Presented by David Deppner at Meet Magento Poland, September 19, 2016
This presentation explores the evolution of AdWords over the past decade and a half, diving into the key factors that are pushing up costs steadily over time. We'll discuss how Google's self interest and how they've structure t...
It’s important to not worry too much about the variation that occurs in AdWords account performance from month to month, and instead to focus on longer-term improvements. In the short run, there are always variations in the results from month to month. What matters is the underlying trend, and how that’s doing over time. There are a lot of things that push performance up a bit or down a bit that have nothing to do with AdWords, or how the account is being managed.
About a week ago, Google rolled out a new ad format for all AdWords advertisers called Expanded Text Ads. This rollout presents some tremendous opportunities for those who act quickly, and will penalize businesses that lag behind in the coming months.
We participated in an early rollout of Expanded Text Ads during the beta period, before this new feature was released to the general public, and want to make the case for why you should act quickly to take advantage of a window of opportunity that doesn’t come along every day.
How does Google calculate ROAS?
"Here's the math: $5 in sales ÷ $1 in ad spend x 100% = 500% target ROAS" (Source: https://support.google.com/adwords/answer/6268637)
Before I explain why ROAS kills profit, you need to understand exactly what ROAS means in Google AdWords. I have a complaint...
In a word, “No!”
In two words, “Hell no!"
In eight words, “No, because of the law of diminishing returns."