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What is a Good PPC Conversion Rate? And How to Increase It?

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PPC conversion rate is the percentage of your PPC traffic that turns into paying customers. If you generate 100 clicks per month from PPC ads and 10 of those visitors make a purchase, your conversion rate is 10%. Your PPC conversion rate is the percentage of your PPC traffic that turns into paying customers.

Before we go into the detail, let’s understand what is conversion rate?

Conversion Rate:

The conversion rate is the percentage of clicks from PPC that lead to a success metric (a conversion). Therefore that can range anywhere from zero up to a hundred percent but it’s going to vary based on a number of different factors.

So, let us know the different factors of conversion rate:

Industry:

Depending on what industry you’re actually in the conversion rates may vary.

If the market is very price-sensitive, so for example your users will click through too many different sites and really delve into the detail to try and find the best price, then you would tend to see that your conversion rates are likely to be lower. Be aware of where you sit within your industry and the type of market you’re in when considering your own conversion rates.

Landing Pages:

The important thing to bear in mind here is that sometimes you’re building landing pages to educate a user when they visit the site rather than just convert them straight away. Some pages are all about driving conversion and getting someone to fill out a form as soon as they arrive. Both of these scenarios would likely have different conversion rates.

Keywords:

Keywords will trigger different behavior, something like a brand keyword, whether it be your own brand or a product that you’re selling, is likely to have a much higher conversion rate than perhaps a very generic term.

Steps to Increase Your PPC Conversion Rate:

1. Create Better Landing Pages:

Your landing page will be the first impression people have about your business as soon as you click on your PPC ad. Therefore, it is one of the most important factors that affect your PPC conversion rates. This is why it is important to optimize it to get more conversions.

2. Know Your Current PPC Conversion Rate:

Before you can start to improve your PPC conversion rate, it is important to first start measuring it, so you know precisely where you stand. You can also know how your actions are producing results.

3. Create Relevant Ad Copy:

If you want to convert people through your PPC ads, your ad copy must match your proposal. The landing page must be exactly what the ad mentions.

4. Improve Your Ad Quality Score:

If you can improve your advertising quality score, your PPC conversion rate can increase significantly. The reasons for this are simple:

  • Reduction in the Cost Per Click (CPC) which increases your reach.
  • Shows you how good the overall ad experience is for the visitor.

According to Google there are three main parameters that affect your Quality Score:

  • Expected click-through rate.
  • Ad relevance.
  • Landing page experience.

When improving your Quality Score, you’ll have a better chance of getting more clicks from your PPC campaign and conversion.

5. Choose the Right Keyword Match Type:

There are three types of keywords you can use in AdWords, they are:

  1. Phrase match: The ads are only displayed to those searching for that phrase or a part of it.
  2. Exact match: The exact match keyword is the most specific type of keyword. When you use this keyword, the ad will only be displayed to those who input the exact keyword
  3. Broad match: Broad match keywords will display your ads to people searching for that particular keyword.
6. Filter Out Negative Keywords:

Identifying negative keywords and filtering them from your campaign is one of the best strategies to improve your PPC conversion rate.

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