Google is now talking about something we’ve been talking about & doing for years!
WebSavvy has been built on the idea that profit should be the driver for your marketing spend.
For our clients, we optimise entire AdWords accounts based on what makes the most profit for them. When something is profitable, we encourage Google to show those ads more & more – leading to even more profit. Sometimes that might mean you actually increase the CPA you pay – which may seem counter-intuitive, and probably why so many agencies don’t do it this way.
But the numbers add up!
With a fixed CPA target you could be drastically reducing your profit. In the article Matt Lawson articulates this point brilliantly, suggesting that a $10 increase in CPA might be what your account needs to push into top spot on the search results page. That top spot creates far more sales volume for a minor increase in spend.
If your agency isn’t trying to make your AdWords account as profitable as it can be, or worse only trying to lower your CPA, then you might want to start a conversation with us!