What sort of improvements should you expect from PPC management companies?
06/04/2008
How should PPC management companies charge for their work?
What sort of management fees are acceptable?
One problem with quoting on client PPC projects is how to price sensibly for both large spend and smaller spend clients. PPC campaigns have huge variations in spend levels, from many thousands per day through to a hundred a year. And yet all campaigns require the same initial keyword research, the same ad copy generation and some amount of monitoring and reporting. A percentage system discourages good PPC managers from reducing unnecessary advertising spend.
What about small budget PPC campaigns?
Cornsh WebServices have found the only sensible solution is to a charge minimum fee per period. The time period is adjusted so that the fee is never more that 40% of client spend. Why 40%? This figure was chosen as this is historically the minimum imporvement we have obtained in terms of increased sales or increased ROI over the last 5 years of providing PPC management services.
But in reality we often achieve far higher improvements than the 40% quoted. The latest figures for work in 2008 include:
• For an online shop, ten fold increase in sales and ROI up from 89% to 500%
• For a tourism campaign, an incredible 71% conversion rate showing well targetted ads
Maintaining these types of results requires skilled PPC managers which is why all staff within Cornish WebServices who manage client campaigns have passed the Google AdWords exam. In addition some of the weekly team meetings include time for staff to update each other on recent trends and changes within the PPC market, taking full advantage of the fact that that Cornish WebServices have several PPC managers who are qualified to manage PPC campaigns in English or French.
