A PPC ad or pay-per-click ad is a form of online advertising in which advertisers pay money to search engines every time an ad is clicked. Hence, your PPC campaign works on money, and so, it is a logical decision to create a report that is able to measure and represent the data of the campaign’s result that will help you not only optimize the ad campaign while also spend the money wisely.
In this blog, we will discuss what a PPC report is and why we need to create it. The PPC reports help to measure the campaign performance and assess the changes required to improve the performance of the ad campaign.
By analyzing these reports, you will be able to compare your campaign’s performance and make uniform decisions for your PPC campaign.
What is PPC report?
As the name suggests, a PPC Report is the representation of data in the form of a report that charts the performance of a PPC campaign. These reports provide an overview of how the ad campaign is performing, whether they are meeting the set goals and what can be done to optimize it further.
The PPC report helps in understanding the flow of data. They quantify the data and provide a holistic view of your campaign which is critical in analyzing trends and patterns that have an impact on your ad campaign. Getting in touch with a digital marketing company, you can outsource PPC report services and analyze what PPC metrics need to be worked on.
A PPC report is only as helpful as it is structured. Thus, you need to figure out appropriate PPC metrics like CPC, CTR, conversion rate, etc. that need to be included to prepare a good PPC report as these would help you in understanding how these key performance indicators (KPIs) are affecting the return on investment (ROI).
What are important metrics to measure in a PPC report?
There is a huge amount of PPC data that needs to be acknowledged when it comes to assessing the campaign performance of a PPC ad. This data can be found under different metrics which help to understand the performance of your ads. When it comes to PPC campaigns, it’s important that you use and apply a group of different metrics that’s relevant to your goals to understand the campaign performance. You need to set clear goals when setting your ad campaign and choose the appropriate metrics to measure whether those goals are being fulfilled.
While each and every metric is important and paints a different aspect of the ad performance, below are some of the most important and common metrics that all advertisers focus on, irrespective of the goal. You can even consider to outsource PPC report services to a digital marketing company as they have expertise in preparing the report that yields the best ROI for your ad campaign.
So, let’s get started!
- Impressions
Impression is a metric that is used to count how often your ad is shown in the search results or on the Google Network. In practice, for every appearance of your ad, it is counted as one impression. With a clear understanding of impressions in digital marketing, you can incorporate them to improve your ad campaign performance.
- Clicks
A click is a metric that used to determine the number of times a user clicked on your ad that directed them to your landing page. When the user clicks on the blue headline of your ad text that is displayed on SERPs, then that is counted as a click.
Google ads considers a click even if the visitors don’t reach your landing page, which could perhaps mean as it may be temporarily unavailable. This can result in the number of clicks on ads and the number of visitors on the website not adding up.
- Click through rate (CTR)
The CTR measures how often your ads are clicked to the number of times your ad is shown. The more clicks you have the more your ads are targeted and cater to the need of the users. However, not every time a user clicks on your ad finally purchases a product or service, so you need to measure this effectively to measure the performance of ad campaign. CTR varies according with time and should be monitored on a monthly basis. You can even outsource PPC services so that the experts can provide clear insights on how to improve CTR.
- Cost
Cost is the amount that you’re investing on the PPC search terms. Analyzing the amount that you spend on ad campaigns, you can figure out the ROI and work on optimizing the cost per conversion.
- Conversion
Conversion is an activity that is counted when the visitors who landed on your website take an intended action that’s valuable to your business. Depending on your business goals, your conversion may be online sales, lead generation, email signups, phone calls, etc.
- Cost per click
Cost per click is the amount that advertisers pay to search engines every time a click is made on their ads. It is a very important metric to make your ad campaign successful. A CPC can vary from business to business.
- Revenue
Revenue is the total amount that is being produced by your ad after deducting all the losses. It is the gross income from which cost is deducted in order to determine the net income.
- Conversion rate
Conversion rate is the rate at which the audience is interacting with your ad after clicking on it. The formula for conversion is represented in percentage form.
- Impression share
Impression share is the measurement of the percentage of all potential impressions that your ads are getting for your website. Google breaks down lost impression share in two categories:
- Cost per conversion (CPC)
The amount that you pay when you get a sale or a lead is called cost per conversion. Suppose you selected to spend $100 for your ad and the total sales you get is 4 then for each sale you spend $25. That could be a high or low cost per conversion depending on the sale amount of the product. Let’s say the product you sell is of $100, then the cost per conversion is less and if the sale amount is $20 then it is a high cost per conversion.
CPC is variable and depends on how much the sale is worth to you. You can determine your profit margin accordingly and can set cost per conversion for each of your product lines. You can outsource PPC services so that the experts can work on optimizing CPC and save your ad budget.
