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- 1. MANAGING EFFICIENCY & VOLUME MATT UMBRO, FEBRUARY 12, 2015
- 2. INTRODUCTION MATT UMBRO SENIOR ACCOUNT MANAGER, COMMUNITY @ HANAPIN MARKETING PPCCHAT FOUNDER @Matt_Umbro @Matt_Umbro
- 4. AGENDA @Matt_Umbro • ROI VS REVENUE GROWTH – DEFINITIONS – DIFFERENCES • CASE STUDY – DATA & GRAPHS – CONCLUSION • TACTICS • TAKEAWAYS
- 5. ROI VS REVENUE GROWTH @Matt_Umbro
- 6. ROI VS REVENUE GROWTH @Matt_Umbro IMPROVING ROI MEANS SACRIFICING VOLUME TO ATTAIN BETTER EFFICIENCY
- 7. ROI VS REVENUE GROWTH @Matt_Umbro IMPROVING REVENUE MEANS POTENTIALLY SACRIFICING EFFICIENCY TO GARNER MORE VOLUME
- 8. ROI VS REVENUE GROWTH @Matt_Umbro BUT HOW CAN THESE 2 COEXIST?
- 10. CASE STUDY @Matt_Umbro • ECOMMERCE CLIENT • ROI AND REVENUE ARE PRIMARY GOALS – ALL OTHER METRICS ARE SECONDARY • JULY AND AUGUST ARE SLOW WHILE TRAFFIC PICKS UP IN SEPTEMBER • OCTOBER IS SLOWEST MONTH OF YEAR • TRAFFIC PICKS UP IN NOVEMBER
- 11. CASE STUDY @Matt_Umbro $0.00 $10,000.00 $20,000.00 $30,000.00 $40,000.00 $50,000.00 $60,000.00 $70,000.00 $80,000.00 $90,000.00 0 20,000 40,000 60,000 80,000 100,000 120,000 140,000 160,000 180,000 200,000 July Aug Sept Oct Nov Dec Jan Clicks vs. Cost by Month Clicks Cost
- 12. CASE STUDY @Matt_Umbro 0 1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000 9,000 $0.00 $100,000.00 $200,000.00 $300,000.00 $400,000.00 $500,000.00 $600,000.00 July Aug Sept Oct Nov Dec Jan Revenue vs. Transactions by Month Revenue Transactions
- 13. CASE STUDY @Matt_Umbro TRAFFIC INCREASED, BUT WHAT ABOUT EFFICIENCY?
- 14. CASE STUDY @Matt_Umbro $0.00 $0.10 $0.20 $0.30 $0.40 $0.50 $0.60 0 20,000 40,000 60,000 80,000 100,000 120,000 140,000 160,000 180,000 200,000 July Aug Sept Oct Nov Dec Jan Clicks vs. Cost per Click by Month Clicks Cost per Click
- 15. CASE STUDY @Matt_Umbro $0.00 $10.00 $20.00 $30.00 $40.00 $50.00 $60.00 $70.00 $0.00 $100,000.00 $200,000.00 $300,000.00 $400,000.00 $500,000.00 $600,000.00 July Aug Sept Oct Nov Dec Jan Revenue vs. AOV by Month Revenue Average Order Value
- 16. CASE STUDY @Matt_Umbro 0.00% 100.00% 200.00% 300.00% 400.00% 500.00% 600.00% 700.00% $0.00 $100,000.00 $200,000.00 $300,000.00 $400,000.00 $500,000.00 $600,000.00 July Aug Sept Oct Nov Dec Jan Revenue vs. ROI by Month Revenue ROI
- 17. CASE STUDY @Matt_Umbro $0.00 $5.00 $10.00 $15.00 $20.00 $25.00 0 1,000 2,000 3,000 4,000 5,000 6,000 7,000 8,000 9,000 July Aug Sept Oct Nov Dec Jan Transactions vs. Cost per Transaction by Month Transactions Cost per Transation
- 18. CASE STUDY @Matt_Umbro • AS WE ACCRUED MORE TRAFFIC AND WENT FOR A GREATER SHARE OF THE MARKETPLACE, COST PER CLICK INCREASED • TRANSACTIONS AND REVENUE FOLLOWED SEASONAL TRENDS
- 19. CASE STUDY @Matt_Umbro • CONVERSION RATE STEADILY INCREASED FROM JULY TO JANUARY • AOV INCREASED MONTH OVER MONTH, ALLOWING ROI TO REMAIN CONSISTENT • COST PER TRANSACTION STEADILY INCREASED MONTH OVER MONTH DUE TO GREATER VOLUME OF CLICKS AND HIGHER AVERAGE COST PER CLICKS
- 21. TACTICS @Matt_Umbro SHOPPING CAMPAIGNS • SEGMENT BY AD GROUP • SUBDIVIDE TOP PERFORMERS • LIBERALLY EXCLUDE KEYWORDS AND PRODUCTS • UPDATE THE FEED!
