Research Results: How to sell more for every business with Google today.

 

Google delivers ready-to-buy people to your landing pages and websites. AdWords is Google’s Pay Per Click (PPC) advertising platform and its primary source of global revenue. 

Typically, PPC advertisers use AdWords to bid on the keywords they want to trigger in their paid search advertising.

Paid search refers to all advertising you place on Search Engine Results Pages (SERPs) results pages. PPC – advertising that the advertiser only pays for when people click them – is a widespread model in paid search advertising.

The Research Results 

 

Wordstream.com analysed 17,253 US-based search advertising campaigns between April 1, 2022, and March 31, 2023, to create in-depth search advertising benchmarks for 23 industries – primarily Google Pay Per Click Advertising. 

Insight 1 – the cost of Attention is rising for many.

More industries saw an increase in cost per click this year (61%) than last year (57%). The most significant increases year over year were in Personal Services (up 17.47%), Furniture (up 12.6%), and Real Estate (up 12.32%).

Some industries significantly saved on cost per click this year versus last year. Finance and Insurance had the steepest drop in cost per click, with an 11.48% decrease. 8.37% drop for Auto Sales and 7.60% for Dentists and Dental Services.

Business Category                                                      Avg. Cost Per Lead 

Arts & Entertainment $23.57  

Animals & Pets $72.24  

Apparel / Fashion & Jewelry $76.71  

Attorneys & Legal Services $111.05  

Automotive — For Sale $42.52  

Automotive — Repair, Service & Parts $21.12  

Beauty & Personal Care $36.97  

Business Services $87.36  

Career & Employment $132.95  

Dentists & Dental Services $65.37  

Education & Instruction $62.80  

Finance & Insurance $90.02  

Furniture $108.85  

Health & Fitness $51.42  

Home & Home Improvement $66.02  

Industrial & Commercial $59.74  

Personal Services (Weddings, Cleaners) $40.85  

Physicians & Surgeons $37.71  

Real Estate $66.02  

Restaurants & Food $34.81  

Shopping, Collectibles & Gifts (General) $31.50  

Sports & Recreation $31.82  

Travel $62.18 

Insight 2 – the most significant increases. 

The most significant increases in Cost Per Lead year over year were in the industries of Career and Employment (up by 52.19%), Arts and Entertainment (up by 49.18%), and Real Estate (up by 46.22%).

Insight 3: Click-Through Rates are under pressure. 

 

Business Category                                                          Avg. Click-Through Rate 

Arts & Entertainment 8.12% 

Animals & Pets 6.46% 

Apparel / Fashion & Jewelry 11.78% 

Attorneys & Legal Services 4.76% 

Automotive — For Sale 8.77% 

Automotive — Repair, Service & Parts 5.91% 

Beauty & Personal Care 6.87% 

Business Services 5.11% 

Career & Employment 6.67% 

Dentists & Dental Services 5.34% 

Education & Instruction 6.41% 

Finance & Insurance 6.18% 

Furniture 6.19% 

Health & Fitness 6.44% 

Home & Home Improvement 4.80% 

Industrial & Commercial 5.57% 

Personal Services (Weddings, Cleaners.) 7.54% 

Physicians & Surgeons 6.73% 

Real Estate 9.09% 

Restaurants & Food 8.65% 

Shopping, Collectibles & Gifts (General) 6.39% 

Sports & Recreation 10.53% 

Travel 10.03% 

Insight 4 – How to improve your click-through rates

 

Wordstream suggests improving your click-through rate by addressing your ad copy and better targeting. Constantly testing (the right way) is the key. How to improve your cost per click There are countless ways to lower your cost per click, so it’s all about finding what works for you and striking a balance in your optimisation strategy. You want to maintain quality clicks and conversions to save a bit on your average CPC.

However, an excellent place to start is looking at your Quality Score. For example, if you offer a high-quality landing page experience and serve a highly relevant ad to your audience, Google is more likely to reward you with cheaper clicks since your ad is the best possible option to show to users.

Insight 5 – The buyer’s search journey is rapidly changing.

 

The problem:  the average conversion rate is decreasing for 91% of industries – the cost to acquire demand is increasing. There are many factors, including

• Inflation, 
• low wage growth,
• less spending power,  
• increasing competition, 
• more sales channels,
• increasing social media channel use, 

Insight 6 – Tracking and reporting results are crucial. 

 

Wordstreamcom says Google Ads reporting and tracking is vital to your overall success. 

In digital marketing, 

• cost per click, 
• click-through rate, 
• conversion rate, 
• cost per lead,

These are all crucial metrics that allow you to gauge the effectiveness of your ad campaigns. Tracking these metrics identifies which ads generate the most clicks, leads, and conversions. 

Is your business capturing revenue and profits from Google Ad Campaigns? 

 

How are they performing? 

Regards 

David