How To Manage Your Outsourced PPC Search Agency
You’ve decided to run a PPC campaign, and established that you need to hire a marketing agency to manage the campaign. After meeting with several agencies, you have selected the firm that best fits your needs. You’re ready to launch the campaign and start generating conversions. Before you jump into running a campaign, it is important to review strategies to help you manage your PPC agency. Principal and Founder of 360Partners, Jim McKinley has several key strategies to develop a successful partnership. Jim will be discussing these strategies and more in his upcoming presentation “How to Manage Your PPC Agency” at the LeadsCon Convention in Las Vegas, Nevada February 27, 2012 .
Many companies assume that their work is over once they have selected an agency to manage their PPC campaigns. However, properly managing your PPC agency is crucial to ensuring success of both your PPC campaigns and your overall marketing goals.
There are three keys to effectively managing a PPC agency: setting goals, open and honest communication, and challenging the agency. If managed properly, the agency should operate as a partner with your company.
1) Setting Goals
Unachieved goals are one of the biggest causes of friction between the client and agency. But much like sales forecasting, setting realistic search marketing goals is an essential part of developing successful campaigns. For example, it is nearly impossible to generate 1,000 leads in a month with a budget of $5,000 if the market dictates a cost-per-click (CPC) greater than $5.00.
You may need to adjust your goals periodically to accurately reflect changes in your business, competition, and search demand. However, changing goals frequently (i.e. more than once per quarter) is not recommended because it is difficult to see important long-term trends when you have a constantly moving target. The best strategy is to identify a realistic growth strategy ahead of time and build gradual goal changes into a 12-month timeline.
In addition to setting realistic goals, you should avoid giving your agency false deadlines and/or benchmarks. A common example of this occurs when a company has an internal goal of a $40 cost-per-lead (CPL), but sets the agency’s CPL goal at $25 in order to guarantee a $40 CPL. In this instance, it is more difficult for the agency to achieve your desired level of clicks because they may be forced to set low keyword bids due to a CPL target set well below the market average. The result may be that the campaign that fails to acquire the target number of leads.
The
final step in setting goals is holding your PPC agency accountable for hitting
those goals. It is impossible to achieve
your PPC goals over night, so it is important that you and your agency agree
upon a reasonable deadline for hitting those goals. To ensure that your agency is on pace to meet
that deadline, your agency should send you weekly PPC performance reports that
will allow you to track long-term trends.
If after several weeks, your PPC trend lines are still not headed in the
right direction, speak up. Talk to your
agency about your concerns and be clear about what the consequences are for the
agency not meeting your goals. There is
little incentive for improvement without accountability. 2) Communication We’re
all friends during the sales process, but the atmosphere changes once the work
begins. A critical aspect of communication is to share concerns early and
often. Any confusion or issues should be
discussed as soon as they arise to prevent small miscommunications from turning
into large conflicts. These kinds of
misunderstandings often occur with reporting.
For example, a client may not understand some of the metrics provided in
his weekly reports. Rather than asking for an explanation, he simply ignores
that metric on the report. After several
weeks, he wants to know his PPC campaigns’ return on investment (ROI). When the agency explains that ROI data can be
found under the heading “ROAS” (return on ad spend), the client becomes upset
because those numbers are not what he was expecting. But because the client never mentioned any
concerns about the ROAS numbers, the agency assumed the client was flexible
with regards to that specific performance metric. Unfortunately, a simple miscommunication such
as this can lead to critical conflicts that damage the overall relationship. Another
important factor in establishing client-agency communication is to immediately
disclose emergencies and other factors that could have a major impact on your business
or website. If you know your website is
going to be down to perform site maintenance, you should inform your agency
ahead of time so that they can pause your PPC campaigns during that time. Every dollar spent on a click is wasted if
the ad is sending users to a non-functioning website. Furthermore, sending users to broken landing
pages can negatively impact Google quality scores, which in turn can raise your
PPC costs. Avoid unnecessary problems by
providing your agency with adequate notice of website repairs, updates, or any
A/B tests that will be conducted. 3) Challenge Your Agency It is important
to challenge your agency to provide insight in addition to reports. You should discuss with your agency the
strategy behind their PPC recommendations to ensure that it aligns with your
overall marketing and business objectives. Be sure to follow up with your
agency once their recommendations have been implemented to determine whether
their efforts resulted in the outcomes expected. Additionally, challenge your agency to
explain the reasons behind any fluctuations or performance trends, rather than
just reporting the numbers. Finally,
challenging your agency to provide insight into PPC performance is a great way
to identify opportunities for other areas of your business. PPC can help your sales team identify certain
geographies that have strong sales potential.
