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Conversion rate formula

Thanks for reading!

Just kidding. I want you to ask yourself – does the conversion rate really tell you the full story about your marketing performance? 

If you ask me, the answer is – “absolutely NOT”.

Not every lead is the same – therefore the conversion rate does not tell you whether your account is performing well or not.

Here are a few important ideas & metrics we follow when we’re buying traffic for our clients.

#1 – What keywords represent our client’s services & how soon is the client expecting the sale?

There’s no secret that the customer journey can vary dramatically between different buying stages. Keyword intent plays a strong role in each step of the funnel.

If you’re in Texas and your water pipe burst due to the freezing temperatures – you’re obviously going to search on Google for “Local emergency plumber” & call one of the companies that you’ll find trustworthy and is available to service your property at that time.

Now, on the other hand – imagine that you have multiple properties in California and you’re looking to install a new pool in one of the multi-million dollar mansions. Your pool people inspect the property and tell you that you need a new high-pressure water system first. It’s pretty obvious that this process would require a few more searches to review a handful of service providers to ensure that your new pool will receive the latest and the greatest.

From the 2 business perspectives – “Local emergency plumber” keyword would likely convert at 25-50%; while “luxury high-pressure pool water system” would generate a 5-15% conversion rate.

Are all of the leads going to convert in business? Unlikely. But which of the 2 will generate the highest lead-to-business ratio? 

#2 – Assign PPC data to your leads

Google ads interface only shows you clicks and conversions. How could you know if the leads are turning into business?

We’ve found an easy integration to generate a lot more data on the leads you generate, which will require a bit of technical work on your website – but it’s definitely worth it.

What we do is – we set up website forms to have “invisible form fields” that read specific parameters from your advertising URLs. In our case, these parameters are:

  • Utm_source
  • Utm_medium
  • Utm_campaign
  • Utm_term

To generate this information, we use the following Google’s tool to build out Final URL Suffixes that we use to append each keyword:

We’ll use this example campaign for reference going forward:

We’re looking to send the traffic to our website, therefore:

We’re going to buy traffic from Google, therefore:

  • Campaign Source: Google

It’s paid traffic, therefore:

  • Campaign Medium: PPC

We named our campaign “Article Sample”, therefore:

  • Campaign Name: Article Sample

The keyword we used is “PPC Blog”, therefore:

  • Campaign Term: PPC Blog

Which will generate the following URL:

Form UTM parameters

Once a person decides to reach out to us and submits a form, we would receive 9 form fields in our inbox.

  1. Name
  2. Email
  3. Phone number
  4. Website URL
  5. Text field content
  6. Source
  7. Medium
  8. Campaign name
  9. Keyword data

#3 – Here’s what to do with all of this new information.

Now, the most fun part of this – what do we do with this data?

At Best PPC, we’ve found that the best way to utilize this data is by creating a simple integration between your website leads, Zapier and Google Sheets to create a very simplistic CRM.

First, create a new Google Sheets file and fill in row A with field names from your Form.

Google Sheets - lead table template

Then you go to Zapier. Start a new Zap, search for “forms” in the Trigger section (Or, use your own custom integration). 

On the bright side – most WordPress form plugins & landing page builders have a direct integration available:

Then, you want to select Google Sheets in the Action section. Action Event should be “Create Spreadsheet Row”:

From there, hit “Continue” & map out your form fields and save your zap. Don’t forget to turn it ON! 

After a while, your Google Sheet should start looking something like this:

Lead Google Sheet

PRO TIP: You can create the same integration for your phone calls if you’re using any type of phone tracking service, such as Callrail, Call Metrics, etc.

Optimize for Revenue!

Now you see why cheaper leads are not always better. 

In most cases, a lot of businesses have already done their homework & that’s why you see them outbidding you for very specific keywords – they know which phrases are basically printing them money!

We have to remember that nothing is foolproof, but after generating enough data – companies can maximize their return on ad spend at much higher predictability than if they were just blindly gunning after the lowest cost per acquisition & highest conversion rates.

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