because we just keep on renewing them every 12 months. So that company, that insurance company, does not need to spend any more money on the acquisition of that lead. We are already their client. So you also have this number of clients already when they come back to you, you don't have any cost per acquisition.

So what we need to do is to work out the average customer lifetime value and here's the game changer as to have you can outbid and always win in Google Ads against your competitors because your competitors are, most of them are working on just the first time value. They are not working out the customer lifetime value. The squad often when we get well, every time we get a customer on board, we always ask them a customer lifetime value.

And many of them unfortunately don't know what it is. So when we go through these numbers in a simple spreadsheet like this, then it works. It works out like 'wow', this is what they can potentially earn. So keeping the same number of leads, the same conversion rate, the number of clients, now we make a difference. So let's say in twelve months, they come back and another three times, and we earn potentially from each client, 4,000 pounds.

So 4,000 x3 is 12,000 and now your value per lead goes up to 1200 so now your CPA, which is the Cost Per Acquisition, let's say you are in a very competitive market and most businesses are in a competitive vertical or niche and everybody is competing quite strongly against each other. Let's say your cost per acquisition was 250 pounds to get a need now we can work copy this reduce this a bit put that here Now, if you were to look at these two figures, you will find you, the customer is looking at it from the point of view that oh, I'm only making 50 pounds.

The cost per acquisition is too high. You need to reduce the cost per acquisition. And if we start to reduce that cost, you are going to lose out in that auction. Your traffic is going to dry out and you will not be getting entered into the Google auction. And all of a sudden your campaign is going to stop performing.

And this is why every time I hear someone say, Oh, reduce my cost per acquisition. Well that's the wrong way because you need to look at increasing the profitability of your campaigns. You know, you won't care what the cost of acquisition is if you're making four or five times the value of what you're giving to Google. So now you can see you can bid a lot more aggressively, you can throw a lot more budget and you know that you are very profitable.

Even if your conversion rate is not a hundred percent accurate and it's a little bit up or down, you still have got enough margin over here. Whereas over here it is extremely tight and you don't have much leeway as to how much to bid and how to run your campaigns. So this is why it is very important and critical that you work out your average customer lifetime value and not just your first time order or sale.

I'm going to look at the chat and see if I've got any questions with regards to this. Got quite a few here. All right. So what we do then is we copy that 1200 and put it there and now you'll be able to see how much a return on investment you are getting on your Google Ads. Okay.

So, okay, Matthias is asking, is it a correct strategy to start with maximum conversion and after 20 to 30 conversions, switch it to manual based upon max conversion data. I would set the CPA accordingly. Yes. So what I would always do before you start setting up, going into automated bidding or smart bidding, you need to work out your conversions or the cost per acquisition manually.

Once you have these numbers, now you can see the difference and especially if you are going on smart bidding, this is chalk and cheese. If you give Google a bit of leeway, it's going to give you some tremendous results and get you some conversions, which you cannot even visualize or dream about because most of these companies or your competitors would be bidding at this level whereas you are bidding at that level and your cost per acquisition, you can say to Google, well I don't mind, I can even afford to pay 600, depending on obviously your profitability.

I'm not saying that you follow these numbers. These are just for example, now you are going to win every time. So you are bidding 600 to get the conversion and the rest of the pack are bidding 250. So you've been, every time you are going to win the impression you will win that auction, you will probably get that click and Google is going to get you these conversions at a higher price.

But your volume is going to increase a lot. So I would say with maximum conversions or any kind of bidding, don't start with zero data. You need to give the machine some good data to learn to know what you are looking for and then you switch it over. So I would say depending on how much budget you have, if you've got tens of thousands of budget, you can pretty much get that conversion data in 10 days or 15 days or so and then switch over.

But if you've got us working with a small budget of a few hundred dollars or pounds, then I would recommend that you wait at least 30 days for maximum conversions and switch it from manual to maximum conversions. So I hope that made sense. Okay. Another question I've got is I spent too much budget, but I don't get number one ranking in Google Ads.

