Work with Google Ads Metrics

On the campaign’s page, you can control which metrics are displayed by selecting them. Being able to select metrics is useful when you want to view metrics at different stages of the marketing funnel.

At the Awareness stage, the metrics that you are likely to monitor are clicks and impressions.

At the Consideration stage, you are likely to monitor the clickthrough rate (CTR) or interaction rate. The CTR is a percentage of clicks only, while the interaction rate is a percentage of clicks, swipes, and any other interactions with images, text, or extensions.

At the Conversion stage of the marketing funnel, you would likely monitor the number of conversions, cost, conversion value per cost, and conversion rate.

As a reminder, a conversion happens when a potential customer takes the desired action. In most cases, that action is a purchase. Cost is the investment made on campaign ads. Conversion value per cost estimates the return on investment. It’s calculated by dividing the total conversion value by the total cost of all ad interactions. Finally, the conversion rate is the average number of conversions per ad interaction.

Get started with Google Ads

Note: The information below is for reference purposes only on how to set up a Google Ads account.

Prerequisites

To set up a Google Ads account, you need a:

  • Google account (you can use an existing Google account or follow these steps to create a new Google account)
  • Website for your business

If you don’t have a website, you can still use Smart campaigns. The Smart campaigns feature enables you to advertise on Google Search, Google Maps, Gmail, YouTube, and certain Google partner websites without necessarily having a dedicated website.

Steps to set up an account

The following steps need to be completed to set up a new Google Ads account:

  1. Determine a campaign goal
  2. Choose the campaign type
  3. Configure campaign settings and features based on your chosen campaign type
  4. Decide if you’ll use an ad group
  5. Create the ad
  6. Enter billing information, including a payment method

Steps 1 through 3: Campaign goals, types, and settings

When you create a campaign, select a goal. It should be the primary objective of the campaign. For example, if your main objective is to increase the number of people visiting your site, you would select Website traffic as the goal.

The following table summarizes the categories of goals used in various types of campaigns. Campaign settings will differ and will depend on the campaign type you select.

Steps 4 and 5: Ad groups and ads

An ad group contains one or more ads that target a shared set of keywords. Ad groups are extremely helpful to organize ads based on keywords so you can select the right ads for a campaign based on the most relevant keywords. Fewer and larger ad groups that are split by business objectives consolidate traffic and increase the number of impressions per ad.

Step 6: Billing

The payment methods for your account depending on the currency and the country where your business is registered.

Certain billing information is required when you create an ad and will include:

  • Billing Country: determine the other billing options
  • Time zone
  • Account type (Business or individual)
  • Billing name and address for the account
  • Name, phone number, and email address of the account’s primary contact
  • Payment method information

More resources

You can refer to the following links for more information about setting up Google ads:

Dashboards, scorecards, and reports in Google Ads

The Google Ads Overview page features a standard dashboard to monitor key advertising metrics. You can also create additional dashboards. In any new dashboard, you can add scorecards, charts and tables from reports and notes if you’re collaborating with others on a project.

Dashboard examples

In the Data Studio Report Gallery, you can find a lot of examples like:

  • Account health: These are examples of dashboards for account health and include views of overall account performance and performance of individual campaigns such as search, display, video, shopping, and mobile app campaigns.
  • Ad group performance: This is an example of a dashboard with selectable options to display the performance metrics for a campaign, campaign type, ad group, or device.
  • Performance by day: This example of a dashboard with selectable options to display the clicks and click-through rate (CTR) for responsive search and expanded text ads for a campaign, ad group, or device.

Steps to create a dashboard

To create a new dashboard in Google Ads, complete the following steps:

  1. Sign in to your Google Ads account.
  2. Click the Reports icon.
  3. Select Dashboards.
  4. To create a new dashboard, click the plus icon.

Scorecards

Scorecards are commonly used to visualize key performance indicators on a dashboard. To add a scorecard to a dashboard, complete the following steps:

  1. From the dashboard, click the plus icon.
  2. Click the Scorecard icon above the dashboard.
  3. Enter a name and description for the scorecard.
  4. Choose the measures you want to include.
  5. (Optional) Enter a filter you’d like to add to the data.
  6. (Optional) Add conditions for conditional formatting.
  7. (Optional) Customize the data shown in your scorecard by checking the boxes to include items like a Sparklines chart, percent change, and absolute change.
  8. Click Add.

Reports

You can also create a table or chart using the built-in Report Editor and then add the table or chart to a dashboard. To add a table or chart to a dashboard, complete the following steps:

  1. From the dashboard, click the plus icon.
  2. Click the Reports icon above the dashboard.
  3. Select Report and then select Create Report.
  4. Click Create Report and select Table to create a table or select the type of chart you want to create.
  5. Drag and drop a dimension into a labeled section. The dimension you select determines the metrics available in the next step.
  6. Drag and drop metrics, such as Clicks or Conversions, into a labeled section to include the data in the table or chart.
  7. Name your report, and click Save.
  8. (Optional) Enter a description for the report.
  9. Click Apply.

