Application of AdWords Metrics - Exercise

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Application of AdWords Metrics - Exercise

Application of AdWords Metrics

Duration: 10 to 15 minutes.
  1. Which of the above metrics will you use to determine keywords profitability?
  2. Which of the above metrics will you use to understand which ads are highly visible as well as compelling enough to bring visitors to your site?
  3. Is it possible to have keywords with negative ROI? If so, how would you interpret that information?

Solution:

  1. CPC, RPC, ROI, and Margin are metrics geared toward helping you understand the profitability of your keywords. You can get this information by applying subdimensions.
  2. Impressions, clicks, and CTR are the metrics geared toward helping you understand which ads receive higher visibility and are compelling enough to attract substantial amount of traffic.
  3. It is common to see negative ROI for campaigns and keywords. It can mean several things:
    1. You have not enabled e-commerce.
    2. You have not assigned goal values to your goals.
    3. You are not linking cost data from AdWords.
    4. You are spending much more on your keywords than the money you make from the traffic these keywords bring to your Web site.
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