Google Online Marketing Bootcamp (2nd online session) —Understanding how search advertising works
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Google Online Marketing Bootcamp (2nd online session) —Understanding how search advertising works


ANASTASIA: So hi,
everyone, and welcome to the second session of
the Google Online Marketing Bootcamp. My name is Anastasia. I’m the Account Manager of
the Norwegian team working primarily with the
launch advertisers. And together with me I
have 2 and 1/2 Googlers, really smart guys
who have joined. Yeah, OK, they’re not
really Googlers so we have– MARTIN VERGEER: Can we
take off the hats now? ANASTASIA: Yeah, you’re
allowed to take off your hats. So we have two
specialists with us who have kindly agreed
to join our session and share their insights
and their experience on the areas such as
Search, how Search works, and we’ll talk a little
bit more about this, and also commission tracking. So, yeah, shall we do a
quick round of introductions. MARTIN VERGEER: You
can kick it off. SOFIA NILSSON: Hi, guys. My name’s Sofia. I am [INAUDIBLE] support
team working especially with measurement products. So I’ve been working
with Google Analytics. And now I am focusing more
on conversion tracking. I’ve been with Google for a
year and 1/2 based in Dublin. MARTIN VERGEER: Excellent. And I’m Martin. Hi, guys. That’s a really great picture. SOFIA NILSSON: Yeah. MARTIN VERGEER: Super Irish. SOFIA NILSSON: I did my best. MARTIN VERGEER: So
I work in Dublin as a Search Specialist
for the Dutch Team, and I’ve been with Google for
about two and a bit years now, mainly focusing on Search. ANASTASIA: Thank you, guys. So if you have started to
review the certifications, so if you’ve started
to look at the AdWords fundamentals and
the Advanced Search, you would know by
now that we as Google offer companies the options
to advertise across Search, Display, and YouTube. So on Search, the companies
can route their text ads and shopping ads. On Display, they
have other options such as image ads, banner
ads, and even text ads, which they can run across
the different websites on the internet. And finally on
YouTube as well, we have a variety of
different video formats. So Display and YouTube
are going to be a topic of this session which
comes in exactly a week’s time. So not next week
but the week after. But this session
and the next session will be focusing
primarily on Search. So the idea today is to give you
an introduction into how Search works and also help you
understand how you can navigate the account, the different
elements of the AdWords account, and the components
of the campaign structure To help you set the campaigns
up and work effective way. And more specifically, we
will look at what types of ads you can have on Search, where
the ads will actually show, and again what you can
actually do with your ads to make sure that they appear
among the first results. So text is optimization
that you could do there. And finally, as I
mentioned, Martin will also show us the structure. So we will work a
little bit with that. Another really, really
important component, before you even start setting
up your Search campaigns, you will have to
make sure that you have your conversion tracking
set up properly and correctly. So Sofia will take us
through the different options and also tell us a little
bit about the different uses of conversion tracking. SOFIA NILSSON: Sure. ANASTASIA: Anything I
have forgotten to mention? MARTIN VERGEER: No, I
think that’s very much it. That’s it. ANASTASIA: Good. All right. So throughout the session,
you will have a chance to post your questions. There’s a Live Chat on beside
the video that you’re watching. If you don’t see that
Live Chat, then it’s very likely that you’re
probably watching this video from the GOMB website. If you are on the
website, and if you just take your mouse over
the video [INAUDIBLE] in the right-hand
corner basically you’ll see a YouTube logo. Click on that. It will take you to
the YouTube channel. And then once you are
there, you will actually see the Live Chat. Please post your
questions throughout. We will try and address
some of those questions, depending a little bit on
time and how much time we spend on this. For all the questions we
won’t have the time to answer, we will take them to the G+
Community and make sure that we actually give you
the answers to that. So now I will steal a little
bit of your time still guys. So you’ll have to wait
for a little bit more. And before we deep
dive into Search, I just wanted to start with
a few housekeeping points to ensure we are
all on the same page and that everybody knows
what your focus really should be this week. So first of all, if you
still haven’t formed a team, you should really be
thinking about this right now and also you should be
selecting a team captain. If you do not have a team
yet, you do not really know the students or which other
students have registered from your university, we have
created a document and shared the document with you
on G+ in the Community. Use that, find the correct tab,
and just fill in your name. And hopefully that will help
you to connect with your peers. We had received a
question on whether you can work with the students
from the other universities. That is absolutely fine. The only thing to remember is if
you are issued– in your group, there should get at
least one student that comes from the same
university as the professor that you will be
registering under. So if your professor
comes from university X, then you need at
least one student coming from that university
[INAUDIBLE] to understand it. So once you have a team,
it’s only team captain that needs to register for GOMC
under a specific and dedicated professor. So not all the members of the
team should be registering. It’s only a team captain. Which Professor you have is
something that either has been communicated to you directly
already or maybe you will be receiving an email about this or
yet another way of checking who your professor is and their
email address is, again, going to that shared
document on the G+ Community. Selecting a business
is also something that is really, really
important for you to think about this week. Remember to first of all
review the recommendations for choosing the right
business on the GOMC. So on the Challenge website. I absolutely recommend
you to also check the examples of the pre-campaign
reports and the reports and the examples
of the businesses that previous students
have selected, simply just to get an
idea of what worked well and just to get a little bit of
more varied examples on that. The businesses really can
be both big and small. It doesn’t really matter. So the size really
is not the factor that is the most
important in selecting it. What is probably
more important is for you to try and avoid
the competitive sectors and competitive industries. And there are some
industries which we kind of know by definition
would have more competition. So for example,
insurance, probably businesses within finance,
they would typically be a little bit
more competitive. And the reasons why
suggest to avoid them is because you
have a set budget, and you probably won’t be able
to really compete with them. And there are also other
businesses that would simply have a few restrictions on
them in terms of what they can advertise and how much. And the typical would
be alcohol, for example, and gaming. So try and avoid
those businesses. More examples of
them and sectors will be, again, on
the GOMC website. How you can identify
and know for sure whether it’s competitive or not,
well, there are different ways. The most basic and simple
one would be for you to actually just Google them. Just Google, and they’ll
do a few searches and see if you get a
lot of results back and a lot of the ads
coming up, then probably that’s an indication of there
being a lot of other players bidding on the keywords that
you will probably be bidding on. And another way,
which is probably a little bit maybe
more scientific way or more secure way of
doing it is actually using a keyword planner. A keyword planner is a tool
we will look at and go through in a little bit more detail
during the next session. But really nothing should stop
you from just exploring it. Just find the materials. There are plenty of materials. I’m sure there’s probably
even a Hangout in there about the keyword plan
and how to use it. So just please feel free to
go ahead and try that out yourself. One more thing to
mention when it comes to selecting businesses. And again, probably
you wouldn’t be thinking of this
as the first thing, but it’s actually
quite exciting factor, and that is the Landing Page. Because at the end
of the day, it’s your Landing Page that will
be converting or helping to convert those users coming. So it’s only that much
we can do in terms of sending that traffic. But we also depend on
a good Landing Page. And also Martin will tell you
a little bit more about this. So Landing Page,
how mobile friendly it is, how user friendly
it is can actually have a major impact on
the campaign results. MARTIN VERGEER: Yeah. ANASTASIA: So have
a look at that. There are specific Landing Page
and Site Quality Guidelines which you, again, can
find on the website. So I keep sending
you to this website, so I hope I really got my
message through also last time when I would say
really I recommend go through all of the website. There are a lot of links
that are really helpful. And one final thing on
selecting your business, before you decide to–
actually regardless of whether you are phoning them
or whether you’re sending them an email, there is a
template for a letter that you can send to businesses. Go through that, simply
because it can give you a better idea of how you can
position this competition when you actually
