Lowering Conversion Cost without lowering sales return has always been the advertiser’s dilemma. Increasing return has always been an amazing feat. Advertisers have pushed for the lowest conversion cost. But at the end of the sales day, they paid closer attention to sales volume and return than conversion data. As professional Adwords managers, its expected that we’ll be asked to lower conversion cost for our clients. Now at what cost can we do this? The fastest way to lower conversion cost is to lower CPC and the fastest way to do that is to lower the keywords bids and consequently lower ranking, exposure, traffic, and sales return.
So in our business, the client has passed the dilemma onto us. How are we to manage client expectations with lower conversion costs while increasing the sales revenue?
I have to admit: I’ve been dying to write an updated piece about Quality Score (QS) since 2 years ago. The game has changed forever and I’ve spent more time gritting my teeth and cursing at my monitor (logged into Adwords) than ever before. The reason is because we were told quality score was to help ‘reward’ advertisers for constructing highly relevant campaigns and adgroups. But its all different now. Where’s the reward?
When QS was first introduced to advertisers in 2005, it was just a static score used to determine the minimum CPC based on the ad relevancy to its keywords. Over the next five years, Google would add in: CTR, landing page relevancy, account history (a combine average of all CTR’s in an account, and (the best part) “other relevant factors.” I’ve always gotten a big laugh out of “other relevant factors” because as I would dissect QS, I could see there was much more unexplained reasoning for low quality scores.
An Illustration of Traditional Quality Score (Pre-2009-2010)
In August of 2008, Google restructured QS and made it a “real-time” score that would take effect as soon as someone searched on Google. Some of the other differences Google made were: replacment of minimum CPC to “first page minimum bid”, landing page quality, and landing page load time. In expectation of a rough change to quality scores, we were surprised that existing advertisers who had been advertising a while, didn’t really see much change…until 2010. Now we go into the accounts and look around at QS but we’re not in Kansas no mo.