[SEO Case Study] 317% ROI for Asphalt Paving Company

Search engine optimization (SEO) is an important area to focus on in your marketing, and it's important to make sure your efforts are paying off. In today's article we’re sharing a case study about how we helped one of our clients generate a strong return on investment (ROI). SEO Case Study About Return On Investment (ROI) Are you wondering if SEO can really generate ROI for your business? Today I’m going to walk through an SEO case study for one of my clients that will answer this important question.

Background In early 2014 our client, an asphalt paving company, contacted us and expressed frustration that his competitors were ranking high in Google and he was nowhere to be found. He knew he was missing out on new business every year simply because prospective customers were choosing his competitors that ranked on the first page of Google. Prospective customers are searching “paving contractors”, “asphalt paving”, and “asphalt crack repair” every single day and my client was losing that business. The problem was clear. The solution was not so obvious… What We Did The first step we took was to complete what we call the SEO Tune-Up. The SEO Tune-Up includes the following: Keyword and competitor research to identify the best search opportunities Edits to core pages of the website Creation of new core pages to target additional “buying-intent” keywords Creation of new informational pages to target “research-intent” keywords Fix all technical issues like site speed, mobile optimized pages, broken links, missing schema, duplicate pages Set up and verify Google My Business profile Set up Google Analytics and Search Console to track performance In other words, we cleaned up the on-page SEO. On-page SEO is everything on your website that affects your rankings. Since you’re in full control over your on-page SEO, this is usually your biggest leverage point. Next, we switched our focus from on-page SEO over to off-page SEO. Off-page SEO is everything off of your website that affects your rankings. For example, you’ve probably already heard that citations and links on other websites can boost your search engine rankings. Those are both examples of off-page SEO factors. Since our client was focused on local customers, we focused a lot of our efforts initially on building relevant citations, or mentions of our client’s name, address and phone number online. We did this by creating accounts on all the relevant industry and geographic business directories we could find. Plus, we also launched a 2-pronged content marketing strategy: We created content on our client’s website targeting research-intent keywords with the goal of ranking in Google. We created content and posted on other people’s websites that could rank in Google and also provide a link back to our client (aka guest posts). Was all this worth it? Let’s look at the results… The Results Below is a Google Analytics report showing the website traffic, as well as the leads generated directly from SEO. A goal completion for this client is a quote request form submission on the website.

As you can see, the traffic has increased from a steady 90-100 visitors per month in 2014 to a new high of 279 in May 2016 (179% increase). More importantly, the leads from SEO increased from a high of 6 in October 2014 to a new high of 20 in April 2016 (233% increase). (Two Important Notes: 1. This is a very seasonal industry because you do not pave driveways in the winter where our client is located. That’s why there is a decline in traffic and leads between November to February each year. 2. The graph above does not include phone calls generated from SEO) OK, this sounds nice, but what’s the ROI? To get to that number let’s look at the monthly change in leads from 2014 to 2016: 30 leads from SEO in 2014 122 leads from SEO in 2015 92 more leads from SEO year over year (307% increase) Next, we need to know the average fee per sale and the lead to sale conversion rate. With a little research, you’ll find that the average fee for paving a driveway is around $5,000. It obviously depends on the size of the driveway and the complexity of the job, but on average it’s about $5,000. SEO lead to sale conversion rates is a bit harder to research. If we assume a modest 5% conversion rate, then the 92 additional leads would generate about 5 more customers, or $25,000. Lastly, we need to compare sales to the cost of the SEO work. This particular client was investing in a custom SEO package for $500/month so the ROI calculation looks like this: ($25,000 – $6,000) / $6,000 = 317% ROI. Again, it’s important to note that this calculation does not take into account the phone call leads and sales so the ROI number is a low estimate. But the ROI between 2014 to 2015 is not what’s most impressive here. If you look at the graph above you can see that 2016 outperformed 2015. That brings us to the big takeaway from this case study… SEO Is a Growing Asset When done right, SEO is a growing asset that will generate a better and better ROI each year. That’s the beauty of this marketing investment. Rather than renting ad space that disappears as soon as you stop paying the ad network, you’re building an asset that will grow over time!

6 Adwords Tips to Maximize Your Campaigns for 2017

This month I've heard a lot about New Year's resolutions and goals for 2017. For businesses using Google AdWords, those resolutions include something about maximizing their ad budgets to ensure a strong ROI.