Additionally, using the wealth of data provided by PPC also helps
identify the messaging and value propositions which generate the highest response
rates. Properly
managing an outsourced PPC agency should result in a partnership dedicated to constantly
improving results. The best agency/client
relationships rely on open and honest communication between both parties and on
working together to achieve clearly identified, realistic goals that change
infrequently. When both teams operate as
partners, tied to each other’s successes and failures, the result should
maximize the return on investment and provide useful insights into other areas
of your business.
Two weeks ago, Google launched
“Search+ Your World” (SPYW), a change to its algorithm that integrates results
from your social network, powered by Google+, into your search results pages. As
with any major algorithm change, there was an almost immediate uproar from the
search community. Industry experts claimed that this change degraded the
quality of search results by giving preferential ranking to Google+ pages,
ultimately having a negative impact on overall user experience. Additionally,
many complained that it seemed like another attempt to push Google+, forcing
users to take part in the social network that has struggled to gain traction
and popularity. In response, engineers from
Facebook, Twitter, and MySpace (which does still exist) have joined together to
create the “Don’t Be Evil” bookmarklet
tool. When a user performs a search, the tool leverages Google’s own organic
search algorithm to find the most relevant results and displays those results in
place of the less relevant Google+ listings. Google’s search chief, Amit
Singhal, who oversees all of Google’s search algorithms, has responded to the
negative reactions by saying that SPYW has not yet been perfected. He
accurately noted that there is usually initial backlash when Google unveils a
new update, but he suspects that will likely turn into favorable reviews as the
system is perfected. This is a likely scenario, especially given what occurred
with Google Caffeine and Google Instant. So what does SPYW mean for your
marketing strategy? Typically, SEO focuses on three basic factors – making your
content crawlable, linkable, and usable. Now SPYW essentially dictates that
content must also be sociable. It’s no secret that social networks are gaining
prominence in search results, but an algorithmic change that places such importance
on social media is definitely new for Google because it makes SEO more
user-focused. In the past, SEO had been about manipulating a backend algorithm
to gain search engine visibility. But now, users will have an unprecedented
level of control; what users and their networks talk about online will dictate
what shows up in their search results. As you map out an SEO strategy
for 2012, it is crucial that you provide content that is worthy of being
shared, liked, tweeted, pinned, and more.
360Partners is going to Vegas! February 28-29, 360Partners
will be in Las Vegas to attend LeadsCon at the Mirage Hotel & Casino. This will be the fourth straight year that 360Partners has
attended LeadsCon,which presents a great opportunity to learn, network, and
collaborate with the top minds in lead generation. At the conference, 360Partners principal Jim McKinley will give
his presentation Keys to Managing an
Outsourced PPC Company from 1 to 1:30pm on Monday, February 27th. We invite you to join us in Las Vegas for
what promises to be an enlightening event and a great time. Stop by booth 308
throughout the tradeshow to speak with Jim and other representatives from
360Partners.
What Does "Search+ Your World" Actually Mean for Your World?
LeadsCon in Las Vegas
LeadsCon is the premier
conference and expo for the lead generation industry and is dedicated to
increasing the effectiveness of those operating in the online lead generation space. More than 1000 of the industry’s most
significant and innovative companies will attend the conference.
