Optimizing Lead Generation Bidding with Proper Conversion Values
Lead generation is a critical aspect of any business’s marketing strategy, but ensuring that your bids are optimized for maximum value can be a complex process. In a recent discussion about setting a data strategy for value-based bidding, the focus shifted to assigning the right values for conversion actions that are essential to your business. This step is particularly crucial for lead gen-focused businesses, where determining the worth of actions like whitepaper downloads, newsletter sign-ups, or online quote requests can be challenging.
Understanding Conversion Values
Before diving into assigning conversion values, it’s essential to have a clear understanding of what “conversion value” means. A conversion is any desired action taken by a user, such as filling out a lead form, making a purchase, or signing up for a newsletter. Conversion value is a numerical representation of how much each of these actions is worth to your business.
Estimating The Value Of Each Conversion
While having precise revenue figures for each conversion would be ideal, it’s not always feasible. In such cases, using “proxy values” – estimations that align with your business priorities – can be an effective alternative. The key is to ensure that these proxy values reflect the relative importance of different conversions to your business. For example, a whitepaper download may hold less value than a product demo registration based on past customer acquisition efforts.
Establishing Proxy Values
To illustrate how proxy values can be established, let’s consider an event florist example. By noting that clients who provide larger guest counts or budgets in their online quote requests tend to result in more lucrative events, you can assign higher proxy values to these leads. Similarly, for an auto insurance advertiser, leveraging an existing lead scoring system as a basis for proxy values can help assign higher values to leads with higher scores, indicating a greater likelihood of a sale.
Sharing Conversion Values With Google Ads
After determining proxy values for conversion actions, it’s crucial to share this information with Google Ads to enable the system to prioritize actions that drive the most value for your business. By editing conversion actions settings in your account and inputting the value for each, you provide Google Ads with the necessary data to optimize your bidding strategy effectively.
Fine-Tuning With Conversion Value Rules
In addition to assigning proxy values, utilizing conversion value rules can add another layer of precision to your bidding strategy. These rules allow you to adjust the value assigned to a conversion based on specific attributes or conditions not already indicated in your account. Factors like location, audience, or device can influence the value of a conversion, helping you tailor your bidding strategy to maximize results.
Putting The Pieces Together
Assigning the right values to your conversions is a crucial step in maximizing the effectiveness of your value-based bidding strategy. By providing Google Ads with accurate and nuanced conversion data, you empower the system to make smarter decisions, optimize your bids, and ultimately drive more valuable outcomes for your business. Stay tuned for more insights on determining the right bid strategy for your business.
In conclusion, optimizing lead generation bidding with proper conversion values is essential for maximizing the effectiveness of your marketing efforts. By understanding the value of each conversion, establishing proxy values, sharing this information with Google Ads, and fine-tuning your strategy with conversion value rules, you can drive more valuable outcomes for your business. Remember to regularly review and adjust your conversion values and rules to ensure they align with your goals and evolving business needs.