Here are 6 tips from our AdWords analysts to maximize your campaigns this year. 

Tip #1: Say No to Broad Matching

According to Google, Broad Match "lets a keyword trigger your ad to show whenever someone searches for that phrase, similar phrases, singular or plural forms, misspellings, synonyms, stemmings (such as floor and flooring), related searches, and other relevant variations." While using broad match may enable your ad campaign to show up for more keywords, they may not be the keywords that really convert for your business.

Jane recommends only using Broad Match Modified if you are experienced and have tested your target keywords well.

AdWords provides multiple keyword match types: Exact, Phrase and Broad Match. You should always use Exact and Phrase match in your AdWords account. To get more reach, use Broad Match Modified (not Broad Match). Broad Match Modified can be identified by the + sign in your account.

Here are examples of the different keyword match types:

• Exact Match looks like this: [Adwords ROI]
• Phrase Match looks like this: "Adwords ROI"
• Broad Match looks like this: Adwords ROI
• Broad Match Modified looks like this: +Adwords +ROI

Staying away from Broad Match allows you to conserve budget until you are sure which terms convert well for your business.

Tip #2: Give Top Keywords Ample Budget

Once you have an idea of what keywords convert best for your business, it's important to make sure that your budget is being spent to support those keywords.

While you want to leave some budget to be spent on testing new keywords, it's a good idea to manage your top converting keywords by putting them in their own campaign. Then, you can dedicate the majority of your budget to flow to that campaign so you're investing in what works. This will ensure your ad spend is directed at the keywords that will perform best for your business.

Tip #3: Separate Search and Display Campaigns

Although AdWords offers the option to combine both (search network with display select), it's usually best to run these tactics separately.

There is a lot of variation between search and display performance for most accounts, so by keeping them separate you can better control budgets. When you set up a new campaign, based on what you're trying to target, make sure you choose "search network only" or "display network only."

Tip #4: Always Use Negative Keywords

Adding keywords that are irrelevant to your business as negatives can be just as beneficial as the keywords you're bidding on.

Negative keywords help reduce the amount of times your ad is served on irrelevant queries. For instance, if you run a dental practice that offers root canals, and you're bidding on keywords related to root canals, you don't want your ad to show for someone searching for "root canal malpractice".

Negatives are particularly important when running Phrase, Broad, and Broad Modified match types. You can always see the actual searches that trigger your ads by going to your keywords tab and clicking on the "search terms" button. If any searches show up in that report that you don't want to be advertising on, then add them to the negative keyword list.

Tip #5: Include Ad Extensions to Your Campaigns

Aside from the benefit of adding relevant information about your business, ad extensions work to improve overall metrics. Adding extensions can increase your click through rate, improve your quality score and even make your ads stand out from the crowd.

According to Google, accounts that include at least one ad extension see an average of 10-15% increase in click-through-rate.

You can manually add extensions like sitelinks and click-to-message to improve relevance and lead submissions. Sometimes, Google will include automatic extensions to your ad based on the information it pulls from your AdWords account.

Tip #6: Run Responsive Display Ads

Google recently introduced responsive display ads to replace regular display ads. The main difference between the two is that you no longer need several image ads (or banners ads) to set up a display or remarketing campaign. Instead, you just need to upload an image, a headline, and your destination URL.

The image will automatically adjust its size, appearance, and format to fit any available ad space. This means, your ad can show in a native, dynamic text or image format in any size, on any website with ad space. This new ad format most importantly increases your reach and saves you time with setup.

Marketing 101: Why Conversion is Key to Your Success

Your conversion rate is hands-down the most important metric in digital marketing.

 

Everything you do in online marketing is designed to convert visitors to your website into paying customers for your business.  And conversion rates don't just include sales -- people who make appointments, fill out contact forms, call you, and request free quotes also count as conversions. A conversion can be any desired action that brings your business closer to making a sale.

 

It's easy to get overwhelmed by metrics when getting started in digital marketing. You must watch click-through rates (CTRs) and cost-per-click (CPC) while always considering your return on investment (ROI). But the whole point of digital marketing is to maximize conversions for the cheapest-possible price.

 

In this article, we'll help you understand why conversions are crucial to your success.