propose to businesses or ask them whether they would
like to work with you on this. So a couple of pointers there. Hopefully they are helpful. Some other things– if
you haven’t started, these sort of details
are really important. If you haven’t started
looking at or going through the certifications
yet, this is the time. Really start deep
diving into AdWords. The two maybe
certifications that are really important for
now would be the AdWords Fundamentals again, because
this is more about Search. So this session and next
session again are about Search. Go through the fundamentals,
go through Advanced Search as well, because these
sessions are really meant to give you the most
important things, the most important information
which we feel is really key to understand,
which really I don’t think you can kind of explain
that you will be fully ready and [INAUDIBLE] to start running
your campaigns after just watching this. So set aside some
time and go through those additional materials. And finally, a really, really,
really important thing, and this is actually the
last thing for me, I promise, and that is one thing
is listening to us and reading about this or
listening to other people telling you about
AdWords and how things work and a
completely different thing is actually sitting
in the account and doing that in practice. So my recommendation would
be create a test account and start playing a little
bit with the Search. So after the session,
really create that account, go in, try to understand what
is the account level, what is the campaign level, where
do we have the keywords? How is this whole
thing organized? Very, very important. If you created in a normal way,
the way businesses would do, you would have to put in your
billing information, basically your credit card. We don’t really
want you to do this, and we don’t expect
you to do this. If you go via a link
on the GOMC website, again, sending you
to the same place, but if you go to the Frequently
Asked Questions section and then under
Competition Logistics, there would be a particular
part or section where they will be giving you a link. If you follow that link
and create an account through that link,
you can skip filling in the billing information. So you don’t need to
use your credit card. Yeah, so create an account. A lot of things from me and,
yeah, I promise this is it. So let’s move on and
start looking at Search. And I think first
of all, let’s even understand where are
the ads when we look at the Search results page? MARTIN VERGEER: Yeah, let’s
really start at the basics. So when you Google something in
Google, and I’m sure all of you guys did that, there
are a couple of layers that you see in the
Search Result that are kind of different things. And you might not have
noticed how they differ, but there are a
couple of sections. So first of all, at the top
of the Search Result page, you’re going to see the
query that you typed. So that is fundamental
for AdWords. We’ll get back to that
a little bit later. If you look at the structure
of the Search Result page, there are actually
three components. So the first one is the
product listing ads, so the shopping ads. So those are ads
that show a picture, but actually the advertiser
is paying for the clicks that people perform
on those pictures. It’s very intuitive. In this particular case,
someone is looking for diapers. You click on a picture
that shows you diapers, like it’s super intuitive. And the second layer, and that’s
kind of the most familiar one from a Google perspective
because it’s a lot older than the shopping
ads, are a text ads. So on the text ads,
you have a lot of room to kind of tell people about
your product, about what you’re offering. There are a lot of
extra components that you can add there as well. So AdWords was kind
of fundamentally based on those text ads, and
the shopping ads kind of came a bit later. And then below that, you’ve
got the organic results. So the organic results
are non-paid results. So in that sense, Google is
kind of determining in relation to the query what’s the
most relevant page for you, but it’s not being paid
for by advertisers. So it’s an organic
ranking in that sense. So having an understanding
of how that builds up, it’s really important to
understand as well how AdWords kind of works. So that’s what we
get started with. Now, if you look in particular
at AdWords, maybe it’s good, but a lot of people ask why do
I want to do AdWords if there are organic rankings, right? ANASTASIA: Yeah. MARTIN VERGEER: So
Google tells me this is a super relevant page. Why do I need the ads? Somebody’s going to
pay for the clicks. But there are a
lot of reasons why you might still use the ads. So just to give you
a couple of reasons, it gives you a lot more control
over the message that you’re actually sending out. So with organic,
Google pretty much determines what’s in
the organic listing. So it will often take
the name of the page and maybe a snippet of
text from the website, but you have no or very
little control over that. But say if you have like a
promotion that you want to show or a particular
product when someone’s looking for
something, they should have the room in the ad to show
that, explain to them why they should buy it with you,
and maybe show them some other products that
might be relevant as well. So for example,
with the diapers, they might also be
interested in strollers. So having links in your ad
to direct them to strollers might be super
beneficial in themselves. Then the other thing is, as you
can see in the Search Result page, is that the
ads show at the top. So they press down the organic
listings a little bit as well. So if you want to make sure
that people are able to find you when they’re looking
for your product, you actually have to make
sure that you’re on top. So it gives you extra
room in the search results to actually show
your product and see if you’re being pushed down. ANASTASIA: Right. So maybe just
having both of them. Like if you have strong
organic and then also like taking space. MARTIN VERGEER: Yeah. ANASTASIA: Making sure
that you’re actually present in the searches
that are relevant to– MARTIN VERGEER: Absolutely. The things I– and I
think a lot of people kind of overlook that, is
that a lot of the clicks happen above the [INAUDIBLE]. And you might add the area
that you see immediately when you get the Search Results. So people, even though
it’s like a small action, people don’t really scroll. So if by doing that,
you kind of ensure that both your ad and your
organic listing are there, it also means that
people are very likely to visit
your website instead of going somewhere else. So having both is
extremely beneficial. And like I said, it gives
you a lot of control over what you can
show extra as well. So what I said about
strollers, and I’m not sure if we can show the example. But the example shows
that even though someone is looking for
diapers, you actually have the power in
the ad, and you can see that in the bottom
circle, show a lot of products as well. Because you Might not
only be selling diapers, you actually want to make
people aware that you sell more products as well. And especially with babies,
there’s a lot of stuff that you probably need,
so showing someone to come to your website,
even though you’re called diapers.com,
you still have a lot of other products as well. So it gives you a
lot more control over the message that
you’re sending instead of what you see
with organic results and have to depend on Google. And then the second layer is
also like after the click. And you mentioned
it as well in what you were saying about the
Landing Page and the importance of that. So the click is only
one part of the story. People land on your
website, and you kind of want them to do
something there which is beneficial for your business. So what the ads allow
you to do is actually test with different
landing pages. So does it make sense
to, in this case, land on a page where you’re
just going to show diapers, or does it make sense
to land on a page where you see all kinds of
products that are for babies? And you can actually
measure everything. So someone that
lands on this page might perform very
different from someone that lands on the
page for just diapers. And looking at the
conversion rates, having an understanding
of which one is more likely to lead
to buying something is something that
you can do a lot in AdWords and with Search Ads. Then the other thing, and
I’m quite sure they’ve all used it is,
especially on mobile, there’s a lot of
information on location. So in our case, if
you’re in Dublin, you’re going to get
search results that tell you things about the area. So if I’m looking for a
flower shop, for example, it’s going to show me results
for the area that I’m in and where the closest
flower shop is. But here kind of the same
thing applies as well. We’ll Provide organic
ranking, which will often tell you where the
shop is, if they’re still open. Maybe, as in this
case, how to get there. But for you as an
advertiser, there’s not really a way of explaining
why people should come to you. So that makes it
still relevant to have ads where you can actually
propose to people, look, you’re looking
for a flower shop, and we have the best discount
you’re ever going to find, and we’re super close. So it’s, again, something
that works together very well. You’ve go your organic
listings and the ads gives you a lot more control
to actually drive business. Does that make sense? ANASTASIA: It does. I actually have a question. So would you then say
that the information you should be including
into your paid text ads, those results that
can be coming, does it need to be different? Like do you always have to think
that what you show organically is already there so you should
be informing of something else? MARTIN VERGEER: I
