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A Serious Look at Paid Search Marketing Strategies, Tactics & Tools

Cut Your AdWords Losses In Half – Guaranteed

Last week I talked about killing unprofitable keywords, and promised a follow up with guidelines on making the all-important pause/delete decision.

Before getting to that, however, I want to offer a solution to the problem. One that avoids much of the downside of turning keywords off and avoid the hassle of working to actually improve results.

It’s a pretty simple idea. And it’s guaranteed to cut your losses in half.

One limitation is that this method isn’t available at the keyword level. It only applies to campaigns or ad groups that loose money – although obviously those are made up largely of money loosing keywords but a few winners may get caught in the net.

By ‘lose money’ I mean generate less revenue than their direct advertising expenses. This solution only applies when there is a negative ROAS.

Here’s How It Works

Suppose you have an AdWords campaign and last month the expense was $540 but revenue was only $350. ROAS for this campaign was only 64%. For every $1 you spent in AdWords you got back $0.64 and lost $0.36.

This is a classic money losing campaign. It’s probably full of the kinds of money losing keywords discussed in the last post. Most accounts have some of them, many accounts are full of them.

Want to cut that loss in half?

Pause the campaign. Send me the $540, and instead of that paltry $350 that you got back from running the campaign in Google, I’ll send you back $445. That cuts your loss in half, and represents a 27% revenue increase – your boss will be impressed!

Note that if the accountants at your office don’t like it, I’ll be glad to make the $445 in purchases on your web site. And the invoice will be clearly labeled as an advertising fee. Think of it as advertising to me.

If you’re willing to lose $190 advertising to lots of people via Google, for the same investment you can lose only $95 advertising directly to me. A guaranteed 50% reduction in your advertising losses.

Everyone’s Eligible

Note that the numbers above are only for example purposes. I know many of you out there have campaigns and ad groups loosing a lot more than $190 every month, and there is no limit on this offer.

Go ahead and sign up those $5,000 losers or even the $50,000 losers. Whatever your loss, it will be cut in half.

Sign Up Now

With an offer like that, how can you keep those money losing campaigns and ad groups running?

If you’re not going to sign up, why are you keeping those campaigns and ad groups running? Please explain.

You can sign-up using the form below.

  • Calin

    Brilliant, Craig, simply brilliant.rnrnI’m now considering investing 500 in a campaign that makes 499 USD, pausing it, sending 500 to you and expecting to get back 499.5 AND a phone call with you. In my opinion, a phone conversation with you is well worth 0.5 USD + transfer fees :) .rnrnNow, from your point of view: you get 500, send 499.5 back, pay your transfer fees, and the phone call. Am I (the lead) worth transfer fees + phone call – 0.5 USD? :)

  • Calin

    My previous comment is not approved yet, but now I see that while hovering over the monthly revenue field there’s a condition that is stated only there (and not in the post’s text or the small text under the field): monthly revenue at least 10% under spend, which means that Craig wants at least 25$ – transfer fees – phone call costs + lead value :) .

  • Ross

    put a smile on my face :-)

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