Decrease Advertising Costs and Increase Conversions by Targeting Traffic
September 22nd, 2009 / 19 Comments
Pay per Click (PPC) advertising can be a highly competitive advertising method; and as its popularity grows, so does the cost. Only the most effective campaigns are likely to survive longer than a week. Now, advertisers must work hard on saving advertising costs while also trying to improve conversion rates and maximize profits.
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| “With PPC, money is spent on potential customers, not just uninterested web surfers.†|
How can an advertiser manage that? First, you must realize that all clicks are not the same. In the past, internet advertising was concerned with getting the most traffic as possible. Nowadays, advertisers have begun to realize that quality of traffic is more important than quantity for increasing conversions.
PPC advertising has become increasingly popular because advertisers are not paying for exposure, rather they are paying for results. Advertisers pay for every individual visit that an ad campaign brings to a landing page or website. Money is spent on potential customers, not just uninterested web surfers.
However, the key to PPC advertising is targeting the right traffic. Keep in mind that some customers will buy a lot, while some won’t buy anything at all. In order to focus on the customers that will buy a lot, an advertiser needs to target each ad campaign.
If an advertiser has a conversion rate of 5%, this is a great start. Still, this means that 95% of visitors to the website or landing page are not buying anything. Advertisers should be able to track where most of their visitors come from. In order to increase the conversion rate, focus on the 95% of visitors not buying your product.
Stop spending so much money on the people that are visiting the website but not giving any information or buying a product. Instead, focus on the 5% of visitors that purchase the product and work at targeting traffic similar on potential customers.
For more information about targeted traffic and pay per click PPC advertising campaigns, visit http://www.admanage.com
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