 

 

Why Conversions Matter

Increasing the conversion rates of your online marketing campaigns is usually the cheapest way to boost your profits.

 

Think of it this way -- would you rather get more customers from Google AdWords by doubling your ad budget or by optimizing your advertising approach? Optimizing for a higher conversion rate means more bang for the buck. That's a big reason why conversion rates are so important.

 

That's not all - here are three other reasons why conversion rates matter:

#1: Conversion rates can predict success or failure.

Want to know whether your business is on the right track? Conversion rates give a pretty honest assessment, especially once you've optimized your campaigns.

 

With help from analytics reports, you can see which parts of your business get the strongest conversions, and you can predict which audiences are likely to become your best customers. Likewise, weaker conversion rates indicate where your business strategy needs work.

#2: Better conversion rates can save you money.

Campaigns with better conversion rates are generally more efficient than campaigns with weaker conversion rates. A higher conversion rate lets you cover more ground without increasing your ad budget, or you can reduce your ad budget and have cash leftover for testing new marketing tactics.

#3: Focusing on conversion rates will improve your website.

Creating an air-tight sales funnel is the key to boosting conversion rates. Your campaigns, your website and your sales processes need to be as in-sync as possible. As you learn which factors are most important for driving conversions on your website, you'll eventually discover how to make your site more valuable for visitors and customers -- and the benefits of this extend far beyond short-term profits.

How to Boost Conversion Rates

Now that we've reviewed the importance of conversions, the next step is taking action to boost your rates. Here are six easy tips to take your conversion rates to new heights.

 

#1: Sharpen your ads. The first step toward increasing conversions is nailing your ad copy to stand out from the competition.

 

#2: Optimize your landing pages. Deliver on promises made in your ad copy, and use concise, catchy headlines that immediately engage visitors.

 

#3: Test new ad funnels. Create new ads and variations of your landing pages. See how conversion rates change with different advertising approaches.

 

#4: Pare down your audience. Sometimes casting a wider net is better, but tightening your focus to specific consumer groups is an easy way to boost conversion rates.

 

#5: Use FOMO to your advantage. That's the fear of missing out. If you're advertising a sale, say in your ads or on your landing pages that time is running out -- and you can even use countdown clocks for added urgency.

 

#6: Grow your social media. Urge visitors to follow you on Facebook, Twitter and other accounts. Install social media login buttons on your website if it requires a member sign-in; people are much more likely to register using social logins. And if you have a strong social following, display the number of followers or shares on your pages for increased social proof.

 

Conversion Rates Aren't Always Reliable

Conversion rates may be the most universally important metrics in digital marketing. However, any data viewed out of context can be incredibly deceiving. Never be blinded by a high or low conversion rate without carefully evaluating all the data at your disposal.

 

Here are a few ways in which conversion rates can be deceiving:

#1: Higher conversion rates may hide poor performance.

Strong conversion rates are generally positive -- that's what you want. However, you might have a high conversion rate paired with a low sales volume. Or, despite your favorable conversion rate, perhaps high advertising costs are wiping out your ROI. Never assume your campaigns are profitable based on conversion rates alone.

#2: Some of your visitors aren't there to buy.

If you focus too much on conversion rates, you may overlook the multitude of other reasons why people visit your website. Some people may be researching products, and perhaps they'll eventually return to become paying customers. Some may already be customers and they're seeking support or checking on their orders. Do you maintain a blog? You may be building an audience. Don't become so fixated on conversion rates that you forget all the other ways your website is valuable.

#3: Conversion rates can fluctuate with different audiences.

Is your online marketing causing a large influx of new visits? If so, your conversion rates may seem unusually low. That's because new visitors are less likely to buy goods and services than established customers. Also, visitors from different traffic sources tend to convert at different rates. Using Google Analytics reports can help you determine your true conversion rates among different types of visitors.

Conclusion

Conversion rates are immensely important when optimizing your campaigns. Not only do they indicate whether your marketing is profitable, but they also reveal how visitors engage with your website. Conversions aren't all that matter -- you still need to watch your click-through rates, overall spend and numerous other metrics -- but driving conversion rates is generally the key for successful campaigns.

 

 

Are YouTube Video Ads Better Than TV Ads?

