Case Study: CPC Increasing Over Time​

I don’t usually put an emphasis on cost-per-click (CPC) unless both CPC and conversion cost are high or increasing over time. I had been implementing optimizations to these campaigns earlier in 2023 in order to decrease conversion cost, but CPC still remained high, and it was affecting conversion cost. Conversion costs are particularly high for these campaigns due to the type of home (high-end luxury).

One of the ways you can decrease CPC, of course, is by decreasing bids; however, if you’re using one of Google’s automated bidding strategies, you’re a bit at Google’s whims in terms of CPC. I’ve tried manual bidding at times with these particular campaigns, but conversion cost remains lowest with automated bidding (but unfortunately, CPC was high). So, I tried a new bidding strategy of using target CPA with a maximum CPC bid in March 2023, and you can see both CPC and conversion cost decreased–by a lot.