Understanding Tail Terms and Improving PPC Performance Part2

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If you are interested in bidding on uncovered gems to reduce the risk associated with your pay per click campaign, you should follow these simple steps that can help make your PPC campaign management highly effective.

Compute the average number of clicks per conversion on your head terms. Unlike Tail terms, Head terms are the popular keywords with high search volume. However, it will be beneficial if you estimate it for all your keywords and create a distribution table. Determine a level below which you consider a keyword as possessing low value. You can use the standard deviation formula while determining the level. If you have, say, 100 average clicks per conversion with a standard deviation of 30 clicks. You can take 100-2*standard deviation as your limit or level, which means anything below 40 clicks will come under the low value or low confidence keyword group.

The next step, in the path of improving pay per click performance and making effective your search engine marketing process, involves determining the average cost per click of the campaign. There is no set limit to this. You can determine it in accordance with your PPC campaign management process.

Once you have determined the average pay per click of your campaign, you have to identify those keywords having a pay per click lower than the average and less than 40 clicks and also those which have not been on page 1 in the recent past. This group has high potential and low risk keywords.

Now bid on these keywords and monitor their performance.

You can repeat the procedure for your pay per click campaign every week or every fortnight but just make certain that you use a larger window to evaluate the performance of tail terms because the number of clicks for the keywords reduces to around 50 percent in the second month. Therefore, it is better to use a longer or larger evaluation window.

The steps mentioned above helps in building an effective PPC campaign management by providing a helpful base to maximize the performance of tail terms. Once the limit has been set and the scale has been built, you can start considering your automated approaches.

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