Learn Digital Marketing Pay-Per-Click: 7 Key Performance Indicators

If you wish to learn digital marketing pay-per-click, there are some key performance indicators (KPI) to keep in mind. The beauty of paid search is that you can have so much data at your fingertips and make changes almost instantly. However, it can be tricky, especially when you are not familiar with crucial PPC metrics.

With so much data at your disposal, and some key PPC trends to consider, you may feel dazed and confused. Which PPC metrics you should use, and how they can improve your campaigns? Stick with us to learn.

7 KPIs to Learn Digital Marketing Pay-per-Click

To help you learn pay-per-click marketing and run a fruitful paid ad campaign, we are listing down the most essential PPC performance metrics. These KPIs will support most of your marketing goals and PPC campaign management courses.

1. Return on Ad Spend (ROAS)

ROAS is a marketing metric to measure the amount of revenue generated for every dollar spent on PPC advertising. Similar to ROI (return on investment), it calculates the ROI of money spent on digital advertising. You can calculate ROAS by dividing revenue by ad spend, which will give you a metric to monitor whether your ad spend is driving the desired value.

2. Click-Through Rate (CTR)

You may think that you are creating the best PPC ad to learn digital marketing pay-per-click, but if it doesn’t resonate with the target audience, it doesn’t matter. This is where CTR gives you a sense of how relevant your PPC ads are to the consumers who are seeing them. A low CTR means that you should improve your ads or maybe you aren’t targeting the right audience. This metric allows you to evaluate how well you are communicating with potential customers.

3. Cost Per Acquisition (CPA)

Cost per conversion or CPA plays a crucial role in measuring the success of your PPC ads. It is a financial metric that will help you calculate the revenue impact of your campaign. CPA is defined as the price you pay for every new lead during your paid ad campaign. This metric is calculated by dividing the amount spent during the campaign by the number of conversions.

4. Conversion Rate

Conversion rate indicates whether your landing pages are relevant for conversions. If it’s low, your website and ads aren’t resonating. Using this particular metric makes it easier to determine the effectiveness of your landing pages. Also, conversion rate trends allow you to quickly spot changes, so you can optimize your landing pages and learn digital marketing pay-per-click.

5. Impression Share

If you want to determine how much scale you can get out of your existing PPC campaign, then impression share could be a helpful gauge. What this metric does is to judge the performance of your campaign, especially against ROAS goals. Be sure to look at impression share in conjunction with your ROI goals for it to have more value and insight.

6. On-Site Engagement

On-site engagement is an early indicator of whether your target audience is interested in your products, services, or PPC campaign management courses. By keeping an eye on on-site metrics like bounce rate, average session duration, and the average number of pages visited, you can determine whether your PPC ads seem to be resonating with prospects.

7. Quality Score

Lastly, quality score is a fundamental component of the auction. More than a KPI, it’s a health metric, helping you identify where your campaigns have room to improve. However, don’t let quality score distract you from the main goal. For instance, you can use dynamic insertion to improve CTR. This may improve the quality score, but it might have a lower conversion. Therefore, work toward improving quality score, but in support with your KPIs.

Final Thoughts

We know how difficult running PPC campaign management courses and campaigns can be, especially when there are lots of different metrics to keep your eyes on. The key is to understand which metrics are important for your PPC campaign. Focus on improving all the above-mentioned metrics, rather than focusing on one or two metrics only. Also, don’t forget to track and improve the metrics on a regular basis.

To learn digital marketing pay-per-click, drop us a message today.