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5 Compelling Reasons to Outsource Your PPC Needs Now
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Marketing & SEO
June 1, 2024

5 Compelling Reasons to Outsource Your PPC Needs Now

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Peter Devereaux
Peter is a Marketing Director with extensive success in SEM/PPC, SEO, email, social media, and digital marketing that...
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One of the most effective types of paid advertising, pay-per-click (PPC), can help propel your company’s website to the top of the search engine result pages. These top spots and sponsored space on Google and other platforms will increase traffic and make you much more competitive in your industry or niche. The tasks that go into an effective campaign take a lot of time, expertise, and energy. With the right PPC agency on your side, you can reap the benefits with minimal disruption to everyday operations or growth strategies. Are you ready to get started?

Let’s begin!

If you want to learn how Digital Authority Partners can increase your PPC effectiveness, watch this video!

 

1. What Makes PPC a Top Choice?

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PPC, or pay-per-click, is a top choice for many businesses when it comes to outsourcing their advertising. First and foremost, it is an extremely effective way to reach potential customers. With properly targeted ads, you only pay when someone clicks on your ad, meaning that you only pay for results. This makes it a very cost-effective option, especially when compared to other forms of advertising such as print or television.

Another reason PPC is a top choice is because it allows you to target your audience very precisely. You can target people based on factors such as location, age, gender, interests, and even previous search history. Today’s platforms offer a wide variety of strategic ad campaign options to choose from. So, it simply makes sense to use paid search as part of your overall digital marketing strategy. In most cases, companies cannot handle all of their own campaigns because they do not have the time or workforce. Outsourcing to a PPC agency is the logical solution.

2. Get Better Advertising Results

Before looking at any specific reasons to outsource to a PPC agency, it makes sense to consider the foundation of every advertising goal: improved traffic, lead generation, and conversions. Of course, this also includes a boost to profits and brand reach throughout your industry or niche. Professional ad management teams with experience know how to take care of every part of this type of online strategy.

When it comes to looking at results, very few things beat PPC advertising on Google, other search engines, or the top social media platforms like Facebook and Instagram. For good return on your investment, working with a group who has a track record of satisfying clients makes sense.

3. Make Use of True Expertise at a PPC Agency

pay per click agency_A man with a smartphone makes an internet purchase and a banking transaction.

Every employee in your company has a defined role to play in your ultimate quest for success. Very few of them have the time and energy to take on additional responsibilities. When you entrust someone with such an important task like PPC ad campaign creation, you want to be sure they are true experts. The existing people on your payroll who focus on different tasks or marketing-related activities do not have the expertise you need for top results. Outsourcing for all marketing efforts including social media is a popular choice these days.

A PPC agency is a great way to get expert help with your campaigns. These professionals have the time and energy to dedicate to making your campaigns successful. They also have the ability to make sure you are getting the most out of your PPC spend, given their understanding of ad competition, effective research, and more.

Outsourcing your PPC campaigns to an agency is a great way to save time and energy. It is also a smart way to ensure that you are getting the most bang for your buck. Also, this method allows you to pay less than you would if you hired even a part-time employee. Watching your expenses helps boost profits even more. You save both money and time because you do not have to interact with skilled agency representatives and make sure they are doing their job. You get to choose the level of oversight and regular interaction based on mutual efficiency and preferences.

4. Stay Up to Date With Marketing Methods

A qualified PPC firm makes sure to keep up with the latest trends and technology in the digital advertising industry. This way, they can continue to help their clients stay ahead of the competition and be prepared for any changes in the algorithms. This involves ongoing research to make sure current efforts align with Google and other search engine expectations, keyword research trends, competitors in the industry, and new tools and platforms. They are always on the lookout for new ways to improve their clients’ campaigns and make sure they are getting the most out of their budgets.

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The world of online marketing and specifically Google algorithm changes is fast-paced and punishing. If your business falls behind because you do not know the moment things shift focus, you will end up spending money and getting a very poor return on that investment. This is one of the top reasons why it helps to go with an agency instead of handling all PPC ad campaigns in-house. You simply cannot keep your finger on the latest developments and have access to the most up-to-date tools in the same way that a dedicated company providing these services does.

