It can be difficult to figure out what benchmarks to set for the performance of your Google ads because of the fact that this is the sort of thing that could potentially end up impacting your business’s growth. There are four basic benchmarks that need to be kept in mind, namely CTR or Click-Through Rate, CPC or Average Cost per Click, CVR which refers to your conversion rate and CPA which stands for Cost Per Acquisition.
With all of that having been said and now out of the way, it is important to note that LOCALiQ shared the average benchmarks (based on WordStream data) that businesses should be aiming for in 2023. The click through rate can vary by industry, just like every other benchmark. The highest click through rate was found in the entertainment industry with 11.76%. On the other side, the legal industry saw the lowest click through rate of all with just 4.76%.
Cost per click can also vary dramatically, with the legal industry seeing the highest CPC of $9.21. Unsurprisingly, arts and entertainment saw the lowest CPC of all, or in other words just $1.55 per click. In spite of the fact that this is the case, the real estate industry was not all that far behind with an average CPC of $1.55 as well with all things having been considered and taken into account.
Moving on to conversion rates, this benchmark saw a great deal more diversity than might have been the case otherwise. The animals and pets niche saw the highest conversion rate of all, or 13.41% to be more precise. As for the worst faring niche, it turned out to be apparel and fashion where a conversion rate of 1.57% was considered to be average.
When taking a look at the average cost per acquisition, an entirely different picture starts to emerge. The career and employment sector saw an unusually high CPA of $132.95. This makes sense given the economic uncertainty that has made jobs so difficult to come by. However, automotive repairs appear to be seeing a very affordable year, with just $21.12 being spent to acquire a customer.
In closing, it is essential to judge each benchmark based on your industry or field. Different fields can have their own unique benchmarks, so something that is considered exceptional in one niche can seem underwhelming in a different one.
In order to acquire the benchmark, it is essential to have realistic goals as well as to expand the net beyond just Google. Figuring out an appropriate budget can also prove useful, since it will contextualize how much you can spend and what sorts of returns you can expect based on that.
Digital marketing specialists also need to put some effort into ascertaining which keywords they need to be using in order to get in touch with customers through their ads. The ads also need to be optimized, and a top notch landing page can ensure that users that click on your ads will be taken all the way through the sales funnel and converted into proper customers. Finally, the mobile experience is also much more important so it would be necessary to focus on it to an extent.
Read next: Which media industry is most affected by piracy?
With all of that having been said and now out of the way, it is important to note that LOCALiQ shared the average benchmarks (based on WordStream data) that businesses should be aiming for in 2023. The click through rate can vary by industry, just like every other benchmark. The highest click through rate was found in the entertainment industry with 11.76%. On the other side, the legal industry saw the lowest click through rate of all with just 4.76%.
Cost per click can also vary dramatically, with the legal industry seeing the highest CPC of $9.21. Unsurprisingly, arts and entertainment saw the lowest CPC of all, or in other words just $1.55 per click. In spite of the fact that this is the case, the real estate industry was not all that far behind with an average CPC of $1.55 as well with all things having been considered and taken into account.
Moving on to conversion rates, this benchmark saw a great deal more diversity than might have been the case otherwise. The animals and pets niche saw the highest conversion rate of all, or 13.41% to be more precise. As for the worst faring niche, it turned out to be apparel and fashion where a conversion rate of 1.57% was considered to be average.
When taking a look at the average cost per acquisition, an entirely different picture starts to emerge. The career and employment sector saw an unusually high CPA of $132.95. This makes sense given the economic uncertainty that has made jobs so difficult to come by. However, automotive repairs appear to be seeing a very affordable year, with just $21.12 being spent to acquire a customer.
In closing, it is essential to judge each benchmark based on your industry or field. Different fields can have their own unique benchmarks, so something that is considered exceptional in one niche can seem underwhelming in a different one.
In order to acquire the benchmark, it is essential to have realistic goals as well as to expand the net beyond just Google. Figuring out an appropriate budget can also prove useful, since it will contextualize how much you can spend and what sorts of returns you can expect based on that.
Digital marketing specialists also need to put some effort into ascertaining which keywords they need to be using in order to get in touch with customers through their ads. The ads also need to be optimized, and a top notch landing page can ensure that users that click on your ads will be taken all the way through the sales funnel and converted into proper customers. Finally, the mobile experience is also much more important so it would be necessary to focus on it to an extent.
Read next: Which media industry is most affected by piracy?
