As the world shifts to a primary online model of communication. Social media and different internet platforms have become the way to meet people, see what their interests are and basically show you who your market is. As a seller, one of things you can do is to use this to your advantage.
Planning for a successful Google AdWords campaign requires you to know how to appear for relevant searches in Google and how to manage your spend on advertisements to generate sales
Read: Unlock your full potential with Split Dragon’s Extensive Solutions for every Seller’s Needs
Unfortunately, most sellers and brands don’t know who sees their ads or the conversion rate from their ads.
As such, it’s important for sellers to understand the google ads (type of advertisements and strategies) available to them before they start diving into serious advertising spends.
If done well, google advertising has the ability to create significant revenue and organic search rank for Lazada sellers (since we know Lazada’s search engine relies on sales last 15 days and sales last 30 days to determine search rank).
Common Types of Google Ads Used By Lazada Sellers
Google is an advertising giant that has control over a massive audience. When you schedule an ad with this Google, you are almost guaranteed to reach a large audience on the very first day of your advertising. Google has several advertising solutions for different seller needs. The most common are:
- Google search ads
Google search ads appear after a user makes a search using the platform. They have an ‘Ad’ prefix to show that they are promoted. You, as a seller, can dictate what to include or what not to in the advert. You can see an example google search ad below:
- Google shopping ads
These are Google’s advertisements that have a ‘sponsored’ tag at the top when a user searches for a product on google.
For a Lazada seller, this is considered to be one of the best ways to advertise since it incorporates images that are more likely to be clicked by a prospect. You can see an example of a Google shopping ad below:
- Google re-marketing ads
Remarketing ads allow you to follow a prospective customer around the web with the intention of trying to persuade him/her to return and buy a product that they previously viewed but did not purchase.
This is how it works – if a person visits your website and then leaves, then an advert that is related to the products you are selling will follow them in most of the other sites they are viewing. This is meant to convince undecided buyers to come back to the website. It is also common knowledge that most customers like to compare products over different pages before settling in one place so following them with an remarketing ad may shift their attention into your site at the end.
Right now, remarketing ads tend to have the highest return on investment.
- YouTube Display Advertisements
This type of advertisement needs you as a seller to come up with images, videos, and audios since it doesn’t rely on text and will appear within Youtube in a video format.
Here, you can display your ads using either the interests or demographic that you set. You can also set your ads to appear for certain Youtube search terms.
The Numerous Attribution Models of AdWords Campaigns
You can choose advertising from different attribution models so that you increase your path of conversions. Basically, attribution modeling refers to the method for calculating which advertisement resulted in a conversion (since it’s possible that a buyer might have seen more than one of your advertisements). Google AdWords offers six models already known from Google Analytics, which allow for attribution on the following.
- Last Click Attribution
In this method, the last indirect jump determines all the conversions. Here, you need to add indirect links since no conversion is sent to the tracking tools for any conversion achieved from accessing the shop directly.
- First click
It is the initial click that takes place within the early 30 days. It takes place during the cookie lifetime of a product display on a channel.
- Linear
Distributes conversions on all channels equally.
- Position based
Both the initial and last clicks are given the same weight. For instance, the first and the last click are both given 40% while the intermediate gets 20% share.
- Time-based
Shows the total in Google AdWords interactions (ad clicks/impressions). It helps in completion of conversions.
- Data-driven
This compares the converting customers vs. those who don’t and depends on those who have clicked on the advert. Data-driven attribution can give you guidance as a Lazada seller on how to position your ads.
Several of these models could be appropriate for your company and attribution is frequently a hot-topic in online advertising circles. If you’re a small seller, I would encourage you to not spend too much time on attribution modeling. If you’re a large seller, you can test attribution modeling for a defined period of time in your AdWords account to determine what is the best approach for you.
Always Use Conversion Tracking
Google has a tracking mechanism for all the activities taking place after a user clicks on an advert. You should take advantage of this accurate tracking as a seller to boost your e-commerce shop and better understand the cost/benefits of your advertising.
By using conversion tracking, you can gain some knowledge of how many conversions your advertisement makes and work out a break-even analysis.
You can also judge how much revenue your costs make and the campaigns that perform best or worst.
Remember, it is not just about having more people visiting your products but having them convert into sales.
Always Define Your Goals
You should have in mind what you are willing to spend on every conversion before using google advertising. This way you can make the entire procedure add profit to your business as a Lazada seller.
We can walk thru a simple example for you. I sell basketballs and make $5 profit per basketball sold. Accordingly, if I can generate a sale for $5 in google ad spend, then I break-even. If I can generate a sale for less than $5 of google ad spend, then I’ve found what I like to a call a ‘money tree.’
The following technical tips will help you control your goals:
- Set Your CPR at maximum
CPR refers to the cost per revenue structure. It is a ratio between the turnover and cost in your business. The investment amount often is a personal decision and is based on the profit margins and discounts of individual products.
The advantage of setting your CPR at a maximum is to maintain a constant revenue cycle.
- Have the right account structure
Campaigns and ad groups define the structure of your account. You should, therefore, develop each basic structure individually for great performance and product portfolio. Setting up your ad structures correctly will allow you to AB test as well.
- Have the right content structure
Content is just about everything in advertising. If you don’t have the right content, then you are on track to tragedy even when you use advertisements.
In addition to good content, you should also know how to use the right keywords. Separate generic from brand keywords for better success.
Brand keywords rarely get any competition and get a high score on google. This will make you pay lesser click rates for your ads when you use them. The performance of a brand campaign mostly lies in the familiarity your shop has or demand so unless you are a large seller, I usually advise advertising toward the specific products.
- Structure your ad groups well
Each search term grouping should have an ad group. Consider the following for ad groups:
- The advertisements that are on an ad group should be aligned with the search term.
- An entire keyword set has variations in search term.
- The landing page should be similar to the ad and search term. This makes it easier for a prospect to find whatever they are looking for.
- There should be high consistency in the landing page content and selected keywords. You should also have an impressive CTR so that you get a high score from google on the keyword. When you have a high score, the cost per click goes down.
Effectively screen your web traffic
Remember that its not always about the traffic alone but also the conversion it brings. In general, traffic brings no value but conversions bring revenue and profit.
The prospect must be able to easily find what he/she is looking for after gaining access to your site thru clicking on ad. If he/she cannot, you will have many clicks and no sales or conversions.
The best way to work around this is to work with your keyword options and setting negative keywords appropriately. Doing so will help to reduce your costs when paying for google ads.
Continuously Improve Your Campaigns
It’s nearly impossible to start advertising and get it perfect the first time. For this reason, you need to set a bi-weekly cadence to check the performance of your campaigns and optimize them using the tactics outlined above.
Want to stay on top of the competition?
Split Dragon offers support with your e-commerce needs using conversion-Focused tools and data-driven solutions. Contact us today to see how we can help you with tailored strategies that will drive your company’s success!
Read Next: How to Attract Customers on Lazada and Shoppee
Split Dragon will be a part of this year’s Philippine SME Business Expo Happening at the SM Mall of Asia Convention Center this May. Visit our booth to see how we can boost your business and help you achieve your goals.
