Learn how our clients are crushing it like never before! Start with a Growth Plan!

   +1 (480) 908-8609  625 W Adams St, Chicago IL 60661 

Five Things to Consider Before Running Google Ads

There’s no doubt that Google Ads can be a powerful tool for businesses of all sizes. However, before diving in and running ads, there are several things to keep in mind.

Lucky for you, our Client Manager, Mel, and Director of Operations, Leandra, shared the five key areas businesses often overlook before running Google Ads in this video. And we’re breaking them down in this blog.

By considering these five points first, you can maximize the effectiveness of your Google Ads campaigns and avoid wasting resources so you can easily make a profit.

Know Your Numbers

Before running Google Ads, it’s important to take a look at your current numbers. These include your Lifetime Value (LTV), Customer Acquisition Cost (CAC), profit margins, and many others.

Don’t know how to calculate your CAC and LTV? Polar Analytics has a free calculator you can use.

Knowing your numbers will help you and your Google Ads agency (if you’re hiring one) to determine realistic goals.

Many businesses come to us and they just say, “We want more sales or we want more leads! Let’s do this!” 

Know your numbers before running Google Ads

We get it, that’s what we all want-we want to see your business grow. But it’s really important to quantify what your goals actually are. All parties involved have to be clear on how you define the growth you expect to see and translate that definition into actual numbers.

Because it’s easy to come in and say, I want a 300% return on ad spend (ROAS), but it’s also possible that you don’t need 300. 

For example, you could be perfectly profitable with let’s say 200 because of your Lifetime Value. 

Your numbers will help us predict when and how we can achieve that growth- the types of campaigns to run and then ensure you’re tracking the right metrics to determine the success of your campaigns. 

Most importantly, the numbers will help us determine if your goals are achievable in the first place.

Set a Realistic Budget

Now that you know your numbers, it’s time to set one of the most crucial digits for Google Ads.

We’re talking about your budget. Before running Google Ads, it’s important to set a realistic budget that you’re comfortable with. 

We also recommend that you understand how much the CPC (cost per click) for your industry is. This will help us gauge how much budget you should put in to see profitable results.

But don’t think of profit yet, here’s where the risk comes in: expect to lose your budget in the first three months as you experiment, tweak, and optimize your campaigns. 

Set a realistic budget for Google Ads

In these first couple of months, Google Ads will go through the learning phase, especially now with Performance Max campaigns where ads will be displayed in all of Google’s channels. You then have to see what types of campaigns and strategies are going to work for your business and if Google Ads is going to work for you. 

At the end of the day, Google Ads is a test.

Optimize Your Website

A great way to optimize your Google Ads campaigns is to make sure your website is optimized and ready for conversions

Remember, you’re paying Google Ads to drive relevant traffic to your website and at the end of the day, it’s your website’s job to convert leads into paying customers.

Your website should make it easy for your customers to convert

Your website doesn’t have to be aesthetically pleasing so you can get conversions! In fact, 80% of our high-performing eCommerce clients don’t have aesthetically-designed websites.

Don’t focus on the the aesthetics of your website, focus on functionality, focus on your goal- conversions.

Optimize Your Website before running Google Ads

Basic website optimization includes:

  • You have a clear call-to-action (CTA) on each page
  • The user experience is seamless from start to finish
  • Conversion tracking is in place

Check out our website CRO (Conversion Rate Optimization) checklist here for more information.

Pricing Your Products or Services 

Fourth on the list of things to consider before running Google Ads is the pricing of your products and services. Pricing is always a big factor in sales, but this doesn’t mean you have to be the cheapest product or service in your industry. 

If you are selling similar products to other companies, just make sure that your pricing is competitive. If your costs or other factors don’t allow competitive pricing, your unique selling proposition should be clear for people to understand why they should pay more for your product or service.

Pricing Your Products or Services before running Google Ads

People will still pay a little bit more as long as your product or service is unique. As long as it can help them meet their goals or help them with their challenges, they’ll buy it. 

There’s no point in running ads if people aren’t going to buy your product because they can get a similar one for a cheaper price on Amazon.

 What Other Marketing Efforts Are You Doing?

Last on the list to consider is the other marketing efforts you are doing aside from Google Ads.

If you’re planning on only running Google Ads for marketing, you should think again. Google Ads should not be your only strategy, remember- it’s not magic.

You should take a look at other marketing strategies like content marketing, email marketing, social media, and other strategies applicable to your business.

What Other Marketing Efforts Are You Doing

It’s important to invest in different advertising channels and not just rely on one. They fill in each other, just like pieces of a puzzle. For example, getting Facebook traffic can help your Google remarketing- they can work together like that. 

And as the saying goes, “Don’t put all your eggs in one basket.”

You should run everything with caution and ask yourself what you’ll be left with if Google Ads will not work for your business.

Conclusion

Considering the five points above before even planning out your Google Ads campaigns can increase the chances of your campaigns being as effective (and profitable) as possible. 

If you’re still feeling unsure or need help getting started, we’re always here to help! We have a team of Google Ads experts who can help you get the most out of your campaigns. Get in touch today to learn more.

And if you want to get more tips like this, be sure to head over to our YouTube channel! Every single day, we film a video to bring you the most recent news, updates, strategies, and step-by-step tutorials about everything Google!

Author

Get even more value!

  • Services
  • About Us
  • Resources
  • Case Studies
  • Contact