think the best– like there’s not really one
conclusive answer to that. I think the best
answer is to test it. So that’s another cool thing
about AdWords in general is that you can test
with multiple ads. So if you put it an ad
that’s quite similar in scope to what you would see
in the organic listings, you can actually test
if that works better than an ad that’s very
explicit about, I don’t know, your discounts or other
services that you offer. So that kind of helps you
as well to kind of figure out what people find important. Is it the discount? Is it the fact that
something is in stock? Is it the fact that
you’re super close? So that really helps you. So use organic rankings as kind
of an indication on what Google finds important. And pick out the elements that
you want to test in your ad. There might be some
things in there that work very well in there. There might be things
that work not so well. You’re going to be
able to figure it out. So having multiple ads
tested at the same time is going to be very beneficial. ANASTASIA: OK. So the takeaway here,
have multiple ads and try out the different
things to see what works. MARTIN VERGEER: Exactly. And just to keep it
easy, especially when you start out ads,
if you don’t have millions and millions of
budget, start with two ads and make one small change. So make one change
in the headline, for example, because if one
works better than the other, you actually know that
it’s that particular part. So if there are three
things that are different, you’re not really sure
which part of the ad was actually making
the ad perform better. So if you just
change the headline, make a small change in what
you want to communicate, you can actually see
that much better. And also be sure to
look at the metrics, and I don’t think we’re going
to go into this metric too much today, but– ANASTASIA: We’ll have
a session on that. MARTIN VERGEER: Fair enough. Then we won’t have to
go to deep in that. But there are different
ways of measuring success. But be sure to kind of
incrementally improve your ads, like changing small bits and
understanding what’s actually helping your customers better
because that’s, in the end, what we’re trying to do. SOFIA NILSSON: We’ll also
talk a little about that in [INAUDIBLE] actually. MARTIN VERGEER: Oh, really? SOFIA NILSSON: Yeah. MARTIN VERGEER: Nice. Nice. ANASTASIA: You’ll see. MARTIN VERGEER: You’ll
see we’re all covered. We’re all covered. OK. Let’s go into the
nitty gritty of it, because it was actually
funny, but when you talk about it,
explaining to your parents how the auction works and
how Search works is always a bit tricky. And we were just
talking about it before the session
that sometimes you get so caught up
in Search that we have to go back to the basics. So let’s start with the basics. Search seems fairly simple,
but there’s a lot of complexity when you go under the hood. So when you look at the
auction and the ranking within the Search Result,
there is a super smart system behind it. In principle, there
are three components that you have to be aware of. First of all, it’s your bits. So you’re paying per
click in AdWords, and you actually
tell Google what you’re willing to pay
for a particular click. And that’s going to be your bid. So in determining
the order of who’s going to be in
the search results and who’s going to
be up top and who’s going to be number four
the bid [INAUDIBLE]. But it’s not the only thing. A lot of people seem
to kind of assume that if I just bid high
enough, I’ll always be in position number one, and
that’s not really how it works, which is why the second
component is there, which is a quality score. And this kind of say
Google’s secret sauce. So the quality score,
and when you go and play around in your AdWords
account, you’ll see a quality score
attached to keywords. So I’ll get to the keyword side. But it’s normally a
ranking between 1 and 10. That’s what you’re going
to see in AdWords account. But in reality, it’s actually
a really complicated metric. There are hundreds of components
that make up a quality score. But to bring it
down to easy terms, it principally says are
you advertising something that’s relevant for users? Do you have a relevant ad, and
do they come to your website and then find what they
expect to find there? That’s in principle
what you’re going for. So are you delivering
high-quality content with a high-quality
ad that’s targeted to users that actually look for
a product that you’re offering? So that’s really important. We’ll get to the quality
part a bit later as well. And then the last bit
is the extensions. So especially with
text ads, there are a lot of things
that you can control with the messaging in the ad. So there is a headline. There is like a text underneath. But then there are
also extensions. And extensions are like
smart additions to the ad that you can add to the
ad to give a little bit more information. And there are a lot
of different ones. Just to give you a brief
review, and this is probably not the clearest slide to go
looking in one [INAUDIBLE], but there are still– ANASTASIA: Sorry about that. I did good feedback. MARTIN VERGEER: It is
almost impossible to, boy, because there are so
many extensions now. But they all their
little purpose. So just as an example, Location
Extensions are really cool. So especially on
mobile, you can actually set the location of your
business, which would be separate from the ad text. It would be a separate
extension, which tells Google if someone is in the area. This location where my store
is will be added to the ad. So there are a lot
of small snippets that you can add to your
ad to make it more relevant and to direct users to your
product on your website. So extensions are
important in determining the quality of your ads and
likely if they were clicking. But the main focus should still
be on optimizing their bid and especially quality, because
the quality is fundamental. ANASTASIA: So out
of the three, you would say that the
quality and the bids and then there’s extensions. Do we say something is more
important or less important? MARTIN VERGEER: Well, the
thing is it all ties together. But in the end, you’re
going to be best off if you provide high quality. So someone is looking
for something. You want to be there
with an offering that makes sense for that person. And then you want them
to come to your website and find something
that they want to find. So in principle, it all comes
back to you, in the end, wanting a conversion,
whatever that may be. So optimizing towards
that means that you have to provide high quality. And then the bid kind of
comes second in that sense. The bid is important to
determine your ranking. So it allows you to
get more people in. But you want to make
sure that you bring in the people that actually– ANASTASIA: I also think that
actually this ties very much into the conversation we
had previously last week when you talked
about the quality, because of course
these are the ads. But as Google, we actually do
care a lot about the quality. So quality will always be
really, really important, because we, first of all,
we would like our users to feel that whatever we
are serving them or showing them is actually
relevant to them. So quality will always be
a very, very important part of this. And actually I
think you have more to say about quality, yeah? MARTIN VERGEER: Yeah. Like we started off, it’s
important to understand how the auction works
and not to rely too much on just selling high bids. High bids are like a short
cut to getting high positions. And in some cases
it’s necessary. But focusing on delivering
high quality really helps you. And maybe the best way to
explain how the auction works is actually on the next slide. So let’s say I’m
advertiser number one. We’re still looking
in the diaper auction. There are actually
a lot of advertisers that want to do something and
can promote their offering. But you can see
already in the example, there is a lot of difference
in the quality score. No apparently with
my diapers.com I am extremely high quality. So the ads are great. The line page is really good. ANASTASIA: So 10 is good. 10 is good. MARTIN VERGEER: 10 is excellent. Best query you’re going to get. ANASTASIA: So aim for 10. MARTIN VERGEER: Exactly. Well, you see the advertisers
that are below number one also have quality scores
which are a bit lower. So there might be something
suboptimal about their Landing Page or about their ads,
but we’ll get to that. But to understand
how the ranking takes place in the Search
Results, it’s important to
understand the ad rank. The ad rank is fundamentally
like the order. And the way you
calculate the ad rank is multiplying your max
bid by your quality score. And just to highlight
your max bid, in AdWords you actually set a max bid. And what you’re
actually saying is this is the maximum number that
I’m willing to pay per click. So in this case, it can be
a different final number, but I’m willing to
pay as an advertiser 2 euros in this
particular auction. We’re not going to go too
deep into how you determine like the level of your bid, but
it’s the same [INAUDIBLE] OK. No matter what
happens, you’re not going to pay more than 2 euros. So you enter that into AdWords,
then there’s a quality score. And it gives you an ad
rank of 20 in this case. So just to give a second
example, advertiser number two, they’re willing
to pay a lot more. So apparently it’s
very important to them to be in this auction. But since their quality
score is a lot lower, multiplying for 4 by 4 16, so
they’re in the second space– second position of
the [INAUDIBLE]. Does that makes sense? ANASTASIA: I think it does. I hope it does. I think it does. But also I think maybe it’s
that you were mentioning this, and I know we’re
talking about ad rank, but we also talk about
