Have you been investing in Google and Facebook ads? How are they performing?
You might know about various performance metrics used in the online marketing world. But might not be sure which of them are most relevant to your business or how to best interpret and use them.
No matter what industry you’re in, your online ads should show as many times as possible, to the right people. They should also grab their attention – enough for them to click on the ad and take action.
Number of Impressions, Conversions, and Clicks are important to track. Other key metrics include Click-Through Rates (CTRs) and Cost Per Action (CPA).
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- Every time your ad shows it counts as an Impression.
- When a person takes a desired action it counts as a Conversion. This could be hitting the “buy button”, signing up for a newsletter, filling out a form to become a lead, placing a call, etc.
- CTR is the number of clicks your ad receives every time it’s shown. It’s the number of clicks per impression. Giving you a good idea of how effective the ad is at attracting potential customers.
- CPA is what you pay per conversion (i.e. your specific desired action). This is helpful in calculating your return on investment.
Compare CTRs and CPAs to those of your industry. You’ll get a better picture of how your ads are performing.
Wordstream, an online advertising tool, collects Google Ads and Facebook ad performance data across various industries. They provide industry averages for the most relevant metrics. Once you have your own metrics, you can compare the effectiveness of your ads against that of your industry peers.
Click here to access Wordstream’s Google Ads Industry Benchmark Data.
Click here to access Wordstream’s Facebook Ad Industry Benchmark Data.
Metrik Marketing strives to meet and beat these industry benchmarks on behalf of our clients.
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