Have you prepared your AdWords campaigns for the new Enhanced Campaigns (EC) structure yet? If not, you have until July 22nd to upgrade your campaigns before the automatic upgrade takes the control out of your hands.
We have been preparing our clients’ campaigns for several months and early tests showed mostly neutral results after the Enhanced Campaigns transition. However, in several cases we have seen significant improvement in our primary Cost Per Acquisition and Conversion Rate metrics after switching to Enhanced Campaigns. Why? Because we didn’t fuss about the changes…we took advantage of the new targeting options and optimized our campaigns for the new reality.
Here’s a quick rundown of the before & after results we’ve seen for a larger lead generation client in the home services category:
- A significantly lower average Cost Per Click resulted in a 6% lower Cost Per Lead
- Even though Conversion Rates dropped, total lead volume remained flat because we could afford more clicks
Results by Device Type
Since the biggest change with EC is a change in device targeting options, we broke out the click metrics by device type before and after the transition to Enhanced Campaigns. As you can see, CPC dropped across all device types as we took advantage of mobile device bidding preferences and tightened up our desktop/tablet campaigns to avoid higher Costs Per Lead. Because we know our mobile traffic converts to a phone call at a higher rate than desktop/tablet visitors, we increased our CPC bids and average positions for smartphone which yielded a higher Click-Through Rate.
Conclusions and Next Steps
Despite all the negativity surrounding the forced migration to Enhanced Campaigns, we have proven that the new system can yield better results for lead generation clients when campaigns are properly optimized to take advantage of the new bidding options and geographic modifiers.
Going forward, we are going to continue to observe device-specific trends in the click, cost, and conversion data. We’ll also increase our use of geographic bid modifiers to improve CPA in our target zip codes. All in all, we are excited about the direction that Enhanced Campaigns are headed in. But even more importantly, our clients are excited about the results we are achieving for their AdWords campaigns.
Have you upgraded to Enhanced Campaigns yet? Why or why not? If we can be of assistance, please do not hesitate to contact us.