Search in general. MARTIN VERGEER: Yeah. ANASTASIA: I think also
probably worth just saying that even if you say you are
willing to pay two or four, and you’re setting
it as a max bid, you’re not necessarily
paying that. MARTIN VERGEER: No. ANASTASIA: No. MARTIN VERGEER: No. They’re going to get their– ANASTASIA: Oh, sorry. MARTIN VERGEER: [INAUDIBLE]
the slide so sure. But that’s extremely
important to stress, because often, especially
when you’re managing AdWords accounts, you’re implementing
all the bids and everything and, for some
reason, after a while you’re thinking this is
what I’m going to pay, but actually it’s not. It also ties back to like
having a high quality score. But we’re going to get
there in two slides. But this concept of how you
can rank in Search Result is extremely important. So on the next slide,
there has been a shift. So let’s say that advertiser
number two has decided they’re willing to pay
even more even though they have a low quality score. As you can see in
the example, it’s still possible to get position
one with a fairly low quality ad or low quality
score as long as you’re willing to bid high enough. So in this case, you’re
able to get ad rank 21, so they’re just past us, which
is really bad because now they’re in position number one. So you can see that there
is a relation between us. And you might say, well, sure. If you’re quality
score is somewhat low, why would you be
willing to bid so high? Because there is often
a reason why it’s low. So maybe you’re getting
people into your website in a suboptimal way. But just to give you an example
of when this might happen is if you choose to put up
ads for a competitor brand. So let’s say Diapers.com
has a strong competitor, and people are looking
for that brand name. You might want to
throw in that up there to convince them to
come to your website. Now, your quality score is going
to be a bit low, because you’re not as relevant,
because people were looking for the other brand. So you’re a bit
relevant, because you’re offering a similar product. But you’re not super relevant,
because they’re looking for something different. So there can be a
strategic decision to still take the
number one spot to compete with a
competitor in that sense. So there is still a way
to get it to number one. Now, back to what you
were saying about what am I actually going to pay. So the calculation’s
fairly simple. One thing that really still
amazes me, by the way, is this all happens while
someone was looking. So you often see how quickly the
search results actually pop up, and you see [INAUDIBLE]
around two milliseconds. This whole auction happens
while the page is loading. So that still blows my mind,
but kind of beside the topic. ANASTASIA: Quite complex, yeah. MARTIN VERGEER: So if you
look at what you’re actually going to pay, we’re back
in position number one. So advertiser one is
nicely on top again with a good quality
score and 2 euros. So what are they going to pay? The calculation
is fairly simple. You actually divide the
ad rank of the competitor below you by your
own quality score So here, having a higher
quality score will actually help you paying less as well. So in this case, for
example, in position one, the ad rank of the
advertisement below is 16. I have a quality score of 10. So that means 1.60
euro plus 0.01. So I’m going to pay 1.61 euro
for this particular click, if someone clicks. And that goes downwards as well. But if I had, I don’t know,
a 5 as a quality score and listed in position
one, that division wouldn’t have been as beneficial for me. So having a high quality score
will actually help you pay less and make it actually a
little more efficient. ANASTASIA: That’s really cool. MARTIN VERGEER: It is. It’s really nice. And it’s an important
concept as well, because it really should
motivate you to always strive for high quality. Even though you might be
in position number one, you get more relevant,
so you can also lower your cost, by example,
by helping your quality score. So that’s always
important to realize. Is this a coherent story? SOFIA NILSSON: It is
completely coherent. MARTIN VERGEER: OK. ANASTASIA: If it doesn’t, or
if you have any questions, please post your questions,
and we’ll come back to them. MARTIN VERGEER: Yeah,
it’s a tricky thing, and especially the speed
of it is interesting. It’s an important concept
to separate max CBC, which you’re setting in your account,
from what you’re actually paying. And then in relation to the
whole delivering high quality. So if we go back to the
quality, like I said, there’s hundreds of components,
but you can boil it down to three separate topics. So there’s ad relevance, there
is the landing page experience, and then there’s the
expected click-through rate. So those are the
three things that you can optimize that will help you
to get a better quality score, and all of them make sense. So ad relevance, for example,
has to do with the fact that you’re advertising
for particular keywords. So in this case, I’m
advertising for diapers– it’s a hot topic at the moment. I want to make share
that the ad actually– ANASTASIA: Nothing there. MARTIN VERGEER: I
don’t even know. I don’t know. Yeah, absolutely. I don’t know. Diapers. We’re going to get
into holidays later on, so we should be able to– [LAUGHING] So with regards to
ad relevance, you want to make sure that if
someone is looking for diapers, that they’re not going to
get an ad for holidays. You want to give them an
ad for diapers, right? So ad relevance
means, is your ad closely related to the keyword
that you’re bidding on? So that makes total sense. And the second step is the
expected click-through rate. So is your ad likely
to be clicked on? Are you offering something
that will actually help people and make them
come to your website? Are you offering
something really good? Are you offering
great delivery times? Is there another
reason why people might want to click on your ad
and not on someone else’s ad? An expected click-through rate
is sometimes a bit judgey. People are a bit hesitant
to see what it is. The way that Google
looks at it is, we’ve seen thousands and
thousands of auctions before with the
keyword “diapers.” And there’s an understanding of
how well an ad should perform when someone’s in position
number one, for example, for the keyword “diapers.” So we have an
estimation on how likely it is that someone’s
going to click on that ad based
on that position and that particular query. So your ad is kind of
measured against that. Are you overperforming
towards what we are expecting, which would
be a high click-through rate, or are you underperforming? And the way that you
can improve this, and that ties back
to the extensions, is offer a lot of
relevant information. Offer information
that will make people want to come to your website. Say, “We’ve got the best
discount ever, ever.” People want to click on that
and come to your website. So play around in
your ad text to ensure that it’s highly relevant,
and people actually want to come to your website. And then the last bit is
the landing page experience. If [INAUDIBLE] diapers
is the last time– if you click on a diaper
ad, and you land on a page where you see strollers,
that might not be as relevant as what
you were hoping to find. You actually want to find a
page where you see diapers that you can buy, right? So the landing page experience
is really important. Especially in retail, you
want to be somewhere where you can click a buy now button. You want to have a clear
overview of the cost. So there’s a lot of components
that help determining what a great landing page is. And I think we’ve
all been there. You all know examples
of bad pages, pages where you want to
go away, you land and you just want to leave. And other pages where you’re
going to buy immediately. You want to be one
of those pages. ANASTASIA: Yeah, exactly. MARTIN VERGEER: For sure. ANASTASIA: So if we were to
summarize a little bit and say, what exactly can you do to
improve the ad relevance, the– what can you do? What are the specific tips? You’ve mentioned some of them. MARTIN VERGEER: OK, bring
it down to three points. One, write ads that are super
closely related to the keywords that you’re bidding on. So make sure it makes sense
in relation to what someone is looking for. That’s ad relevance. It’s actually fairly easy. Two, make sure that people
want to click on your ads. So tell them what
they need to hear. Tell them the information that
they’re looking for, and tell them why they should be clicking
on your ad and not on someone else’s. And then three, if people
come to your website, do not disappoint them. Make sure they land
somewhere where they find what they were looking for. And that sounds pretty
basic, actually. It’s common sense, but
especially in larger accounts, it’s sometimes
tricky to achieve. But those would be the three
main things– relevance, relevance, relevance. ANASTASIA: That’s good. MARTIN VERGEER: Yeah. Make sense? SOFIA NILSSON: Yeah. MARTIN VERGEER: Excellent. And the last thing
on quality score and the relation with
the auction as well– it also ensures,
the high quality, that the auction will stay fresh
and that people keep using it. So I think the reason that
Google’s been so successful is that it relates to users,
advertisers, and publishers alike. So users find relevant
ads with things that they were looking
for, and an easy way to get to the websites
that are offering them. So users find Google
extremely relevant. And for advertisers,
that’s important as well, because they’re
getting the users that are coming to their website,
and they’ve already indicated what they’re looking for. So it’s fairly easy to
make them do a purchase. So for advertisers, the
relevance is important as well. And then for publishers, and
that’s more of a display thing, they get paid for
