The era of massive advertising and spending resources without measuring results is already a thing of the past. In today's digital world, tools like Facebook Ads and Google Ads are essential to reach the right audience. However, how to measure and optimize the profitability of these campaigns? Here we present the fundamental metrics and KPIs to evaluate your investments in these platforms.
Differentiating Metrics and KPIs
Let's start by distinguishing both terms. Metrics are data that reflect the performance of a stock over a period of time. On the other hand, KPIs (Key Performance Indicators) are crucial business metrics for decision making. They are the values that really matter for the success of the business.
Main Google Ads Metrics
When using Google Ads with defined objectives, it is essential to monitor and analyze the results through key metrics and KPIs. Some of the most relevant include:
- CPC (Cost Per Click): What we pay every time a user clicks on an ad.
- CPA (Acquisition Cost): The average cost of a desired action, such as a download or purchase.
- Impressions: The number of times an ad is shown, useful for branding campaigns.
- Impression Share %: For search campaigns only, measure how many times your ad appears in searches.
- CTR (Click-Through Rate): Relate clicks to impressions to measure the effectiveness of an ad.
- Conversions: They indicate whether users take the desired actions, such as purchasing or downloading.
- CR (Conversion Ratio): Measure the success of an ad by dividing conversions by clicks.
KPIs to Evaluate Success
In addition to these metrics, there are Fundamental KPIs To determine the efficiency of your advertising investment:
- MQLs/SQLs: Not just leads, but leads validated by sales and marketing, along with their cost.
- sales: Measure the volume and profitability of sales generated by the campaign.
- ROAS (Return on Ad Spend): Indicates the profitability of the advertising investment.
- ROI (Return on Investment): Relates income to total investment.
At IMMORAL, we seek to maximize ROI and ROAS, ensuring the profitability and value of each conversion. Our approach focuses on tangible results and a direct return on your investment.
If you prefer to concentrate on your main activity, at IMMORAL we are experts in maximizing the performance of your digital campaigns. Contact Us and our team will be in charge of helping you achieve your business objectives effectively and profitably.