Google Ads Benchmarks

Google Ads Benchmarks

Google Ads Benchmarks – What does good look like?

Whether you’re spending money on pay-per-click (PPC) for the first time or it already forms part of your ongoing marketing mix, you’ll want to know if it’s working – or more importantly, working as well as it could be.

But how do you know how well your ads should be performing?

First of all, what looks like a good result for one industry might not be good for another. For example, average click-through-rates (CTR) in the dating and personal services industry are around 6%. But this doesn’t mean that all industries should expect these results. A good CTR for finance and insurance sector businesses, for instance, is around 3%. Reasons for this could be that it’s easier to write engaging and powerful ad copy for people searching for love, than for people searching for insurance.

Setting the standard for the Education sector

Given our vast experience in the education sector, we’re achieving some incredible results for our clients that are significantly outperforming the industry standard.

According to the Google AdWords Industry Benchmark report from 2018, Google Ads in the education sector receive an average CTR of 3.78% with an average CPC (cost-per-click) of £1.85.

Because we work a lot in this sector and have a lot of knowledge as to what works and which keywords should be targeted, we see an average of 11.96% CTR and CPC of £0.57.

Our education clients, in particular, are being rewarded by our refusal to settle for “good enough” results. Each campaign is constantly monitored – several times a day if necessary – and a full post-campaign analysis is provided to every client, which identifies areas for improvements and allows us to build on what worked best.

It’s not just the education sector where we’re seeing great results. Whatever your industry, get in touch to see if we can help with your own Google Ads campaigns.

The importance of quality score

We’re able to achieve results like this because of our extensive industry knowledge and our carefully crafted ad copy, which fuels our average quality score of upwards of 7 out of 10.

To increase the quality score of your adverts you can try these methods that we find work really well:

Increase the ad relevancy to the landing page where the advert is linking to. If possible, include phrases and keywords that appear on the landing page in your advert copy.

Ensure that the landing page you are linking to from your advert is relevant to what the user is expecting to see from clicking the advert.

Essentially, the more relevant the advert copy is to the landing page, the better the advert will perform which in turns raises quality score and reduces cost per click.

Find your industry benchmark

One of the biggest challenges faced when comparing your own results to your competitors, is the lack of information out there. For the purpose of this article, we’ve done some research and found one of the most comprehensive insights on this topic comes from WordStream and their Google AdWords Industry Benchmarks report. This report contains ad metrics for twenty industries. A summary of Average CTR and Average CPC can be found below:

Ave. CTR and Ave. CPC in Google Ads by Industry
IndustryAve. CTRAve. CPC
Advocacy4.41%£1.10
Automotive4.00%£1.89
B2B2.41%£2.56
Consumer services2.41%£4.93
Dating & personals6.05%£2.14
E-commerce2.69%£0.89
Education3.78%£1.85
Employment services2.42%£1.57
Finance & insurance2.91%£2.65
Health & medical3.27%£2.02
Home goods2.44%£2.26
Industrial services2.61%£1.97
Legal2.93%£5.20
Real estate3.71%£1.82
Technology2.09%£2.93
Travel & hospitality4.68%£1.18

Don’t settle for average

Having seen where companies like yours are ranking in terms of CPC and CTR for Google Ads campaigns, go and check your own results and compare them.

There are lots of things that can influence and affect your results, including ad copy and your ad’s quality score. These are just a couple of the things we can help you improve in order to achieve a higher CTR and drive a lower CPC.

For help raising the standard on your own Google Ads, contact our digital marketing team by emailing team@forwardandthinking.com

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