According to the Google Economic Impact Report, Google ads helped provide around $385 billion of economic activity in 2019. Without a doubt, Google is the main focus for many marketers and businesses that want to increase their profits. And looking at the numbers, it seems the focus is well placed.
They are an effective way to promote a brand to a top spot on the search engine result page. But no matter how good you think your ad is, it’s really important to track your conversion rates closely and see how it’s performing.
For many businesses, results are synonymous with revenue, meaning how much money you’ve directly made from the ad. Here’s how to track revenue in Google ads.
How Google Ads work
Google ads are a form of PPC ads that allow you to create promos using the massive reach Google has as a company. These ads can appear in the Google Search Network, or Google Display Network, which contains other websites and apps part of this community.
The Google Search Network ads are the most common type when you think of ads made through Google. These are those ads that appear between the organic search results, usually in the first two positions. When a user types in a search term in Google, the algorithm will display your ad whenever there is a match, so a user can then click on the ad and visit your landing page. Or, to increase the accuracy of the match, you can choose negative keywords that will exclude certain queries.
When it comes to the Google Display Network ads, these are shown as banners on other websites, or even in Youtube videos, or apps that are part of the network. Here, you can target an audience based on keywords, or by choosing specific websites, or audience demographics, depending on what you think would be most effective for your product or service.
Since it’s a PPC ads campaign, you will only pay each time a user clicks on the link, and not each time the ad is displayed.
How to Track Revenue
Google Ads allow detailed tracking for all the ads you run through the platform, and if you also integrate it into your Google Analytics, you can have all the information you need about ad performance, and what users are doing on your website.
To track your revenue, you first need to tell Google what type of action you want them to count as a “conversion.” These are actions a user takes that are deemed desirable:
- Website views
- Downloads, etc.
You will have to set up conversion tracking for your website. If you just run the ad, Google Ads can only tell you if a user clicked on your ad or not, but what they do once they’ve reached the landing page isn’t trackable by default.
Google Analytics does track the website’s activity, but assuming you also have other sources of traffic, you may not be able to follow which conversions came directly from the ads, even if you integrate the two services. So, a solution would be to allow Google Ads to track the user beyond the stage they click the link.
How to Set up the Conversion Tracking
Conversion tracking in Google works by adding two pieces of code to your website: the global site tag and the event snippet. But until then, here are the steps to generate these codes:
- Go to your Google account and select *Conversions” under the Measurement tab in the settings;
- There, you will select the “Website” tab where you’ll be asked to write a conversion name. If you will have multiple trackers, give a descriptive name, such as “iPad mini purchases.” You can also add a description by selecting a category/to segment your conversion in the reports
- Then, select how to track the value of each conversion. You should use the same value for all conversions unless the value itself is different, like if you’re tracking conversions for products at different prices. This is so that you can get a direct calculation of your revenue in case you are selling something, but you can skip this step if your conversions have no monetary value.
- Under “Count,” you need to select how to count your conversions. The “one” option is best when only one conversion per ad click ads value, like in the case of lead generation. For sales, you need the “every” option, where every conversion adds value.
Once you click “create and continue,” Google will generate the codes and guide you on how to install them, which is usually nothing more than a simple job of copy-pasting the codes. Then, you can check Google Ads and check the “Status” of your racking under the “Conversions”/section to see if you’ve installed it correctly. It won’t show any results right away, but it should tell you if it’s active or not.
After that, you can create ads, optimize the ads budget, and start tracking your revenue right in your Google Ads account. Remember to also keep a look at other metrics apart from the conversion rate, such as ad frequency/or the number of clicks to get a full picture.
It’s Worth the Effort – and We Can Help
Google search ads can be confusing, but a well-designed campaign can truly pay off when it comes to your revenue. Sure, other paid search tools exist as well, but none that have the same impressive reach as Google.
Are you having trouble with your ads campaign? Reach out to Australian Internet Advertising, a leading Google Ads Agency in Sydney and let our expert show you just how fruitful a good Google can truly be.