Superior Adwords Results at Half The Cost
Client Request: Agency Performance Audit & Conversion Rate Optimization Strategy
Initially the client needed help interpreting their agency results for Google ad campaigns. After an initial discussion, the client requested an audit of their ad performance, focusing on cost efficiency and conversion rate optimization. The goal was to identify inefficiencies, assess the impact of bidding strategies, and provide actionable recommendations to improve performance while maintaining or lowering costs.
Through this process and after implementing our 7 key strategic drivers, we saw a halving of ad spend, with an increase in conversions.
Observations & Key Areas of Concern
- The audit revealed five major issues affecting performance: High CPA ($36 vs. $14 benchmark) – Current acquisition costs were significantly higher than expected, potentially impacting profitability.
- Rising acquisition costs without conversion growth – Year-over-year trends show more spend but no increase in conversions, reducing efficiency.
- Budget maxing due to Smart Shopping & PMax AI bidding – Automated bidding strategies appear to be increasing costs without improving results.
- Keyword relevance issues – Some ads are triggering for searches with low purchase intent, and irrelevant searches leading to wasted spend.
- Declining ROAS – Return on ad spend dropped from ~880% to 429%, meaning more budget was being spent for a lower return.
7 Key Strategic Action Points Given.
- I delivered the client a bespoke action plan, and a set of modeled and predicted outcomes with the changes. The client ultimately asked me to take over the account and implement the strategy.
- After implementing, spend came down 50%, ad relevancy and clickthrough increased all the while dropping the Cost Per Sale from $36 to $14.
Driving this level of efficiency in ads, brand strategy, or marketing audits really gets me fired up especially for hardworking Kiwi businesses and brands that should be getting the most for their marketing dollars.