So I think you're looking at the wrong metric. Is your goal just to be number one or is your goal to get conversions? Because quite often you'll find the ad rank number 2.5 is converting better than ad rank one, but now Google has taken out that average position. So you don't know which position your ads are at.

So I don't think you need to look at that number one ranking. Look at the data, look at where you are, as long as you are getting in the top four and you are not losing out on the search impression share. So that is a really good way to look at it. Whether you are losing out in the search impression share or you are losing out on ad rank because your bids are too low, your ad rank will be low and you will lose out again in the auction.

So I hope this answers your questions Ameet. Okay. Hi, Justrose from Kenya. Good to have you here. The question is I need to run Google Ads for a wedding venue and a school to push for registrations. Okay so I'm not sure it's a good time for a business like a wedding venue or a hotel to run ads on right now because not many people may be looking to book other than perhaps looking to book for next year or for six months down the line.

So yes, you can run ads for wedding venues very easily. And in my previous life I used to be a wedding photographer, so I know the wedding game very well. If you need any help, please get in touch with me and we can jump on a call and go through your requirements. Okay. How many keywords on average is best for accuracy in terms of marketing and ad spend?

Great question. It's not the quantity its the quality of keywords. Don't go on broad match because that's where you will find that a lot of your budget is being spent or perhaps wasted. What I tend to do is I download all the keywords and then group them very closely and tightly so that the group of keywords in an ad group are very relevant to that ad.

It needs to have the keywords which you are targeting in that ad group. Another way to set up your campaigns is what we call single keyword ad groups. Where there is only one keyword per ad group. And then you write the relevant ad and perhaps I will do a little session on that as to how to set this up as well.

That will be of interest to you guys as well so that can also be done, but you need to make sure that you are targeting the right keywords. First of all, don't go too broad. Start with a handful. And then as your campaigns are running, you will find in the search term report all the other search credits which are triggering your ad and then you keep on adding them into your account.

Okay, so just, I don't understand what you mean by... this is what you used to go to clients. I would like to know how to budget my clients ad budget. That's a difficult one to answer because it really depends on the cost per click. If your cost per click is let's say 50p or five pounds or 50 pounds, that budget will be dependent on your cost per click, your average cost per click.

So again, if you are targeting a local area, you need a smaller budget nationally, you need bigger internationally, obviously you need a lot more. Start small and then slowly expand. So you start with a set fee or a budget and said, okay, if there's no data, if there's no campaigns which have been running before, what do you want to do is to you need to invest, not waste.

I would say invest your money into testing the data and then getting the results from Google and see what's happening. And then you can work out, okay, I'm getting leads at, you know, such and such price. Then how many leads do you want in a week and a month or in a year? And that's how you scale your campaigns.

So I can't give you a fixed value because you can run on search campaigns, video display, g-mail, remarketing. So there are so many different types of campaigns you can run and then you need to allocate which budget you want to spend on. Okay. Hi Sameed. Okay, ‘I'm from Kuwait and running call only ads. So how to set conversion of call tracking because it does not work.

Some countries and Kuwait is also in that country.’ Yes. In some countries the Google call forwarding does not work. So you may need to get third party apps like CallRail, but, I'll be doing a session on conversion for phone calls and that's where over here, a lot of people get confused by calls from ads or calls to a number on your website.

And I'll explain to all of you guys as to how this can be set up quite easily. And once it's set up, it can track, and I'll investigate as to whether Kuwait, I'm pretty sure call tracking in Kuwait So I'm not sure right now as to the status of what is happening in Kuwait. So I believe I've gone through all the questions, so, yeah.

So hope you enjoyed this session and thanks for being with me. I will be hosting these sessions every weekday from Monday to Friday at five o'clock UK time, and feel free to join in. If you can't join in, this is recorded and it will be on our YouTube channel, so please stay safe and look after yourself and your family and I look forward to seeing you in our next session.

Bye for now.