Here are 5 indicators that "professionals" must know by heart to "pour money" into effective advertising.

Click-Through Rate (CTR) - Click-through rate: The secret to "sticking" customers at first sight!

Imagine you are surfing the web and see dozens of ads. CTR is the "attraction" of your ad, deciding whether users will stop and click on it. It is not just a number, but Google's "likeability index", showing whether your ad is "in line" with the searcher's taste or not.

• A high CTR is proof that you understand your customers very well. Your ad solves the right problem, the title is stimulating enough and the extensions are making the ad stand out from the "sea" of competitors. On the contrary, a low CTR is a reminder: your ad content is "boring" or not targeting the right audience.

In the real case of a customer in the E-commerce industry selling smart home appliances, the CTR is "poor". Although the ad is always at the top, the number of clicks is very low. After analyzing, we realized that the ad copy was too general. For example, instead of just writing "Modern kitchen equipment", we tried to change it by going straight to the specific need: "Air fryer A - 30% off - Healthy cooking". As a result, CTR increased 4 times. The lesson learned is: go straight to the customer's problem, don't beat around the bush!

Don't let your ads "invisible" to your customers. Turn CTR into your secret weapon to attract them.

Cost Per Click (CPC) - Cost per click: Don't just pay, "buy" the effectiveness!

Many people still think that if you want to be on top, you have to pay a high price. But on Google Ads, the story is not that simple. Google prefers "quality" ads over "rich" ads. CPC is the answer to this "smart investment" problem.

• CPC is a number that reflects how much you have to pay for each click, but it is heavily influenced by Quality Score. A high Quality Score means you can pay less than your competitors and still get a higher position. Because Google wants to bring the best experience to users.

For example, a warehouse management software (WMS) company had a problem when its CPC was unreasonably "expensive", causing its budget to evaporate quickly. We found that the keyword’s Quality Score was only 4/10. The problem was irrelevance: the ad was too generic, while the landing page was not focused on the product. We then “dissected” the campaign, reworked the ad to focus on features like “real-time inventory management” and built a dedicated Landing Page for the WMS software. As a result, Quality Score skyrocketed, CPC dropped more than 40%. Less money spent, more efficiency.

Optimize Quality Score, don't just focus on increasing bids.

Conversion Rate - Conversion Rate: Where "clicks" turn into "money"

Once customers have clicked on the ad, they have "stepped" into your "store". At this point, the playing field is no longer Google's, but the landing page's. Conversion Rate is the indicator that determines whether your "store" is attractive enough to keep them.

• A high conversion rate shows that your website is friendly, easy to use and has a strong enough call to action (CTA). On the contrary, a low conversion rate is a warning sign: your website has "holes" that make customers leave halfway.

For example, with a fashion chain that has "huge" traffic from Google Ads, but orders are few, their website may be too cumbersome: the payment process is complicated, too much information must be filled in and the page loading speed on mobile is as slow as a "turtle". Just shorten the checkout process, optimize the page loading speed and highlight the "Buy Now" button, the conversion rate has increased significantly

So, Don't just worry about advertising, invest in your "store".

Return on Ad Spend (ROAS) - Return on Ad Spend: The "peak" measure of profit

You run ads to make money, not to burn money. ROAS is the "financial report" of the campaign, telling you how much revenue each dollar spent brings in. It is the final indicator for you to evaluate: is this campaign "good"?

• ROAS reflects the combination of CPC, Conversion Rate and average value of the order. A high ROAS shows that you have done very well from attracting (CTR), optimizing costs (CPC) to closing orders (Conversion Rate).

For example, a company providing comprehensive marketing services runs Google Ads but ROAS is only at break-even. Maybe customers do not buy high-value services immediately. So, try changing the strategy: Instead of selling directly try running ads to attract users to download free documents. Then, use the campaign Remarketing to "follow" these people and advertise the service. The initial cost is low, and once they trust the brand, the conversion rate eventually skyrockets. Overall ROAS grows sustainably.

Don't just focus on sales, build a smart customer "funnel" to increase ROAS over the long term.

Quality Score: Your "VIP card" on Google Ads

Google always wants users to have the best experience. Therefore, if your ads are relevant, engaging and useful, Google will "reward" you with a high Quality Score. This is the "VIP card" that helps you reduce costs and get a better position.

• A high Quality Score is the result of the synchronization between keywords, ad copy and landing page. If these three factors match, Google will rate you highly. This also means that, if you do well from the beginning, you will save a lot of money.

For example, a travel company advertises a Phu Quoc tour but the Quality Score is only 3/10. The problem is: the ad copy only says "Cheap tour", while the landing page shows all the company's tours. Google does not appreciate this lack of relevance. To improve, create a specialized ad copy: "Phu Quoc Tour Package 3N2D - Discover the Pearl Island". At the same time, built a new landing page focused solely on this tour. As a result, the Quality Score skyrocketed to 8/10, the ad position improved significantly, and the cost fell by 30%.

So the key to winning is not "bidding" but "bidding quality".

Manage and create Google Ads easily with GTG CRM

Did you know that optimizing the above metrics will become easier than ever with a powerful support tool?

GTG CRM understands the difficulties of managing Google Ads. That's why we've developed a feature that helps you manage and create ads directly on the platform:

• Create ads quickly with AI: GTG CRM integration AI helps you create ad content and titles in minutes. No more headaches thinking of ideas, AI will suggest the most SEO-friendly and engaging ad templates.
• Centralized management: You can track performance, edit budgets, and optimize your Google Ads campaigns right on the same interface as your other channels. This helps save time, synchronize data, and get an overview of marketing effectiveness.

Conclusion

Google Ads is not just about spending money, but the art of optimizing and analyzing data. By mastering these metrics, you will turn advertising into a powerful tool that brings sustainable revenue. Do you have any questions about these metrics? Let's discuss with GTG CRM.