- Return on ad spend (ROAS)
ROAS is the value that you get in return on your PPC expenditures. It is calculated by dividing the profit of an ad campaign by the total investment in that ad campaign. It is an indispensable metric as it states what kind of return could be expected if you spend more or less on your PPC ads.
Types of PPC report
Below are a few types of PPC report that can help you track the performance of your campaign on different parameters.
- Account audit report
PPC auditing is used to measure the performance of any pay-per-click campaign. You can create an account audit report to identify errors, uncover new growth opportunities, monitor the ROI of your ad campaigns and evaluate the performance of your ads. You can also assess the performance within multiple campaigns.
With different tools like the Ad preview and Diagnosis tool, you can identify the areas that need to be optimized, or work on bid adjustment to see whether your investment is yielding the desired results.
- Wasted spend report
With this report, you can easily identify those factors that are causing wasted spend and draining money out of your campaign. Some of them are as follow:-
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- Poor keywords
- Irrelevant clicks
- Relevancy
- Under-optimized ads
This report is not just going to tell you about the amount of campaign budget getting wasted but also helps you understand the reasons behind it. By analyzing the wasted spend report, you will recognize the reasons that are causing a negative ROI. For instance, it could be that a particular match type isn’t working in your favor and is the reason for a negative ROI.
- Budget utilization report
The Budget has always been the top priority for any PPC campaign. With a budget utilization report, you can analyze ad campaign budget in different ways like:
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- Bidding of device
- Bidding of keywords
- Campaign budgeting
It is extremely important to keep an eye on the areas that are either eating up more of your budget or less. With this report, you can detect the areas that are costing too much by reviewing various factors like keywords match types, device performance, etc. To have the best utilization of your ad budget you can hire experts from a digital marketing company.
- What’s changed report
Comparison with the past data is important as this gives a clear idea of whether your PPC campaign is impacting the business positively or not. With what’s changed reports, you can draw visual insights on data by using a custom time period. You can use several parameters to create reports based on time like MTD, QTD, or YTD reports.
With the help of these insights, you can make smart decisions that improve the performance of your PPC ads. There are various key metrics that are offered by what’s changed reports like:
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- Impression share
- Quality score
- CTR
- Average Position
- Cost per conversion
- ROAS
This report is also used to identify different KPIs (Key Performance Indicators) and know more about the campaign’s data that you can compare to learn about performance progression from one PPC cycle to another.
- Device performance report
We all are living in an era of technological advancement. We know that most of the searches are on mobiles today so having a mobile-first index and an optimized landing page is very important but there are other devices too.
You should know the type of device which is giving your ads more relevant audience and for that, you need a device performance report. This report provides you a detailed view of the PPC status for every device performance.
- Geo performance report
It is quite possible that you are running business campaigns for different areas and if so, you will want to know which area is the most profitable for your business. For that, we use a geo performance report that tracks the performance of different locations.
This report includes an analysis that gives such locations where the impressions or clicks on your ads are more than 80%. Furthermore, it directs your PPC campaign strategy for better ROI by calculating metrics in each area.
- Significant keyword report
Keywords are the basis of a valuable PPC campaign analysis. You should do PPC keyword research before going further. You can use different tools like Google Ads or Google Analytics for keyword research. Well, with the help of the most significant keyword report, you can monitor performance, fix issues ruining your PPC ad campaign and look for new opportunities to increase ROI.
With keyword report, you can enhance your bid strategy to focus on those search terms that are contributing most to the ad campaign. You can also pin down such keywords that are valuable to your campaign plus monitor the performance of a particular keyword which works as a seed keyword to set up your ad campaign. Keyword reports help your campaign at different levels and by analyzing them you will definitely get ways of fixing problems.
- Funnel performance report
This report is the key in understanding how exactly the campaign is performing from costs of the keyword to the amount it will cost in converting a visitor. As it is a comprehensive report, you can break down each part to ascertain which parts gave you the best ROI.
Funnel performance report are the best for a 360-degree analysis if our account. Another excellent opportunity that it provides is that you can perform A/B testing of your ads and chart the results in the report. From there you can assess its impact on the funnel.
Closing thoughts
A PPC report helps to analyze the performance of a PPC campaign. A PPC service provider agency always creates these reports so that they can measure and present the performance of the campaign to their clients. With the PPC report, you can easily analyze the performance of your ad campaigns and figure out if the results are fruitful or any change is required. Still, if you find the process cumbersome then you can get in touch with a digital marketing company that excels in preparing PPC reports.
Well, in this blog you must have got enough information about the important PPC metrics and different kinds of PPC reports. Hopefully, you will find the blog informative.
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