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CTR and Relevant Keywords

How many times have you looked at your Google Ad Words campaign and felt quietly satisfied by your Click Through Rate (CTR)?

Is it fair to assume that it was a high CTR? Well, the answer to that question is, maybe.

The relationship between numbers and words is no different within Google as it is in general, everyday life.

Would you buy a house based purely in the price? Probably not. The list of criteria attached to such an important decision is literally endless. Are the schools in the area good? Is public transport easily accessible?

If the answer is no to these questions, then the bargain house you’ve saved up for years to buy will be more costly than you’d think. In short, you should have spent the extra money on a home that meets your needs. Why? Well, because the local amenities and services are relevant to you. You have kids, you need to be by good schools. You don’t have a car, you need access to public transport.

As I said before, Google Ad Words is no different. You may have a ‘dream CTR’ but the way your campaign arrived there might not be relevant.

As you look at your CTR and revel in the glory of having a relevant campaign. Ask yourself a very simple question. How did I get there?

The relationship between the numbers (CTR) and words (Keywords) will make or break your campaign and, ultimately, your on-line business.

Let me paint a picture to demonstrate this relationship.

You own a car dealership that sells secondhand red convertibles. You select red as a phrase and broad match keyword. You have a CTR of 10%. From 300 impressions, they received 30 clicks. You only received 1 on-line inquiry. Your total cost for the day was $150.

On looking at your keywords, your advert has been triggered by a vast number of inquires based around red shirts, red pants and red backs. None of which can result in you making a a sale!

Despite the fact you only sell secondhand red convertibles you have been clicked repeatedly by searchers looking for products you doesn’t sell. Thus costing you money. All of a sudden, that 10% CTR doesn’t look so great.

By changing his keyword type to a phrase match ‘secondhand red convertibles’ and adding negative keywords you can be assured that only people that are looking for your product will trigger the advert.

The next day, your’ campaign received 3 inquires from 40 clicks and 60 impressions at a cost of $ 15. Now, your CTR for the day is 5%.

Your campaign, as you can see, received 3 inquires at a cost of $15 with a CTR of 5%.

You received a lot less impressions and clicks, but the clicks your campaign received were relevant ,thus, resulting in more inquires at a lower overall cost.

This is quite obviously a much more advantageous way to run your AdWords marketing.

On selecting keywords, you should never underestimate the trust and belief that people have in Google to deliver relevant and pertinent search results. As a result, searchers are of the opinion that every advert they are shown will, in some way, result in an answer to their inquiry.

Had you decided your original strategy was fine to run with you would have spent, over the course of a year, $49,000 more and received 700 less inquires than if you’d run with a more streamline and product specific campaign.

Your CTR can be improved, over time, by bringing other factors into the equation. Ad position and Ad copy can increase the CTR but your first port of call should be the relevancy of your keywords.

Remember, if you’re a non-driving parent you wouldn’t buy a bargain house in the middle of nowhere with no schools or public transport links.

If you sell a specific product or service, be as specific as you can with your keyword selection. Just a one percent relevant increase in your CTR can result in a massive financial boost to your business!