the impressions. And because of the
higher relevance, they often see their
profiles go up a lot as well. So the whole ecosystem
built around quality ensures that everybody is
finding what they need, either relevant users,
the product that you need, or the profit that you
want, but that ensures that search keeps improving. Oh, I see that we’re getting
to the technical stuff now. SOFIA NILSSON:
Getting pretty good. MARTIN VERGEER: Ah, I
love the technical stuff. ANASTASIA: Let’s stick
with the accounts. MARTIN VERGEER: Yeah? OK, are we fully good
on the auction though? ANASTASIA: Yeah, I think so. MARTIN VERGEER: Yeah? Yeah? SOFIA NILSSON: No,
I think I’m good. Do we have any questions from– ANASTASIA: I don’t see any
questions as of yet, no. So I think we can move
onto the structure. MARTIN VERGEER: Yeah, this
is probably the sexy bit. And this is what
makes a lot of people that are analytical very happy. So we’re going to go
into account structure. And account structure
is something that is very important in
AdWords, because it determines where you’re going to bid
on what, where are you going to put your ads, where
are you going to categorize. And it also ensures
that you’re going to be able to get a high
quality score in the end. So that’s kind of
the end game here. And when you look at
an AdWords account, there’s a couple of layers
that you’re influencing. So the highest level
is an account level, so an account pretty much
covers everything else. So if you’re going
to advertise for– I’m not going to
do diapers anymore. Let’s go with something else. Is there a different product
that you have on your mind? SOFIA NILSSON: Red shoes. [LAUGHING] MARTIN VERGEER: Hey, let’s
go with the red shoes. SOFIA NILSSON: Or cows. You know, with those. MARTIN VERGEER: Let’s
go with the red shoes, because if you’re going
to go into the Help Center at some point, you’re
going to find examples of red shoes [INAUDIBLE]. SOFIA NILSSON: That
was not very creative. [LAUGHING] MARTIN VERGEER: It’s all good. So let’s say for the account
level, I’m a shoe store, so my account would be
the shoe store account. So everything is going
to be in that account. SOFIA NILSSON: It’s
one tier, right? So the highest level is the
account that’s at the bottom. MARTIN VERGEER: Yeah, that’s
kind of a difficult discussion, because [INAUDIBLE] the
account is the fundament, and then you start
building from there. So it’s kind of a [INAUDIBLE]. SOFIA NILSSON: True. MARTIN VERGEER: So
within the account, you’re going to have
campaigns, and campaigns can help you to split the rest
of what’s in your account. So campaigns have
a certain theme. So in this case,
if my shoe store sells not only
shoes, but also bags, I might have a campaign
that focuses on shoes, and a campaign that
focuses on bags. And the next layer
underneath that is ad groups. So let’s stick with
the shoe example. So in the shoes
campaigns, you’re going to have ad groups,
for example, for red shoes, or for black shoes,
or for brown shoes. So you can actually
segment further. And the reason that
you want to do that is because the ads are
also on an ad group level. So to make sure that your ad
is relevant to what people are looking for,
you actually want to have an ad group for
red shoes in your case. There’s going to be keywords
in there for red shoes, and then there’s going
to be a relevant ad for that particular product–
so red shoes ad, in that sense. So that’s kind of the build up
to set up an AdWords account. And that seems a
bit abstract, maybe. So we put in an example
as well, and let’s go to the holiday example. There’s so many examples of it. So let’s say that I’m
offering holidays, and I have summer holidays
and winter holidays. Let’s just keep it
at those two products just to keep an overview. So in this case, I would
have a holiday campaign. But within the
holiday campaign, I would have two ad groups– one
for summer holidays and one for winter holidays. And that’s because, in the end,
I want to have a relevant ad. So in the summer
holidays ad group, there are actually
a couple of keywords that I’m advertising in. So those will be the ones
that I’m expecting people to look for in Google. So if someone’s looking
for a summer holiday, I want to show
that particular ad. But if someone’s looking
for a winter holiday, I want to show a different ad. So the ads, for example,
take those keywords into consideration,
but might also name things that are
relevant to that. So in the summertime
ad, [INAUDIBLE] might see trips
to, I don’t know, Turkey, or Greece, or Italy. While in the other one, you
might see trips for ski areas, or, I don’t know, something
very different [INAUDIBLE]. So splitting that
up is important, because it helps you to keep
an overview of what’s where, but also to ensure
that the keywords are closely related to the
ads, to the landing page, with all the structure in that. In terms of the expansion,
there’s a lot of options as well. So for example, if I
started to advertise on holidays in general for
people that don’t specify what they’re looking for, there
could be an extra ad group just saying holiday, with
keywords such as “holiday” or “vacation”– a particular ad for that. So building those
layers in your account helps you to
separate the keywords and understand where the
value is, and also optimize the ads for particular areas. And just to give you a
screenshot of what that looks like in an actual
account, this is an example of that particular
setup with the holidays. So in the top left corner,
underneath All Campaigns, you can see the create
ad word “holiday.” That’s the campaign. And there’s two ad groups
underneath– so summer holiday and winter holiday. Now, don’t look at all the
tabs on the right-hand side yet, because there’s a lot
of functionality in AdWords that we’re not going to be
using today or maybe never. So focus now on campaigns, the
ad groups, and the keywords. Those are the most important
ones to know, plus the ads. So as you can see in
this particular view is that there is a keyword
for “summer holiday” and for “winter holiday,” which
are both in their own little ad group and will both have
their own ad as well. And as you can see,
there’s a lot of metrics. This one hasn’t run yet, but
there is a lot of metrics that you can use to optimize
your account later on. But we were going to get into
that not in this session, but in the session later on. Is that correct? SOFIA NILSSON: Yeah. MARTIN VERGEER: OK. So optimization, not for today. So don’t be put off
with all the options that you have in AdWords. There is a lot of things
that you can tweak, but the principle is the same. Everything relies on keywords,
keywords are related to ads, it’s all stuck in an
ad group, which is under a campaign in an account. That should be your
first setup, after that, you get all the rest. We kind of [INAUDIBLE]
a bit with the keywords. So you’re actually bidding
on a particular keyword. So what you’re doing is
you’re expecting someone to look for that query, that
keyword in Google Search. So in this case, let’s
go with “formal shoes.” So there’s a lot
of different ways that you can structure
that in your account. So keywords come in
a couple of shapes. So the easiest one to
understand is the exact keyword. So if that’s in your AdWords
account, what you’re saying is, I want to show
this ad for people that are looking for the
exact phrase, “formal shoes,” in that order. Nothing in front of it, nothing
after it– just “formal shoes.” So that’s quite specific. So people often
add little things like “formal shoes
now” or “a shop nearby” or whatever– it
could be anything. But if you’re
advertising exactly, it’s just going to
be exactly that. The good thing about that is
there’s often a lot of control, because people that are looking
for exactly that word are super likely to convert. Because you are very
specific with your ads, you can give them a
great landing page, so it’s fairly easy
to be very specific. Now, the downside
is that there’s often not a lot of
volume, because you have to match exactly with that. So exact keywords are
great for performance, but you might want to use
some other ones if you want to get a bit more
reach and find out what people be looking for
otherwise that you haven’t thought of before. And that’s when you can use
phrase keywords, for example, which is kind of like exact. The difference is that
there can be something in front or after the word. So in this case,
“men’s formal shoes,” or “formal shoes for men.” So the phrase still has
to be in the same order, but there can be something in
front or something behind it. Then if you go one step further
up, it’s modified broad match. What we do there is “formal” has
to be somewhere in the query, and “shoes” has to be
somewhere in there, but the order doesn’t
really matter anymore, and there can be words
in between or after it. And we’ll also look
a little bit at words that are kind of related. So “formal shoes” might
match with “evening shoes,” because they’re kind
of in the same vein. So there’s a lot more
flexibility there, and a lot more
opportunity for you to match with what
people are looking for. The possible
downside with this is that you can get a lot of
reach, and you might also find things that are less relevant. So in this case, if someone was
looking for formal shoe repair, you might not be offering
that, because you are selling your shoes. So you would be hitting that
query as well with a modified broad match. So be careful with that. There are ways to direct
that a little bit. But be careful with modified
broad match in that sense, because you might be
targeting a lot of stuff that you didn’t think
you were going to target. Have you ever seen that? MARTIN VERGEER: Yeah. Oh, yes. Definitely. And as you said, there
