Google Adwords Search Advertising

Return on investment (ROI) information can help you manage a client’s campaign by helping you determine how to:

Return on investment (ROI) information can help you manage a client’s campaign by helping you determine how to:

  • adjust your client’s budget
  • optimize your client’s keywords
  • optimize your client’s ad text
  • All of the listed answers are correct

The Correct answer is

  • All of the listed answers are correct

Explanation: ROI is typically the most important measurement for advertisers because it shows the real effect that Google Ads has on your business. While it’s helpful to know the number of clicks and impressions you get, it’s even better to know how your ads are contributing to the success of your business.

To calculate ROI, take the revenue that resulted from your ads, subtract your overall costs, then divide by your overall costs: ROI = (Revenue – Cost of goods sold) / Cost of goods sold.

Example:

Let’s say you have a product that costs $100 to produce and sells for $200. You sell 6 of these products as a result of advertising them on Google Ads. Your total sales are $1200, and your Google Ads costs are $200. Your ROI is ($1200-($600+$200))/($600+$200), or 50%.

More read: https://support.google.com/google-ads/answer/14090?hl=en

 

Ali Raza

Ali Raza is a Web Developer and Digital Marketing Consultant.

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