Adwords: Pay for conversions only!
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Google is updating their algorithm all the time, and adwords have now launched something very interesting: “PAY FOR CONVERSIONS”
This is very interesting within the online business industry and especially e-commerce and similar business. You can now chose an option to ONLY pay for conversions on your website. However this doesn’t work for offline conversions or cross-device conversions (at the time being).
CPA is already a used feature in AdWords bidding, but in principle CPA has always been settled per. click anyway, so it’s especially interesting that we see this move from Google and even on Display, brilliant!
Smart Display Campaigns and the “Pay for Conversions” (PFC) model are relatively new, and we therefore encourage everyone in the industry to create their own experiences so far. We’ve made a small guide to how to get started with Smart Display Campaigns and Pay For Conversions.
Before you start
Before you get started, it’s important to know that Pay for Conversion applies only to Smart Display Campaigns so far. Smart Display Campaigns is Google’s new venture on a display campaign that combines multiple display products into a single campaign. For example, by combining both contextual targeting with remarketing and a lot of other things that we typically see in display campaigns.
Therefore, we recommend that you just grasp what a Smart Display Campaign is before you begin to play with the campaign type. We recommend reading the latest information from the Google Help Center here: https://support.google.com/adwords/answer/7528254
Pay for Conversions Requirements:
You must have 100 conversions within the last 30 days. 90% of these 100 conversions must have been made within 7 days of the click on the ad.
Get started with PFC
1. Create a new campaign in the new AdWords interface. Choose Display:
2. Select a goal, for example. “Sales” if you focus on Ecommerce, or Leads if you focus on leads, then select the option of “Smart display campaign”:
3. On the next page you have the option to choose focus on Conversions and the new “Pay for: Conversions”:
This is huge for the e-commerce industry but also SAAS and other related online businesses. Potentially any website or business that are looking for either sales or leads. Even though you have to get 100 conversions within the last 30 days, this can be a lot of this can be nothing, depending on your product or services. We will know for sure that Google ins’t going to launch such features if they don’t know if it’s profitable or not.
Some of our clients are already working with PFC and are getting great results already.