are ways of making sure that that doesn’t happen. ANASTASIA: But also, I was going
to ask you exactly precisely on that– how often do you
recommend them to check? And also, they actually
have two questions. One is, given the budget
that a lot of the groups here would have, which
is $250, would you recommend to go for only exact? Or would you recommend
to have a combination? Or should we test and check,
and how often should we check? MARTIN VERGEER: I think the
best way, no matter the budget, is to always have a mix. So you’re expecting performance
to be great on exact keywords, and it’s highly controlled,
so you want them for sure. So when you’re
setting up keywords, think of what people are going
to be looking for when they want to find your product,
and make those exact keywords, and then control those. But you need the modified
broad keywords in that sense as well, because you want
to understand if you’re overlooking something. People might be looking for
your product in a different way than what you were expecting. So with modified
broad, you still have an overview of what’s
happening in the market. And especially
around new products, we often see a lot of queries
that we’ve never seen before and didn’t really anticipate. So just to give you
an example, we often see it with the launch
of the new iPhone. One thing that a
lot of advertisers overlook the first time
we had a big launch is that people started
looking for Samsung phones as well, because they
were comparing the two. So they were kind of
making the decision, am I going to buy
a new iPhone now, or am I actually going
to buy a Samsung? And comparing those two. So it’s important to have both. Look at it a lot– I would say weekly at least. But if you optimize
your account, you’ll often see, with the
number of unexpected queries with a client, which
is [INAUDIBLE]. But that’s a good question. SOFIA NILSSON: So you’re used
to checking [INAUDIBLE] modified match is one you
would recommend, or rather an exact match? Or are these two
really the ones that seem to be referenced most? MARTIN VERGEER: Yeah. What you see in
a lot of accounts is that phrase match
has been outdated. SOFIA NILSSON: OK. MARTIN VERGEER: It
used to be used a lot, but modified broad match gives
a little bit more flexibility. So because it matches
with words that are kind of related but
still highly relevant, but with phrase, you’re
always stuck with the order. So modified broad and exact
would be the ones to go with. As you could have seen– there’s also broad broad match. Please don’t use that
on small accounts, because what happens there
is that it will relate it to anything, even
though it might not be super closely related. So if you’re going to
stick with something, stick with exact and a
touch of modified broad, and then you’ll have a
beautiful, growing campaign. ANASTASIA: And then I think
also, another important point is that you can also
check, actually. Once you start running
your campaigns, you will actually
have an opportunity to check the report, the
search terms report, which will give you a list of
keywords that the queries that are actually coming in. So once you actually
have started, there will be more ideas for
you, which you can check, and then you can
start and modify. And also use exclusions. And what are exclusions? MARTIN VERGEER:
Yeah, so here, we’re mainly talking about
positive keywords, right? The keywords that
you want to target. But it’s also possible
to add negative keywords. So you’re actually
telling Google, if this word is in
the query, we actually don’t want to show it yet. So with regards to
the formal shoes, if there’s “repair” in there,
you can actually say to Google, add negative “repair.” If “repair” is
then in the query, we’re not going to show your ad. So by doing that, you
get a lot more control of where you’re
going to be shown and where you’re not
going to be shown. ANASTASIA: But being
careful with that as well. It’s a balance. MARTIN VERGEER: There
is always a balance, and there’s a lot
of testing involved. It’s fun. SOFIA NILSSON: So I think
the moral of the story is test it out, see
what works for you. MARTIN VERGEER: Exactly. But don’t stick to just exact. That was a good
point, because you’re going to be very
siloed to what you think people are looking for. There might be a lot of queries
that you didn’t expect before. ANASTASIA: And we’ll actually
have a separate session where we will look particularly
at optimization, what types of reports to
look at in the account to be able to optimize
that and really capture those things that can
be really important. So we actually
have one question. And I’m thinking maybe we
can just address it now, because it’s very relevant. And so the question is, with
regard to the previous topic, where in your
account can you see the quality score of your ad? MARTIN VERGEER: Yeah, OK. So the quality score
is being calculated at the keyword level. So when you go into the
account, you actually look at a keyword level
to find a quality score. And there should be a
column in the Keywords tab. You might not see
it, but there’s also an option to add more columns. And you will find the quality
score on there as well. Now, there might be some cases
where you don’t see a quality score for a keyword,
and that has to do with the volume on
that particular keyword. So we’ll only show
you the quality score if we’ve got enough data on
your keyword to actually make a proper estimation. Quality score– it doesn’t
mean there is otherwise not a quality score. There’s always one. But we will show it
to you when you’ve got enough
impressions and enough clicks to make an estimation. ANASTASIA: I think we could
also share a link to the Support Center articles, where we
explain very well where you can actually
find them, and how you can add columns as well. MARTIN VERGEER: Yeah,
that might be good. ANASTASIA: Yeah, super. Right. MARTIN VERGEER: Oh, we’re
up to conversion tracking. SOFIA NILSSON: Yay. MARTIN VERGEER: All
right, it’s you. SOFIA NILSSON: Finally. It’s me. MARTIN VERGEER: Excellent. SOFIA NILSSON: So
guys, anything, Anastasia, before I start? ANASTASIA: No, I think it’s
just important to say that this is really the key, because
without having them, but I’m sure you will
mention [INAUDIBLE]. So I will give the floor to you. SOFIA NILSSON: Feel free to
interrupt if I forget anything. So guys, we’re going to
talk about conversion tracking, and what it is
about, how you set it up, and a little more
common phrases, terminology that we’re using. So first of all, we’re
going to start off, what is a conversion? And I’m sure you guys– we
mentioned it a few times during your talk, Martin. I’m sure you guys might be
wondering, what is this? For us, conversion is a set of
actions or a series of actions that companies want their users
to complete on their website, or offline, actually, as well. And these actions,
or conversions, are shown in AdWords once a user
has interacted with your ad. So either they’ve seen
an impression of your ad, or actually clicked on
your ad, and completed this action on your website. These actions, or conversions,
are defined by the company. So it completely depends on
what kind of company you have, or what industry you’re in. So it could be anything from– imagine if you’re a
retailer in this case, and you actually want to sell
red shoes or a nice dress. Let’s use nice dress– we’re not going to back
into the shoe example. And so let’s say you
want to sell clothes. You see an ad online, or
you Google search first, “dress,” [INAUDIBLE], whatever. What comes up? Hm, a nice ad. Either you click on it,
you go onto the website, you browse through
it, but you want to have a little more think
about it before you actually purchase the item. Or you might not even
interact with the ad, as you won’t actually click
on the ad in this case, but you will only
see it, and it’s kind of on top of your mind. So for the retailer
in this case, the conversion would be for
you to purchase the item. That, for us, is more called
like a micro-conversion. So it’s like the end goal. But also, we have other types of
conversions that you can have. So let’s say you have anything
from downloading a PDF to find out more information,
or users even visiting a key website or a
key page for you. You’re running a
competition currently, and you want people
to really see this. So you’re running an ad, and
the landing page for them would be the
competition website. So for them, the conversion
would be to download or see their website. So it all depends
on the industry, the company, the seasonality. And if we then go into
what types of ways you can measure conversions,
there’s a few different ways. First, in Google, we actually
have two different types. We have Google Analytics, where
you can track your conversions, and you can track conversions
through AdWords Conversion Tracking. So these are two
different types of tools. There are also
reports, so you can see then how people are
actually seeing your ads and then end up converting
on your website. And in this presentation
specifically, we’ll be talking about AdWords
Conversion Tracking. But I would really like
you to ask when you then meet your business,
you know what you’re going to do, really
ask them, hey, what is your objective
of running ads online? Do you guys want
to sell an item, or do you guys want
to at least bring more awareness to your company,
or is there anything else? Do you want people to
subscribe or become members? It could all differ, right? So in this case, if your client
already uses Google Analytics, you can use that,
and you can actually import goals and transactions
from Google Analytics into AdWords. So you don’t have to set it
up if that already exists. So really check with your
client what kind of setup they’re already using. MARTIN VERGEER: So
is it a bad thing if they don’t have Analytics,
