The Ad Stats You Want to See
Are your Meta and Google Ads campaigns truly hitting the mark? Sure, getting clicks is great, but how can you be certain your ads are performing at their best.
Tracking the right metrics is essential to optimizing your ad campaigns, and when done right, ads on these platforms should contribute significantly to your brand’s overall revenue. This paired with creativity and innovation allows us to make strategic decisions in the account that will get our clients the best possible results.
For example, after consistently scaling and learning in the account for the last few years, one of our clients has seen an impressive 746% increase in revenue from ads alone!
Here are the metrics we’re looking at to make this happen, and some avg. benchmarks to keep in mind:
Meta Ads:
Cost Per Acquisition (CPA): this varies depending on industry and product offering but this is one of the number one metrics to look at in order to evaluate the success of your ad(s). Set a benchmark CPA by analyzing your avg. AOV and LTV of a customer as well as your goal ROAS.
Click-Through Rate (CTR): 1.5% or greater
Conversion Rate: 2% or greater
Frequency: Keep it below 3 to avoid ad fatigue
Return on Ad Spend (ROAS): Dependent on the industry but on avg. 2x or greater
Google Ads:
Click-Through Rate (CTR): 2% or greater for Search campaigns, 0.5% or greater for Display campaigns
Cost Per Click (CPC): Varies by industry, but aim for $1 - $3 for Search, and $0.50 - $2 for Display
Conversion Rate: 3% or greater for Search campaigns
Return on Ad Spend (ROAS): 3x or greater
If your CTR is low, try A/B testing different ad creatives or copy. CPA or CPC too high? Optimize your targeting or adjust your bidding strategy and don’t forget to regularly review and refine your audience segments. Poorly targeted ads can lead to wasted spend and reduced campaign efficiency. Remember, continuous testing and optimization are key to maximizing the performance of your Meta and Google Ads campaigns. So, keep an eye on these metrics and adjust your strategy accordingly to ensure your ads are not just performing well, but exceeding expectations.
If you still have questions about ads or are too overwhelmed to even get started, don’t hesitate to reach out. Our team of experts at Milked Media can help you no matter where you are in the process. Let’s reach those goals together!