5. Outsource for Better Reports and Analytics

return on investment_Do you know the real value pay-per-click advertising is bringing to your business? Are you measuring PPC ROI accurately to ensure you’re not just wasting money on an underperforming advertising channel? When used effectively, PPC ads are a rapid way to drive traffic, increase brand awareness, and generate quality leads. However, many businesses and agencies tend to focus on ego-boosting stats, such as impressions, clicks, and click-through rate, rather than ROI. You wouldn’t neglect ROI in other areas of your business, so don’t do it for PPC. Measuring and calculating pay-per-click ROI informs you of the actual value it presents to your business and ensures you remain on track to break even or make a profit—this stops you from wasting valuable dollars on ads that don’t work. If you are neglecting it, our PPC consulting agency can help you get back on track. In this article, you’ll learn a few different ways to measure PPC success, including return on investment (ROI) and return on ad spend (ROAS). According to Google, for every $1 a business spends on Google Ads, they make $2. But, let’s not just believe their calculations—we’re going to show you how to do your own. What Is PPC ROI? Return on investment is one of the most well-known and popular KPIs used in business. PPC ROI is the comparison of how much PPC advertising costs your business vs. how much money it makes. It is a calculation used to understand the effectiveness of digital advertising channels. To calculate PPC ROI, you first need to know the revenue generated from PPC and the total of all costs that can be attributed to the channel. These costs include: Ad Spend This amount is easy to find in all of the PPC advertising platforms you use. Be sure to add together the money you spent with Google, Facebook, Bing, Instagram, or any other tools you use. Labor Costs Whether you’re using an agency or an in-house team, you’ll have some form of labor costs. For an in-house team or individual that oversees an agency, you’ll need to know their hourly salary and how much time they spend managing PPC campaigns. Third-Party Costs Many businesses outsource their PPC management to an agency. This is a much easier calculation than labor costs as you’ll likely be paying a contracted monthly amount for their services. How To Calculate PPC ROI Now that you’ve collected all your data, it’s time to put your PPC ROI calculator to work. It’s a simple formula, resulting in a percentage. (Net Profit / Total Costs) x 100 = ROI As an example, let’s say your PPC net profit for 2021 was $100,000, and your total costs were at $75,000, making your ROI calculation as follows: ($100,000 / $75,000) x 100 = 133.33% Top tip: when calculating ROI, 100% is the break-even point; meaning, if you’re in profit, you will see a percentage over 100, and if you’ve made a loss, it will be under 100. What is ROAS & How Is It Calculated? A variation of digital ad ROI is ROAS (return on ad spend). Rather than factoring in the total of all the costs mentioned in ROI, ROAS is comparing the amount you spent on ads against the revenue they generate. Again, expressed as a percentage, you calculate ROAS using the following formula: (Money Gained From Ads / Money Spent On Ads) x 100 = ROAS Let’s say your company spent $10,000 on ads and generated $15,000 in revenue. Your ROAS would be: ($15,000 / $10,000) x 100 = 150% As with ROI, your break-even figure is 100%, so setting that as a goal is a good start. Comparing ROAS with ROI When ROAS is showing greater than 100%, but ROI is coming in under 100%, you can look at your calculations to see which overheads are hampering your pursuit of profit. You may realize that your ads are performing brilliantly, generating a great amount of revenue, but your third-party agency costs too much. In this situation, it may be time to relook at your budget, metrics, and relationship with your agency. You may need to increase your budget to increase the revenue generated, renegotiate the cost of the contract with your agency, or look for a new PPC company to pick up your account management. Either way, it’s always beneficial to compare the two calculations. Conversions That Aren’t a Purchase When using a PPC platform, it’s incredibly easy to find the cost-per-click data. However, profit-per-click information is a little harder to find, and it’s a calculation you’ll have to do yourself. Sometimes, businesses find it hard to attribute a value to PPC conversions because there aren’t always users making a purchase. Alternatively, a conversion could be filling out a form, calling your company, downloading a brochure, or booking a meeting. None of these conversions have an actual dollar value, so you need to assign one to them. For example, you could use your average sale value and conversion rate to assign a value to a form fill. Let’s say one in every five users that completes a form converts to a customer—that’s 20 percent. Your average sales value is $100. Twenty percent of $100 is $20, so you could assign a value of $20 to every conversion that is a form fill. Using this method won’t give you a wholly accurate representation of ROI. However, you would need every transaction to be completed online to achieve this. In Summary Using a pay-per-click ROI calculator is imperative for any business to assess the value PPC brings to their company. Even if you don’t make sales online or your conversions are directed toward non-sales-related activity, you can still get an accurate picture of how much revenue PPC is contributing. ROI and ROAS are the holy grail of understanding how PPC is performing. Yes, the fluffy stats that agencies and marketing managers like to quote are great for monitoring progress. However, business owners care about making a profit; and just like any other expenditure, PPC needs to prove its worth.

If you want better reports and analytics for your PPC ads, it pays to outsource to a specialist. Enjoy more comprehensive data collection and analysis. Outsourcing allows you to gain access to a team of experts who are constantly collecting data and analyzing it for insights. This means that you will always have the most up-to-date information on your ad results.

You also get improved tracking. Your chosen agency will not only help you track your return on investment but also provide recommendations on how to improve it. With their help, you can make sure that every dollar you spend on PPC ads is working hard for your business. Instead of having to navigate the complicated charts and graphs on your own, you will receive an easy-to-understand report every week or month depending on the contract terms. With this, you can make better decisions going forward.

Summing Up

So many reasons exist for outsourcing your pay per click ad campaign management. Now that you understand the benefits, contact Digital Authority to get started. We have the experience and expertise to make a true difference as your dedicated PPC partner.

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