if they just use AdWords? SOFIA NILSSON: No, not at all. It really just depends. So depending on what kind of
business the client is running, I mean, they can set up
Conversion Tracking as well. I think if your client
is not using anything, maybe the easiest is
Conversion Tracking if you do have access to the
client’s page’s source code. ANASTASIA: And when we
say Conversion Tracking, we mean Conversion Tracking
which would be set up directly from AdWords. SOFIA NILSSON: Exactly. ANASTASIA: So not the
Google Analytics one. SOFIA NILSSON: Exactly. ANASTASIA: But if there is
a Google Analytics already in place– because
some of the businesses might have it–
maybe the easiest would be to actually go with the
Google Analytics transactions. SOFIA NILSSON: It
really is depending on what they’re already using. So as we were saying, Google
Analytics– if you already have it, awesome. If you have goals and
transactions set up already there, you can just import them. Super easy peasy. If they don’t have anything,
possibly Conversion Tracking would be the best
option, because you only have to set it up– let’s say, there’s
much less code you actually have to implement. So it’s easier for you, really. ANASTASIA: And do
we have instructions for how to do this? SOFIA NILSSON: Yeah, for sure. ANASTASIA: Obviously,
everybody would want to set it up somehow or
figure out how to do this. SOFIA NILSSON: Of course you do. So you can, in the end
of all these slides, we have included
some useful articles, some YouTube tutorials. If you guys have any
questions, feel free to shoot. Anastasia is on
the button today. ANASTASIA: G+ community. [LAUGHING] SOFIA NILSSON: So go back
to your slides, actually. There are different
types or ways you can track conversions– so anything from purchases,
to newsletters, to sign-ups. You can even have app
downloads and event tracking. There’s loads of
different versions. Today, we’re only going to focus
on website conversion tracking, but the rest are possible. There are just options there, if
you guys want to go into that. MARTIN VERGEER: Yeah. But it is important to
stress, because sometimes it feels like conversion is always
a box moving out of a warehouse to someone’s house. But conversion can be so
many different things. SOFIA NILSSON: There’s so many
different ways of doing it. But I’m really stressing, you
only see conversion in AdWords once the user has seen
an ad on your website and then ends up
purchasing, right? Or downloading, or
whichever way it is. And anything completely
depends on the industry, as we were saying. Really depends on the end
objective of the client. So whatever you
want to stress here, guys, really check what kind
of objective the business who you want to do
with conversions– how they want to track it. And, as well, see what they’ve
already set up already. So see if they have
Google Analytics, see if they have AdWords
Conversion Tracking. What will be easiest
for them to setup? Really check with them
when you get to know them. Cool, and then guys, we’re going
to go to the next slide, where we’re going to talk a little
bit how you can set it up in AdWords. So some new
terminology, you guys. Let me see so I have
everything ready, because there is some new definitions. MARTIN VERGEER: And I think
tracking is one of those things that people are always
a bit scared of, but it’s so fundamental for
doing your AdWords properly. So be sure to ask the
partner you’re with, or partner you’re working
with, to understand what they’re measuring and
how they’re measuring it. It’s going to determine how you
decide what success is, right? ANASTASIA: I also
would like to add by saying that it’s really
not as scary as it may sound, and really not as
difficult. Because I know from experience these students
who have been participating in this competition previously
have been collaborating with businesses who are actually
very happy that there was somebody eventually who wanted
to define this for them, and who wanted to help them. And I know some
students got access to the Google Analytics
of the businesses they were working with, and
they were setting up those goals themselves. So really, it depends a little
bit, again, on the business as well. But it’s really not scary. It’s super important
to think about. Also, because you’re
coming to this, I normally would
touch upon this, but there are
different ways for what we can actually– it’s not
only for reporting that we need our conversion tracking,
but there’s also other uses of that. SOFIA NILSSON: For sure. Also worth mentioning
here– can we just go back to
the previous slide, and we can share this as well. I want to share a
little bit about how a user’s journey has really– So imagine now, let’s
go back to, actually, Martin’s example of a holiday. It’s February, guys. We want some nice
sunshine here in Dublin. MARTIN VERGEER: [INAUDIBLE] SOFIA NILSSON: Yeah, right? So mind, you want to
book you some holidays. And you want to go with
a group of friends, but you don’t really
know where to go. Or maybe you do know
where you want to go, but you want to really
check up the prices, what are the different
options for you to go? So you go onto Google
Search, and you go “flights Dublin to Paris.” Wouldn’t be that bad, right? Paris in the spring or summer. What happens, actually, is when
you interact or see the ad, or click on an ad,
a cookie is launched into your browser, which
pretty much communicates then, to the website, hey, this
person has seen your ad. When you then
convert, or you take some time, you check with
your friends, you go, hmm, should we go on this holiday? When do you want to go? You know, all these particulars. You need to have
some time to decide. And you come back
maybe two weeks later, and you go onto the website. And you convert,
as in purchasing the flights, or the
holiday, the hotels, the dress, whatever it is. And that’s what you will
see this in AdWords. So let’s go to then
how to set this all up. ANASTASIA: Just a very
quick question, then. For how long will they know that
I have clicked on their site? SOFIA NILSSON:
Super good question. So the company actually
decides themselves. They define how long time they
want the cookie to be there, pretty much. So literally, the
time span between what is relevant for them when
a user clicks on an ad until when they convert. Because completely depending
on business and industry, maybe one week is all you
want to have in between the ad click and the conversion. But in some industries,
you have a much longer– ANASTASIA: [INAUDIBLE] SOFIA NILSSON: So they
literally might take one month before they decide. So we have up to 90 days
where you can decide. And let’s now go back
to how to set this all up in AdWords, guys. So loads of terminology,
loads of facts here. But pretty much
what you have to see is when you go into AdWords,
so on step one here, you’re going into Tools,
and you go into Conversions. And here, you can see in the
second step, how this really looks like in your
AdWords account. Please, feel free to follow
along if you already have set up your AdWords account. It’s much better when you
guys can actually see and feel how this actually works
in a real-life scenario. So then you see the
little plus symbol there, where it says Conversion Plus. It’s a red box. If you click there,
it will come up with the different
options of actually what kind of conversions
we have here. And this is only
for AdWords, guys. So it’s a different
system than if you want to import the goals
and transactions from Google Analytics. But if you go to
step three there, today, we’re going to look at
website conversions, which is the option most to your left. And when you then
go in there, you can see the different
terminology there. So first, you have
to also decide what is the name of your conversion. You want to decide if maybe it’s
a sale, or maybe it is a lead. It really depends. You might be just running
a campaign temporarily and just want to track
those conversions for that particular campaign. So you might name it
whatever you want. And then if you go
to the second option, you can actually
see their values. So when you do that in real-life
scenario, it will open up, and you will have three options. So you will have the option
to either have no assigned value to your conversion. This will be most relevant
if you’re having, let’s say, a sign-up or a conversion that
doesn’t have a numeric value to it. It might just be to actually
bring brand awareness. You also have an option to
have a fixed conversion action value. And that means that let’s
say you only have maybe selling just one product. Or maybe you know that
the amount of members are signed up– the sign-up fee to become a
member in your club is 10 euro, so you know that
it’s a fixed sum. So it’s a fixed
value, in this case. Or the third option is
to have a dynamic value. And this one we see most
commonly with retailers. For example, they might have,
I mean, different shoes. If you are running a shoe
store online, on e-commerce, you have different– [LAUGHING] You’re smiling, Martin, again. MARTIN VERGEER: We can’t
get away from the shoes. [LAUGHING] SOFIA NILSSON: We can’t
pull away from the shoes. Here, you really see, for every
single pair of shoes, probably, you have different values. So we do see this most
commonly with retailers. Or airline industries as well. We’re going to skip
the count part. But what I really
want to stress here, guys, is the
conversion windows– this is what we’re
talking about, is you have a set
amount of time. You can define it here– how long time you
would like to have between the maximum amount
of time between the ad click and the person actually
converting on your website. Anyway, when you’ve set up all
of these different options– and guys, I’m sorry I’m
skipping some of the parts. We’re a little bit
