Thursday, March 15, 2007

Conversion Tracking

Conversion Tracking

A conversion occurs when a click on your ad leads directly to user behavior you deem valuable, such as a purchase, signup, page view, or lead. They have tools that allow you to measure the cost of each conversion and tell you the effectiveness of your adword campaign.

Conversion code tracking differentiates advertising that generates traffic from advertising that generates sales.

By analyzing the keywords that produce actual sales and determining the value of each sale (profit), a campaign can be created to deliver profitable sales without overpaying for traffic.

Monitoring bids and optimizing campaign

The ads displayed on the search results page are determined by matching the words in the search request to the ad words purchased by the advertiser. Auction determines the ranking of ads from top to bottom. The highest bidder is then positioned at the top of the page.

In addition, Google ranks ads by judging the relevance and effectiveness of each adv. Google automatically optimizes your ads, using the ads that receive more clicks.

Once the ads are created and the bids are set, you now enter the world of online 24/7 auction. You

must now deal with other companies changing bids and your response to these actions.

This auction process ,although ultimately just, can consume infinite time. War-like strategies have been developed that make the auction process resemble a video game, with revenue and exposure as the stakes. Due to the escalating complexities of this process, more firms are outsourcing the actual management of their ad word campaigns, as they do with traditional ad campaigns.

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