Improve PPC Performance with Data Segmentation

This year marketers will spend almost half of their digital media budget on pay-per-click (PPC) campaigns. On top of that, marketers are investing in internal resources, agencies partners, and tools for daily optimizations. While daily optimizations are critical to a successful PPC strategy, sometimes looking at your data from a new angle can provide new insights.

Here are three data segmentation ideas to get you started on how you can spend your paid search budget more effectively and efficiently.

Categorize keywords by stage of consumer journey.

The modern customer journey is complex (and usually not straightforward), but it’s based on 3 key stages:

  • Awareness. This is the beginning of the journey where the consumer may not know what they want or how to get it. In this stage, they will clarify their needs.
  • Consideration. At this point the customer knows what they want and does additional, targeted research.
  • Decision. At this point, the customer has made their decision, and you need to make it easy for them to convert.

Keywords and campaigns that are relevant to one stage of the journey may not relate to another. Are you spending your budget on the right ones?

Export your keyword data and categorize them by phase. Then take a look at how much of your budget is going to keywords in each stage. For example, if your business sells gardening supplies, how much of your budget are you spending on “native wildflowers” (awareness), “choosing wildflower seeds” (consideration), and “Bluebell Bellflower seeds” (decision)?

Now take this a step further. Look at which phases have the best click-through and conversion rates. Is this where your budget is focused? If not, you may want to concentrate on these phases more in future campaigns.

Explore keywords for patterns in use-case.

For most businesses, sales are cyclical. Life categories, events, activities, or seasons can determine when your customers are ready to purchase. Your PPC campaigns can even give you a hint of what these cycles are.

Here’s what you do. Export your keyword data and arrange your keywords by your KPIs or ROI. Then check to see whether there are any keywords related to life events, activities, or seasons. For example, if you’re in the fashion industry, your customers might search for “dresses to wear to weddings” and “date night dresses”, rather than just “fancy dresses.” You can use this information to optimize future keywords, ads, and landing pages.

Compare local and general campaigns.

Does your location have multiple locations? If so, your AdWords campaigns might be built to target individual locations. On the other hand, you probably still have campaigns targeting your entire business footprint. Which campaigns are more effective?

Compare this data from AdWords to see which type are more successful in helping you achieve your business goals. The results might surprise you.

This is just a short list of data segmentation ideas that can help you spend your PPC budget more effectively and efficiently. Wondering if there are any other ways your can segment your PPC data (or email, campaign, CRM, etc.)? Give us a call. We have lots of other ideas.