squeezed on time. ANASTASIA: But we will
share the instructions. SOFIA NILSSON: Guys, in
the last slide for my part, there will be
step-by-step instructions on how to actually set this
up and some more information. So don’t worry
about it, you guys. Feel free to shoot
questions, [INAUDIBLE]. So then, when you,
anyways, say Done, there will be, automatically
generated in AdWords, a code. And this code is called
an AdWords conversion tag, and this one, you can then
implement on your conversion page. So let’s say that
you have a thank you page after you have
booked that trip, or you have purchased
those shoes, or you have purchased diapers. In some cases, you reach
your thank you page. You can then implement this
tag in the source code, and when this page loads,
then, this hit will actually find your AdWords. And AdWords will then
know, ah, this person– Sophia, in this case– has clicked on an
ad, or seen my ad, and then eventually
reached this page. So really communicating back to
AdWords something– an action has to be completed. Then you will see it
reporting that in AdWords. ANASTASIA: So that
little piece of code that you generate when you
set up the conversion event, or the conversion in AdWords– will you only place
it on one page? The thank you page? SOFIA NILSSON: So it
completely depends. So it depends on our
conversion action, right? So let’s say– I’m using this
only as an example for retailers in this
case, or for anything that has a thank you page where
it’s only one thing that you’re actually selling. And then you will have
it on the thank you page. But imagine you might have– most businesses actually
have multiple actions they want you to complete
on their website. So you can have
anything from this tag– it’s only on that page. But if you have
multiple different tags, you can implement them
on different pages. ANASTASIA: That’s right. SOFIA NILSSON: For
AdWords specifically, you only implement
it on the page where the actual
conversion takes place. ANASTASIA: That’s right. SOFIA NILSSON: If you’re
using Google Analytics, you actually implement
the tag on all pages, and you then set when you want
this code to be completed. So you have other
types of settings, and the setup is
quite different. We shall include one of
the articles as well, I think, about how to set
this up in Google Analytics, guys, so we’re
covering all bases. MARTIN VERGEER: Sure. SOFIA NILSSON:
Then, guys, I want to talk a little bit about the
reporting interface in AdWords. There are different
types of columns. They mean different things. We have touched on some
of the terminology before. But if you go into the AdWords
interface and actually check– if you go into the
columns table, which actually Martin
also mentioned, you can select different
types of columns. And if you do go
into performance, you can also add different
conversion columns into your report. So mentioning some
of the different, some more important
columns that we’re seeing is the Conversions column. The conversions
here are only shown if they are included in
the Conversions column– if this conversion action has
been included in a conversions column. And how you set this up,
and how you actually select it is from when you define
the conversion action. So I know, guys, we
skipped a little part, but from the previous slide,
when we actually set it up, you have an option there to
include this conversion action into the Conversions column. And if you have included
it, whatever conversions are different from
this conversion action, we will report it in
a separate column. And this is to give businesses
more granularity of what actually conversions are
more important to them, they can select them,
which ones they want to have a different column. And also, they can choose,
then, to use bid strategies against just some
conversion actions. More definitions of columns–
we have All Conversions Column. And this column particularly
includes all different types of conversions, so anything
from cross-device conversions to normal conversions
to store visits– all of it is included
in this column. Guys, we’re not going
to go into more details, we just provide this part. But check it out,
play around with it. There’s also a question mark
above all these columns, and it will give
you a definition of what it actually is. As I said, now we’re having
some more definitions we wanted to talk about. And we already covered All
Conversions and Conversions. Cross-device Conversions
is super interesting type of definition. And this is really
for the company to understand how users convert. Because in today’s age,
imagine, the way that at least I use my phone, for example,
I would browse maybe on my phone in the morning– when I wake up, I’ll
check what’s going on. And I might come across an ad. But then later in the
day, I would actually explore more options and look
into further on a desktop. So this Cross-Device Conversions
column, and this concept is we can actually look
into how users convert. Do they use different devices
before they actually convert? And then view-through
conversions is conversions that
occurred not after when a user has seen an ad
but never clicks on it, and then actually goes onto
the website organically and converts. And organically means like if
you’re going to H&M.com right after seeing an H&M
ad, you will actually– and you end up
converting, that is when a view-through
conversion should be reported. MARTIN VERGEER: Yup. The thing is, especially,
the cross-devices is very interesting. And hardly anyone
makes a purchase in one go, Especially with a little
bit more expensive products. So you do some research, you
do something on your phone, you’re looking at the
road, and then you come up and you do something. So cross-device is really
interesting and sometimes a bit overlooked by advertises. SOFIA NILSSON: No, I think
it’s really interesting. The way that we use devices,
nowadays, at home, you have a tablet, you have a phone,
you have a computer, maybe. You have different ways
that actually cycle before you convert in the end. MARTIN VERGEER: Yeah, so you
have a lot better understanding of how things tie together. SOFIA NILSSON: Exactly. So we’re going to
use [INAUDIBLE] a little bit about
bid strategies and how this can be used. So if you’re using
conversion tracking, guys, you can really optimize your
bids to drive more conversions. I’m not going to go
through any details, because I know we’re
going to be touching this in one of the
different sessions. ANASTASIA: That will
be next session. SOFIA NILSSON: Oh, next session. OK. So guys, super brief– the three different ones you
are seeing here, all of them want to optimize– these
different bid strategies optimize for conversions. And this means that
AdWords actually modifies the bid, the
auction price level bid, to drive more conversions. So drive more users who
are likely to convert on your website. So anything from, for the first
one, an enhanced cost-per-click is really to drive more clicks
that will lead to conversions. Target cost per acquisition
is that you set up how much you want
to actually spend for a conversion to take place
and try to optimize for that. And the third one is
target return on ad spend, so that’s really a
percentage on if you want to spend 1 euro
on advertisement, what is the conversion value that
you will drive out of that, and how much revenue? Because at the end of day,
it’s about revenue or branding that the customer wants to– MARTIN VERGEER: [INAUDIBLE] SOFIA NILSSON: Exactly. MARTIN VERGEER: Makes sense. SOFIA NILSSON: So really,
an overview of this, guys. Through conversion
tracking, you can really see what keywords, what
ad groups, what campaigns drive people or users
to actually convert on your website. You can begin to understand
your return on investments. So you can really
see, how much are you spending on your advertisement? And how much that actually leads
to revenue, or brand awareness, et cetera. You can also use different
flexible bid strategies to drive these conversions, try
to optimize as many conversions as possible. And finally, cross-device
conversions– as we were saying, super useful. The business can
actually understand how users end up
converting, what different devices,
what kind of device is part of the actual
user’s path to convert. And finally, we’ll have
some different resources included there. So, you guys, check
it out, play around. I think the whole essence of
it is check it out and see. I know it’s super brief. Yeah. ANASTASIA: Yeah. SOFIA NILSSON: Thank you. ANASTASIA: Thanks. I hope it makes sense. I know it’s probably
a lot of information, and it’s from a very condensed. There’s much to
take in in an hour, or a little bit over an hour. We received a question on
the chat about the slides. We will be sharing the slides. And also feel free,
obviously, to re-watch this because this video
will be available. And in addition, there will be,
as Sofia has just mentioned, there will be additional
resources for you, to help you– basically, to guide
you a little bit through all this vast amount
of the materials available. But apart from that, remember to
have a look at certifications. There’s plenty of information
which is really valuable. If you have questions, because
this is where you’re actually starting now to really
understand the account, to understand how to
set everything up– if you get those questions,
please use our G+ community. We will be there, available,
answering and addressing them. And apart from that,
I’m still super excited about this program and
hope that you are enjoying this as well. So see you, otherwise, next
week for the next session. MARTIN VERGEER: Excellent. ANASTASIA: Thank you, guys. SOFIA NILSSON: Thank you, guys. MARTIN VERGEER:
Thank you very much. ANASTASIA: Bye.

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