Testing AdWords ads – Decrease your CPC with A/B testing

How to effectively decrease the cost per click by A/B testing your AdWords ads

A very efficient way by doing so, is by A/B testing AdWords ads. If you have a successful test, you can increase your CTR, hopefully your quality score, and in the end pay less per click.

You need to minimize your AdWords cost as much as possible, in order to make it profitable. Just as with any business, costs has a great influence on how profitable you are, and how much money you are in fact making.

Before you start testing all your ads; remember this. It is highly recommended, that you do not test 2 completely different ads. If you do, you cannot determine what made the ad better or worse. I always test ads by making smaller changes. For example, you could try with a different offer, or a different CTA (Call to action). If your CTA is “Buy Now!” you could try to test the phrase “Buy today!”. If you have an offer with orders above 100$ equals free shipping, try giving a discount on the customer’s first purchase. There are many offers you can test out, or call to actions.

Benefits of testing adwords ads

There are a few, but good ones. They can improve your click testing adwords adsthrough rate and your quality score – you can even generate more revenue and get more conversions, with a better ad. After all, that is what you are looking for when advertising – more revenue and more profit, right?

Imagine you are testing AdWords ads with new offer in your ad. Usually you advertise with free shipping – but you decide to try out an offer with 15% off the first purchase. If it proves to be more successful, you can gradually test it on other ads in other ad groups, and potentially lower the cost per click all over your account!

What is an AdWords A/B ad test?

When you are testing AdWords ads, it is usually referred to as A/B tests. That means, you are testing 2 ads against each other – in the same ad group. You have ad A, and you have ad B. In order to have a meaningful test, you must have different call to actions or offers, in the 2 ads that are being tested.

Increasing click through rate with testing adwords ads

If you can increase your CTR with an ad test, you will actually improve your cost per click, meaning you will pay less per click. Decreasing the price you pay for every single click, is a very powerful way of improving the performance.

 

How to set up an AdWords ad test – in AdWords

I hope you decide to set up ad tests. If (or when) you do, here is a small guide to set it up quickly. You will be able to find the ads that are being tested easily, and make a decision based on the data smoothly.

I highly recommend doing ad tests in ad groups that gets a lot of traffic. Not only will you have clearer results, but they will also come faster. You need some data before determining the better ad.

Simply log into your AdWords account, and go to the ad group in which you want to test ads. Important; Do not edit or delete the current ad. This will make the related data disappear, and there is no need for that. Click + AD, and create a new text ad, with the offer or call to action you want to test. Put the desired change in, and Save the ad.

Now, in order to remember when you started testing adwords ads, you can simply label them. To label your adwords testing ads, check them in the boxes to the left and click in Labels (above the ads). To the right of the + AD button. When testing ads, I always put the starting date in there. So if you are starting a test on the 21st of march, you can put in “Ad test – March 21, 2017” – or however your preferred way of displaying dates are.

This will make it much easier to keep track of when you started the tests, and when to stop them and make a decision.

 

Morten Bagge

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