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ROI, ROAS, IDK – a guide to PPC terms

Richard Halling
Richard
Rich manages the paid search advertising department at Candidsky, with over 7 years of hands on industry experience, managing campaigns for established household brands.

October 25, 2017

2 minute read

 

The benefits of Pay Per Click (PPC) advertising are numerous and through business aligned campaigns, unlike SEO which can take time for the work to come to fruition, PPC can have a quick and measurable impact upon achieving your business goals. PPC offers detailed targeting options, and campaigns can be scaled up or down depending on their success in attracting and converting new customers.

However, the world of PPC is filled with acronyms, and it can quickly become mind boggling if you are not sure what each one stands for or means. Here at CandidSky, we aim to make the complex simple so we have put together a quick reference guide for you get to grips with each term and what it means.

CR: Conversion Rate – the percentage of how many clicks converted into a sale, lead or acquisition

CPA: Cost Per Acquisition – measure’s how much it cost to acquire a customer

CPC: Cost Per Click – determines how much you pay for each time someone clicks on your advert

CTR: Click Through Rate – a percentage used to measure clicks versus how many times your ad is shown

Impression – this is how many times your advert has been shown

QS: Quality Score – Google scores each keyword between 1 (poor) – 10 (highly relevant) to measure the quality and relevancy of your keyword and adverts in relation to your service / product offering

ROI: Return On Investment – Measures the total return you receive from your advertising, including any additional costs

ROAS: Return On Ad Spend – Measures the return you receive direct from your advertising spend

Wrapping things up…

With these terms now on your side, you should have a better idea of what drives PPC advertising and the key terms you should be monitoring. We’re happy to explain any of these terms in more detail, and take you through how to maximise your results with our dedicated PPC team.

If you would like to work at CandidSky and grow your career prospects, take a look at our Careers website for available roles and find out what is like to work here.

And finally, take a look at our other blog posts to see what else we have been up to.

 

 

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