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Calculate The Impact Of Optimizing Your Adwords Account


This tool can be used to get an idea of what impact changes in Cost Per Click (CPC) and Conversion Rate have on the results of your company. Even though we´ve tested the tool, it is still possible errors exist. If you do find problems, please use the contact form to inform us. We do not record any data that you fill out in this tool. The tool simply performs the calculations and shows them to you only.

The objective of optimization of a PPC account should always be to decrease CPC and increase Conversion Rate. This tool will show you 3 columns of data: The "Before" situation which could be your current situation. The "After" situation, which is based on the changes in CPC and conversion rate that you fill out and an aditional column that shows the difference between before and after.

Brane is not responsible for what you do with the information you get from this tool.

Please, fill out the field "Monthly Revenue"

Please, fill out the field "Monthly Profits"

Please, fill out the field "Number of Products Sold per Month"

Please, fill out the field "Monthly Adwords Budget"

Please, fill out the field "Average Cost Per Click"

Please, fill out the field "Conversion Rate"

Monthly Revenues $ (example 30000)
Monthly Profits $ (example 8000)
Quantity of Products Sold per Month   (example: 48)
     
Monthly Adwords Budget $ (example 2500)
Average Cost Per Click $ (example 0.5)
Conversion Rate % (example 0.4)
     
Change in Cost Per Click % (example -20)
Change in Conversion Rate % (example 20)

Explanation of the fields Change in cost per click and change in conversion rate.

Change in Cost Per Click
Suppose your average CPC is 1 dollar. A change of -20% would result in an average CPC of $ 0.80

Change in Cost Per Conversion
A Conversion rate of 1% means you have 10 sales in every 1000 clicks. A change of 20% would result in a conversion rate of 1.2% which means 12 sales in every 1000 clicks.

What is reasonable to expect?

It depends a lot on how a campaign is set up to determine what is reasonable to expect. But there are some simple guidelines:

  1. If you are obsessed with the first position, and you´re willing to let go of that obsession, you may achieve a reduction in CPC of as much as 60% (fill out -60 in the form above) or even more.
  2. If all your ads and keywords link to the home page of your site you may achieve an impressive increase in conversion rate. Even though conversion rates are more difficult to predict, in this situation try working with a change of 100% (fill out 100 in the form above) 100% increase in conversion rate means you´re selling twice as much as before.
  3. If you use very few keywords, you may achieve a much lower average CPC and higher conversion rate.
  4. If you feel like the above 3 points do not apply to your account at all, your expectations should be moderate and it is perhaps time to find out more about landing page optimization and testing.

 

 

 

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