About 2 years ago, I started testing YouTube ads and I quickly discovered that one ad format, In-Stream ads, performed very well.  The other two options, In-Search and In-Display, are great if all you care about are increasing your YouTube video view count.  But if you want to drive leads and sales for your business, then you’ll want to stick to In-Stream ads.

An In-Stream ad is just like a TV ad that you probably see every day, but instead of streaming on your TV, the ad is displayed before someone watches a video online.  If you’ve ever watched a YouTube video and noticed an ad played right before the video you wanted to watch, then you experienced a YouTube In-Stream ad.

There are obviously a lot of similarities between YouTube video ads and TV, but there are also some important differences that in my opinion make YouTube video ads a far better option for many small businesses.  Let’s take a closer look at 7 of these differences.

#1: Pay Per (Actual) View Of Your Ad

Imagine advertising on TV and you only had to pay when a prospect actually watched the entire ad.  If anyone fast forwarded (skipped) your ad, then you wouldn’t pay a penny.

Sounds too good to be true when you’re thinking about buying TV ad spots.  However, this is exactly how YouTube In-Stream ads work.  You only pay for actual views of your ad! 

 After 5 seconds, your prospects have the option to click “Skip This Ad” and when that happens the advertiser is not charged for the ad spot.  We’re talking about literally only paying for views of your ad.

Clearly, that reduces a lot of the risk to give this a try.  But it gets even better…

#2: No Minimum Investment To Start

In addition to only paying for views of your ad, there’s also no minimum investment.  With traditional TV advertising and media buying, you’ll have to invest thousands upfront to lock in your air time.  Unless you have a proven ad campaign, there’s a ton of risk to test TV ads.

But again, with YouTube video ads, there’s no minimum to get started.

   

There also isn’t too much competition (yet) for these ad spots so the costs are still pretty low. In the markets we’ve tested, for about 10 cents you can get a real view of your ad, which means a couple hundred bucks will allow you to reach 2,000 prospects.  I’m not saying $200 is necessarily enough for a real test, but you get the idea.  Compared to TV, YouTube video ads are going to be much less expensive to get started.

#3: Precision Targeting Options

One of my favorite things about online advertising is all the different targeting options. 

 You’ve got the basics like demographics, geography, and time of day. Then you’ve got contextual targeting so you’re showing your ads before relevant YouTube videos.  And finally, you can layer on more advanced targeting options like retargeting and interest targeting, based on your prospects’ historical browsing behavior.

If you know exactly who your ideal customer is, then chances are very good that you can target them with YouTube video ads.

#4: More Ad Reach

This one may come as a surprise.  According to a Nielson report, YouTube reaches more US adults (18 – 34 years old) than ANY cable network. Therefore, advertising in YouTube may actually give you more ad reach than a TV commercial.

Plus, think about user behavior on this media.  My wife and I have a few TV shows we like to watch throughout the year, but we rarely watch them during their regularly scheduled airing.  We record them. Then when our kids, Violet and Emmett, are in bed and we have some free time, we watch the show. We rarely watch the commercials because we can fast forward through them.

With YouTube video ads, your prospects can still skip your ads, but only after watching 5 seconds of your ad.  That means you could have a better shot at capturing your prospects’ attention with a YouTube video ad than with TV.

#5: Easier for Your Prospects to Take Action

This is a huge difference.  When you see a TV ad for a product or service you need right now, then what are your options to take action?  You have to go find your phone and call the business if the time of day is appropriate.  Or you can go find your tablet, computer, or mobile device to load up the company website.  Or you can get off your couch and go to the actual store or office.

All 3 of those options require a fairly big step.  Let’s compare that to YouTube video ads…

For your prospect to take action on a video ad, she has to muster up the strength to move her mouse over the video ad (if it’s not already there) and then click.   After clicking on the ad, your prospect will visit your ad’s landing page where you can further explain your offer and ideally collect contact information or generate a sale.  Since video ads are online, it’s just a whole lot easier to get your prospects to take action.

#6: Easier for You to Track Your ROI

Again, since video ads are online and your prospect can take action online, it’s easier for you to track your return on investment (ROI).  Within your YouTube ad dashboard, you’ll see how many people saw your ad, how many clicked through to your landing page, and if you have conversion tracking installed, then you’ll see how many completed your webform or placed an online order.

