From the category archives:

AdWords Cost

There are NO AdWords Geniuses

by admin on August 4, 2010

This might seem like a strange thing for the owner of a PPC agency to say, but there really are NO AdWords geniuses!

I frequently hear people talking about so and so as an “AdWords Genius.”

But when someone says that, I immediately know that they don’t thoroughly  understand AdWords.   Because saying someone is an “AdWords Genius” is very much akin to pointing out a good French speaker and saying “Look at him, he’s a French Genius!”

There aren’t any French Geniuses.  ”Genius” implies an innate ability unattainable by the average person.

In French, there’s  a basic level of fluency which becomes progressively more natural and embedded in a speaker’s brain the more time they spend in France interacting with native speakers in the culture.

Pretty much ANYONE could attain this level of fluency if they decided to spend enough time in France.  (Or Montreal!)

It might APPEAR to an outsider, struggling in their first few hundred hours of studying the language that this other person was a French Genius, but the truth is, it’s just a reflection of the time and energy they spent in France.

Moreover, an argument could be made that the person who chose to spend just a few hundred hours studying French to achieve basic fluency has a more balanced life, and will achieve more in their business dealings in France than the one who dedicated all their time and energy to appearing like a French Genius.

You wouldn’t spend a lifetime studying French if your goal was only to be  comfortable enough in the culture to do business profitably with the locals. There’s definitely a point of diminishing returns… there might be 80,000+ words in the French Dictionary (I’m guessing), but the masses rarely use more than 5,000 or so.

It’s the difference between efficiency and effectiveness!

Similarly, there are NO AdWords Geniuses.

Rather, there’s a basic level of fluency which most people reach by spending a few  months immersed in the machine.  From there, there’s only an incremental ease with which they work in AdWords depending upon how much time and energy they put into practicing.

There certainly ARE hundreds of nuances to AdWords, but many of them can’t be leveraged by anyone who properly considers AdWords only PART of their business and doesn’t intend to be a full time PPC manager.  There are only about a dozen AdWords things you really need to master to achieve a basic fluency. (Campaign Settings, Keyword Groupings, Match Types, Spit Testing, Basic Content Network Logic, Placement Targeting, Conversion Tracking, etc)

Anyone can do it. (Well, any detail oriented person… a lot of purely creative, right-brain types have trouble, in my experience)

The REAL leverage point in AdWords isn’t in AdWords at all.

To maximize your AdWords profits you really need to understand what’s on the customer’s mind BEFORE AND AFTER the click.

Knowing what’s on their mind BEFORE they click helps you get the customer at the most efficient rate (high CTR, OPT IN, and SALES RATES), but more importantly shows you how to TAKE THE PROSPECT OUT OF THE COMPETITIVE ENVIRONMENT.

(AdWords is brutal… you want the customer to feel that you’ve almost psychically read their mind so they stop their search and start studying what you’ve got to offer in the context of a “go to relationship” with you, and hopefully you alone!)

Knowing what’s on their mind AFTER the click is critical so you can maximize the value of every customer.

And THIS is perhaps the most important part.  Because Adwords is such a competitive auction environment, no matter how good you get at efficiency, it’s effectiveness, or maximum visitor value, which wins the game in the long run.

In other words, if you’re running Adwords at only a small profit and plan to just let it ride, you’re probably planning a losing game.  To truly dominate your market in Adwords, you’ve got to engineer your whole business such that you’re the one who can afford to pay the MOST for clicks.

Yes, you read that right.

Sure you want to buy them efficiently, but you want to be making so much from every visitor that no matter what happens in the auction you can afford to outbid the next guy.

And here’s the thing…

YOU control what happens after you’ve got the opt in or the customer, NOT GOOGLE!

So why get sucked into spending all your time inside a machine someone else controls?   Get it running profitably and then turn it over to an agency to achieve maximum efficiency and volume (e.g. Rocket Clicks), then spend the majority of your resources maximizing the VALUE of each visitor by researching what they want, building back end products and services, segmenting and servicing your list, doing joint ventures, etc.

That’s where your leverage point really is, and that’s how you build a solid and secure business.

Ask yourself this question… no matter what the price of the highest end product you’re currently selling in your business, how can you add a zero?  What would you need to find out from your market?  What would you have to deliver to  be worth 10x what people are currently paying?

And if that’s TOO outrageous for you, how about, what would it take to achieve  DOUBLE OR TRIPLE the price?

