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[G409]Google Analytics Conversion Tracking

by Kamikazeadmin, Kam

Are you using Google Adwords to promote your product or service? Are you getting the results you want? You'll only know this information if you are tracking the conversion rates of the click-through you are paying for. Then, depending on what you learn about the conversions, you may need to refine your campaign.

A conversion rate is defined as the percentage of people who actually purchase your product or service compared to the number of people who came to your website by clicking on your Adwords ad. This number is the conversation percentage and the higher the percentage, the more effective your ad campaign. If you have extremely low numbers, you need to do something to increase those numbers such as refine your ads or choose better keywords or websites for displaying the ads.

Google provides inside the Adwords application a tool for tracking conversions for each campaign and each ad you run. This allows you to learn what your rates are and see which ads are doing their job well. If one ad or a whole campaign isn't doing well, then you can look for patterns that can clue you in about how to change and make the campaign more effective.

Adwords conversions are driven by many factors. It is not sufficient of your ad to get the user to click through to your website, although that is the first step. The ultimate goal is to make a sale or create a valid lead that will bring in a future sale. Whether you goal is to get the visitor to sign up for a newsletter or to purchase a product or service, if that visitor fails to do what you wish, then you have not converted that visitor. How many convert once they see your website is controlled by you. How attractive is your website? Is it truly compelling, making the visitor believe they simply can't live without the product or service your offer? Is the website easy to navigate or is it not very user friendly? Are your sales claims believable or do they seem to be unrealistic? Do you have data to support your claims? These are all factors that are within your power to control.

Even the greatest Google Adwords campaign won't generate conversions into sales or sign-ups if the website the visitor sees is ugly, hard to use or doesn't offer what the advertisement stated. One example seen all too often is the Google ad that indicates "free" but the visitor find that they actually have to pay. Be sure that your website offers exactly what your Google Adwords campaign promises. If you tell the visitor they will find something for "free" then it must be there and it must be free of charge.

It's a no-brainer that in Internet marketing state tha the most important thing is testing its effectiveness. In order to see if your marketing method is working you need some way to measure it, right? The best way to measure it is by measuring how much a conversion costs the marketer, making it cheaper and hence increasing the ROI.

A conversion can be defined in several ways. It all depends on what you want the user to do on your website. Do you want him to buy a product, register for your website/newsletter or simply clicking a certain button on the website.? Let's say you decide sale is the conversion.

Let's say for example, that if you have 1,000 users entering your website and 10 of them buy a product from it, you get a conversion rate of 1/100 or 1%. From there on you know how much a conversion costs you. Let's expand my previous example. If it cost you $1,000 to bring those 1,000 users to your website and 10 of them bought the product the cost per conversion is $100 ( that is to say, the cost to bring all your traffic divided by the number of conversions).

Now you can calculate if your website is profitable or not. If the product those 10 users bought costs more then $100, you've made money on it.If it's less than $100, you should reconsider your marketing method and find a cheaper way to bring traffic to your website.

Keep Moving on to the next definition: ROI.

ROI stands for Return On Investment. In order to calculate your ROI, you need to know how much you earned from selling those products. let's Let's say they cost $110 each for your users. If it cost $1000 you to bring 1,000 users and you had 10 sales of $110 each ( total of $1,100 ) then your ROI is 10% ( you invested $1,000 in order to earn $1,100). Not bad, but can stand some improvement.

In order to increase that ROI, a few things can be done. You can either increase the price of your product, pay less to rope in your traffic, or optimize your website to increase your conversion rate ( meaning you'll have more sales per number of users coming to your website). For instance, if you increased your conversion rate to 1.5% ( an increase of 50%), then for each 1000 users, 15 people are buying the product making a total sales of $1150 and increasing your ROI by 50% to 15%. Not rocket science, but very important.

Conversion rates and ROI are of top importance for any business and especially online businesses. Learn to master these numbers and boost your sales.

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Both Kamikazeadmin & Shlomo Freund are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.

Kamikazeadmin has sinced written about articles on various topics from Tattoo, Vegetable Garden and Adwords. For more information about Adsense and Adwords Tracking visit: -. Kamikazeadmin's top article generates over 201000 views. to your Favourites.

Shlomo Freund has sinced written about articles on various topics from Adwords, The Internet and Internet Marketing. http://www.CBNotifier.com Shlomo participates in many internet projects and initiatives as a full time internet marketer.. Shlomo Freund's top article generates over 2400 views. to your Favourites.