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Video 48: Insurance Websites – Anatomy of a Pay-Per-Click Campaign

April 6th, 2011Posted by akassover in Google, Insurance Agent Websites, PPC, Videos

Transcript:

Hi, it’s Aaron from AgentMethods.  I am back at the flip chart today.  I want to talk about pay-per-click advertising.  I think I’ve talked a lot about organic search, but the other half of the search engine equation, which is pay-per-click advertising.  And done correctly, done well, it can be a great source of leads to you, to your business, almost limitlessly.  Done poorly, it can be a fast way to lose all of your money.  I thought I’d spend a couple of days and sort of talk about some different parts of pay-per-click advertising and give you some tips on how to improve your advertising campaigns and hopefully show you some of the pitfalls and things you want to watch out for when you’re doing this.

So I start out today by just really quickly talking about the overall pay-per-click campaign.  What is a campaign?  What are the components of it, and just how do they work in a big picture sense of it?  So I’ve drawn up here a funnel and I want to go through the sort of marketing funnel of pay-per-click advertising.  The goal, of course, is to take from the top just people who are out doing searches, get them in your advertising funnel, bring them through a series of steps, and at the bottom, get highly targeted, highly interested leads who are looking for the kind of insurance that you sell.  This is the goal.

*So at the very top, the first thing that you’re going to do in your campaign is you’re going to talk about what keywords you want your campaign to target.  These are search phrases that people are typing into the search engines that you think might be relevant to what you’re selling and you think the kinds of things that people are typing in here are going to be good indicators of their prospects looking for what you have to offer. *

You begin the campaign just by gathering a bunch of related keywords related to what you sell.  The next thing you do is you create your ad.  Now, in most cases, these pay-per-click are – like in search engines, there is a three-lined text tag with headline and then two lines beneath it sort of describing your offer, and then the URL that you link to or domain name that you link to.  So you’re going to create ads that are going to entice people to, after they have done the search, click on your ad.  You want to make sure that you keep the keywords in the ads related so that people who are searching for keywords know that your ad is going to hopefully solve their question.

*Now, the third piece of the campaign is your landing page on your website.  People usually by default make this the home page of their website.  That’s probably not going to be the best idea.  You want to really make sure that you’re keeping this consistent so you’re going to take people directly to a page that’s going to be about the keywords, fits what’s they’re describing in the ad, and fulfills all of this with a strong call to action from there that will hopefully get them to convert to a lead.  So it can be the home page of your site, but more often then not, we’re seeing the best pay-per-click campaigns are ones where the landing page is designed specifically for the campaign. *

Finally, once you get them to your site, you still have to convert them to a lead.  Somebody to your site, traffic to your site, while it’s a nice thing to get, it’s not a source of income for you.  You have to get them to the point where you have their name and information, so you need to convert leads.  Along the way, the big metric that you see people talk about is what’s called the clickthrough rate, or the CTR, and you’re going to have clickthrough rates from specific keywords to your landing page and specific ads to your landing page.  This will help you determine which keywords and which ads are performing the best in terms of bringing in the most volume to your landing page.

Now, you want to go a little step deeper and you want to make sure you are not just optimizing for clickthrough rate, but optimizing for your final conversion to lead which is actually tracking how many of them become leads.  And then even going one step further and tracking your ROI which are leads that become dollars.  So how many dollars do you spend on the bid and how much do you get on the return?  Now, the way the pricing for pay-per-click campaigns work is that you go in an auction mode and you create the list of keywords you’re targeting.  Then you give a bid of how much you’ll pay every time somebody clicks on that keyword.  So you might say Life Insurance Washington is the keyword and you’re going to pay $5 every time somebody clicks on that keyword to your landing page.  You bid on each keyword, that’s going to get traffic to your site, and from there you have to convert them to leads and customers.

You can see how a $5 bid per click could translate into $50 or $100 or more per sell.  So to figure out what’s the return, what’s the breaking point where you’re going to make money and you’re not.  This is an overview of the pay-per-click campaign.  I’m going to talk a little more about optimizing them in the next couple of days and so there’s a lot more to go into and hopefully will help you generate some insurance leads and make some money through this.

I’ll talk to you tomorrow.  Thank you.