Recently, tried another copy adding one word that I had not used before (it is not free or anything like that, just another way to generally describe a store)
To my amazement my ctr has jumped appx 20%.
My conversion rate seems to be going down a bit possibly because ctr is so much higher.
Should I worry about lower conversion rate as long as
ROI is still positive? Any thougts?
I for one do not bother too much about ROI. What interests me more is the net profit.
For example Adcopy X might have a CPC of $0.10 and gets 100 clicks a day and an ROI of 100%. Thus it makes a profit of $10 for me. Adcopy Y might have an ROI of only 50% but if it has the same CPC of $0.10 and brings in say 300 clicks a day. Then I make a profit of $15 a day. So for me adcopy Y is better even though it has a lower ROI and I would choose it as long as I have enough working capital to pay for the higher daily expense of $30.
The other thing that you could do with adcopy Y is that since it has a better CTR, you can lower your Max CPC and still maintain the same postion, thus improving your ROI.
"It is a socialist idea that making profits is a vice; I consider the real vice is making losses." - Winston Churchill
Forget ROI - Just give me the Profits:
[webmasterworld.com...]
I've been an adwords advertiser since day 1. I have tested inumerable combinations of copy and, until recently, felt I had the "best".
Recently, tried another copy adding one word that I had not used before (it is not free or anything like that, just another way to generally describe a store) To my amazement my ctr has jumped appx 20%.
Interesting story, ffctas, which really illustrates the value of testing/monitoring/improving.
I've heard a few stories just like this in the past, where one word made a really big difference. It is almost like finding a magic word that describes exactly what the user truly wants.
My favorite example, from a long time ago, was an advertiser who had vacation rentals, and had his CTR go way up when he hit on a single word which really resonated with users. I won't mention the actual word, but the key concept turned out to be that his customers really wanted privacy in their rentals.
AWA