Resources for more information

View and apply recommendations in Google Ads

To recap, there is an optimization score on the Recommendations page. The closer the score is to 100%, the better your account is optimized to perform well. To help you improve the optimization score of your advertising, you can review the recommendations and predicted impacts on the Recommendations page and potentially apply one or more of them to your campaigns. There are five categories of recommendations.

Ads and Extensions

Recommendations for ads help maximize performance, such as an ad’s click-through rate (CTR). Creating a responsive search ad is an example of an ad recommendation. Adding image or location extensions are examples of extension recommendations. Extensions allow advertisers to add additional elements to complement the text in ads. For example, when an image extension appears on a search results page, potential customers are shown headlines, descriptions, and a URL along with the actual image. When a location extension appears on a search results page, your address or a map of your location is shown. Image and location extensions can help improve the CTR for ads.

Keywords and targeting

Keyword recommendations include actions like pausing poorly performing keywords, removing duplicate keywords, or adding new keywords. Examples of targeting recommendations are displaying all available products instead of just some products or reaching new customers by showing ads to additional users.

Bidding and budgets

Bidding recommendations can help you land on the right bid strategy to meet your business goals. Budget recommendations can help you maximize the best of your budget. Examples include adjusting return on ad spend (ROAS) targets, moving to an automated bid strategy, or adjusting budgets in campaigns that set to maximize conversions.

Repairs

Repairs recommendations identify problems with campaign settings or management so you can fix them.

Automated campaigns

Automated campaign recommendations help you maximize performance by switching to fully automated campaigns, such as Smart Shopping or Smart Display campaigns.

How to manage recommendations

Most advertisers don’t apply every recommendation that Google Ads presents on the Recommendations page. If you did apply every recommendation, you would be better served by an automated process. So why do you need to review recommendations? While some recommendations can be applied immediately, others won’t make sense for your campaign or will require additional planning or testing to be implemented successfully. One approach to managing your recommendations is to review each recommendation presented and decide whether you will:

  • Immediately apply it
    Most recommendations are displayed with an Apply button. However, the Apply button is usually reserved for immediately implementing recommendations that are maintenance-like by nature. This includes recommendations classified as repairs, but can also include modifications to ad copy or suggestions like switching to an optimized ad rotation to automatically show your best ads at auction time. For recommendations that you would normally choose to apply immediately, you can consider enabling the Auto-apply setting to save you time.
  • Plan to apply it later
    Many recommendations will make sense for your campaign, but you might not feel comfortable applying them without testing them first. These are recommendations you can plan to apply later. For example, if your account isn’t using a Target CPA bid strategy yet, but you know you want to move to it, you’ll want to make sure conversion tracking is set up properly before you apply this recommendation. You might choose to gradually roll out a Target CPA bid strategy instead of applying it to the entire account right away.
  • Dismiss it (for now)
    Sometimes recommendations will populate that you just aren’t ready to implement. For example, if you’re using Target CPA and set a value tied to your conversions, you may see a recommendation to use Target ROAS instead. However, if the value tied to your conversions is being checked for accuracy, you won’t want to move to Target ROAS right away. You would prefer to wait until the accuracy of the number of conversions is confirmed. These types of recommendations can be dismissed. Sometimes recommendations are simply not applicable to your account. It’s a good idea to review and dismiss these recommendations because Google Ads continuously learns what kinds of recommendations are best suited for your account. Each recommendation you dismiss helps to improve future recommendations.

Effect of recommendations on optimization score

If you plan to eventually apply a recommendation, don’t dismiss the recommendation just so you can keep your optimization score at a certain level. The optimization score associated with your account isn’t a precise measure of how your account is performing. It’s an indication of how well Google thinks your account is optimized. It’s fine to see a drop in your optimization score if you plan to implement a recommendation later.

Additionally, if you don’t click the Apply button for a recommendation but take steps to apply the recommendation elsewhere, the recommendation will be considered applied and will have a positive effect on your optimization score. For example, if you implement site links in the GoogleAds Editor as suggested by a recommendation, that recommendation will be considered as having been applied.

Google Ads recommendations rely on historical data to help predict if your ads will perform well. They are suggestions to help improve campaign performance and keep a campaign fresh and relevant. Examples are suggesting new keywords, an alternate bidding strategy, or new versions of ads. You can apply some recommendations immediately, but many recommendations require additional planning before you implement them. It’s best to review recommendations and decide which recommendations you will apply immediately, plan to apply later or dismiss for the time being.

Resources

Happy learning and good luck!

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