Because that’ll change the whole economics of your business, and you’ll find yourself thinking quite differently about the Google PPC auction.  (You’ll probably also find other advertising vehicles open to you which you previously thought were not cost effective)

Worth thinking about, right?

Your humble (OK, not so humble) AdWords servant,

Dr. G :-)

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Important Split Testing Innovation

by admin on May 19, 2010

Like everyone else in direct marketing, I spend a lot of time extolling the virtues of split testing.  As well I should, because with ongoing, small improvements, implemented like a bull dog, you can radically change the performance of your whole sales systems.

Unlike everyone else, I urge people to have the patience to do their research and competitive intelligence thoroughly and precisely, so they’ll have the RIGHT INPUTS for their tests, to maximize the probability of results.

But here’s something I haven’t talked much about, which I really should (but Howie beat me to the punch)…

“Testing Juice” is a limited resource.  We only have so much traffic and money to pay for it, and every test we do eats some of it for a while.    Accordingly, it’s vitally important to PRIORITIZE your tests correctly.

Howie Jacobson, author of Adwords for Dummies, has developed an excellent paradigm for doing just that.  In this MP3 interview (and accompanying slides) you’ll hear him walk you through it.

Of course, I won’t hide the fact that this is also a blatant attempt to get you to attend Camp Checkmate via my affiliate link (which entitles you to the EARLY BIRD pricing if you order soon, even though the deadline’s passed). But as always, both Howie and I took extra special care to ensure the content itself should be immediately valuable to you.

Enjoy!

Dr. G :-)

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Hal Varian – Quality Score and The Google Ad Auction

March 31, 2010

Hal Varian is the chief economist at Google, and certainly one of the main forces behind the economics of the Adwords Auction AND Quality Score.   Google’s had this video available for over a year now, but NOT ONE PERSON I’ve spoken with about their Quality Score concerns had watched it. (Thanks to Rob [...]

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“So Little Time, So Many Liars” (Recorded Consult with Glenn)

February 10, 2010

Know the biggest problem we face as internet marketers?
LIARS.
A Darwinian economy creates ruthless temptation to lie, exaggerate,  distort, and mislead.  And the PPC auction puts that on steroids.
Every time you look at the results of a split test you’re faced with a moral dilemma.   Because the majority of the time, strengthening your claim beyond [...]

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Why Ignoring AdWords is Never an Option

January 29, 2010

Here’s a conversation I repeat often which makes my brain hurt!
It goes something like this:
MARKETER:  ”I think Google’s become entirely too random and unfair with their Quality Score system, so I’m just going to focus on SEO”
GLENN: “OK, well, where does SEO Traffic come from?”
MARKETER: “Uhm, well, I guess it comes mostly from Google”
GLENN: “So, [...]

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The Problem with Making Too Much Money

January 27, 2010

I know, I know… you’re all saying “I’ll take that problem”, right?
But as a site starts to grow “fat on the land”, a strange phenomenon develops I call “making money in spite of yourself”.
What does that mean and why is it a problem?
Spend some time examining the most successful sites in any market and [...]

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Rambo Sucks at Marketing

January 25, 2010

There’s a repetitive conversation I’ve had with my coaching students about choosing the right market, and more specifically the right ENTRY POINT into a market, which I think bears your close attention.  (It came to a head a few weeks ago with a new student who shall remain nameless, but rest assured I see this REPEATEDLY)
As [...]

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More Math Can Make You Even More Money

January 20, 2010

The equation for the surface area of a wooden box is  (2 x (AB+BC+AC)) where the box has sides of length A, B, and C.
Who cares?  You do, if you want to make more money from your website.
You don’t have to understand the equation, pass a test on it, or even run it through a spreadsheet…
What [...]

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More Unusual Adwords Tips to Save Money in 2010

December 29, 2009

OK, well, the year is rapidly drawing to a close, so let me leave you with several additional quick adwords tips to save you money in 2010 (Thanks VERY much to Jerrold Burke, Jered Klima, Dan Zuzanski, Laureen Hoeft, Rob Sieracki, and all the rest of the Rocket Clicks PPC team for helping me compile [...]

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3 more ways to save money in Adwords

December 26, 2009

Here’s a few more simple tips for your AdWords checklist which may help you find some extra money this year:

For successful content network campaigns, never turn them off for a few days during a slow period (for example during the Holidays).  Instead, use bid scheduling and/or reduce your budget somewhat to slow your traffic. [...]

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