- 23. PRODUCT RATINGS @Matt_Umbro • BAZAARVOICE • EKOMI • FEEFO • POWERREVIEWS • REEVOO • RESELLERRATINGS • SHOPPERAPPROVED • TURNTO • VIEWPOINTS • YOTPO
- 29. DYNAMIC REMARKETING @Matt_Umbro • ALWAYS TEST AT LEAST 2 – 3 SETS OF ADS • USE A TRANSPARENT LOGO • TEST USING SAME BUTTON COLOR IN YOUR ADS AS ON SITE • EXCLUDE POORLY CONVERTING PLACEMENTS
- 30. RLSA @Matt_Umbro CTR CONVERSION RATE ROI COST PER CONVERSION COST PER CLICK
- 31. RDSA @Matt_Umbro
- 32. RDSA COMPARED TO RLSA @Matt_Umbro REVENUE CTR CLICKS COST PER CONVERSION COST PER CLICK ROI CONVERSION RATE
- 33. REMARKETING BETAS @Matt_Umbro • REMARKETING LISTS FOR PLAS • RLSA USING GOOGLE ANALYTICS
- 34. DSA @Matt_Umbro
- 35. DSA @Matt_Umbro
- 36. DSA @Matt_Umbro
- 41. TAKEAWAYS @Matt_Umbro • RAPID REVENUE GROWTH IS POSSIBLE BUT AT LEAST ONE EFFICIENCY METRIC WILL BE IMPACTED • WHEN PUSHING VOLUME, BUILD AND ITERATE • TOP OF FUNNEL CAMPAIGNS ARE NECESSARY WHEN PUSHING VOLUME
- 42. TAKEAWAYS @Matt_Umbro • EVEN THOUGH LAST CLICK METRICS WON’T BE GREAT, TOF CAMPAIGNS HELP IN OTHER AREAS • HIGHER BIDS DON’T ALWAYS EQUAL PROPORTIONAL REVENUE GROWTH • AS ALWAYS, ENSURE A SOLID ACCOUNT FOUNDATION
Hinweis der Redaktion
- Improving ROI means sacrificing volume to improve efficiency. For example, no matter how many orders come in, you have to have a 400% ROI or you are losing money. You may also have to hit a certain cost per conversion or ad per sale.
- Improving ROI means sacrificing volume to improve efficiency. For example, no matter how many orders come in, you have to have a 400% ROI or you are losing money. You may also have to hit a certain cost per conversion or ad per sale.
- Improving revenue means potentially sacrificing efficiency to garner more volume. You may looking to garner more sales and revenue, even if it isn’t as profitable. The thinking here is that you capture the demand and potentially look to increase your customer based.
- Improving ROI means sacrificing volume to improve efficiency. For example, no matter how many orders come in, you have to have a 400% ROI or you are losing money. You may also have to hit a certain cost per conversion or ad per sale.
- - Clicks remain steady through end of October and then increase in November - We see large increases from November to December and December to January
- - Similarly, revenue and transactions ebb and flow a bit July – Nov and then really increase in December and January
- We see the traffic progression, but what about efficiency
- As we progress, CPC begins to increase Starting in November, clicks increase, but those clicks are more expensive
- - As revenue increased, ad/sale remained fairly consistent (except for November)
- - As revenue increased, ROI remained somewhat consistent
- - We did see increases in cost per transaction as revenue increased – we’re able to sacrifice CPA in order to hit revenue and ROI goals.
- Get your hands dirty!
- Bid aggressively on broad match terms Assign negative audiences to campaigns Everything was very relevant, just costs were high
- DSAs capture what we aren’t bidding on Only run Dynamic Search Ads if 75% of your site’s keywords are already in text ad campaigns Dynamic Search Ads should be in their own campaign and need the DSA ad extension Begin with an all webpages dynamic ad target at a low bid DSAs have 4 dynamic ad targets which also allow for exclusions (eg: blog, resources, tips, etc) Add negative keywords to DSA campaigns, including positive keywords from your text ad campaigns
- Expansion
- In accordance with the busier season, we began running top of funnel campaigns in November.
- In accordance with the busier season, we began running top of funnel campaigns in November.
- In accordance with the busier season, we began running top of funnel campaigns in November.