With TV ads, it’s obviously not that simple.

#7: Free Organic Ad Impressions

Finally, with video advertising on YouTube, you get the additional benefit of free organic ad impressions.  Since the ad is hosted on YouTube like any other video, then it has a chance to rank in YouTube’s search results (by the way YouTube is the 2nd largest search engine so this can be significant free traffic).  Also, your video has a chance to be displayed and clicked on for free as a related video along the right column when prospects are watching other videos.

And the last, but not least, video ads can be easily shared with friends online by posting to social media or via email.  All of these examples give your advertisement even more exposure at absolutely no additional cost.  Who doesn’t love free exposure? :)

The Most Important KPI For A Performance Marketer

Many performance marketers continue to consider click-through rate (CTR) as a key performance indicator of their search campaigns’ effectiveness and evolve their PPC optimization strategy around that.
At the end of the day, what matters most is achieving the best ROI given your business objectives and budget, and you might optimize directly to CTR or ROI or a combination of success metrics to achieve that.
In order to have the best optimization strategy for your SEM campaigns, it is important to understand and quantify the influencers of ROI.

The Two Extreme Optimization Strategies

There are two types of strategies performance marketers consistently use as their campaign optimization strategy:
1)    Optimizing To A CTR Goal
One of the main factors influencing Quality Score (QS) is CTR, which affects your cost-per-click (CPC) and in turn affects your ROI. An increase in QS due to a boost in CTR would lower CPC and improve ROI.

2)  Optimizing To An ROI Goal (Revenue-Per-Click & Cost-Per-Click)
Direct optimization to revenue or a conversion metric is a common strategy amongst performance marketers. Making sure an intelligent bid management is in use will be crucial to your campaign’s success.

While perhaps no marketer purely optimizes to CTR or ROI, they tend to skew towards one of these camps. Each method has its pros and cons. A CTR strategy will get you more clicks but does not guarantee the highest ROI. A purely ROI approach will get you the highest ROI but you potentially lose out on customers early in the sales funnel who might eventually convert.

ROI Breakdown

ROI equals Revenue-Per-Click (RPC) over Cost-Per-Click (CPC). Data analyzed from over two dozen advertisers using econometric methods (a simplified version of the equation is shown below) shows that 34% of ROI is influenced by RPC and 66% by CPC.
Bid management is by far the most important influencer of ROI. Forty-nine percent (49%) of ROI is influenced by bid management, 13% by other factors (i.e., marketplace, seasonality, etc.), and 4% by CTR. The data show the importance of having an intelligent bid management strategy in place for your SEM campaigns. But, does this mean a CTR maximizing strategy is a wasted effort?

A Deeper Dive Into The Relationship Between ROI & CTR

Previous studies have looked at the relationship between CTR & ROI by purely relying on correlations. A correlation analysis alone cannot determine the effects of CTR on ROI, and a more robust statistical technique is required to answer that question. These techniques enable us to control for all the factors that can potentially influence ROI.
From the chart below, we do see a relationship between the CTR & ROI — but not a very strong one.


Applying statistical modeling techniques will allow us to quantify any statistically significant relationship between the two if it exists.
In this model, I control for position, CPC, industry, and bid management differences across the different advertisers in the data in addition to CTR.
The results show that there is a statistically significant relationship between CTR and ROI; but in terms of impact, it’s quite small. For a 10% increase in CTR, expect to see a 1.2% increase in ROI. This means that if you increase your CTR from 10% to 11% for a campaign with an average ROI of $5, the ROI will increase to $5.06 due to the improvements made in CTR.

Key Takeaways For Performance Marketers

• Campaign managers should utilize both strategies above in optimizing their campaigns; main focus should be on ROI but do not completely ignore CTR
• 49% of ROI is influenced by bid management; intelligent bidding is integral to a campaign’s success
• CTR does have a small but statistically significant impact on ROI; a 10% change in CTR affects ROI by 1.2%

In Summary

Focus on optimizing your SEM campaigns for ROI but keep an eye on CTR. There is no need to purely optimize to CTR as it influences only 4% of ROI; but, it is important to account for it in your longer term strategy and make sure healthy CTR rates are met and maintained.
Intelligent bid management heavily influences ROI and is absolutely necessary to ensure your ROI goals are met.