While it is easy to get started in pay per click advertising, it’s even easier to make very costly mistakes. Building a pay per click campaign the correct way means paying attention to detail and continual oversight and management. I’ve compiled a list of 10 typical mistakes that are found in PPC advertising campaigns.

Too Many Keywords Per Ad Group

If you put all your keywords into just a few big and broad ad groups, it’s time to restructure your account. You are missing out on important flexibility that pay per click advertising allows. Tighter ad groups allows you more focussed, relevant ads.

Not Using Negative Keywords

Pay per click advertising has placed more importance than ever on click through rates and quality scores. It is vital to fine tune your impressions by getting rid of the non-relevant phrases that are lowering those CTRs. If you are selling an item such as “software for widgets” then be certain you also have those negative keywords like “-free” if you don’t have a free trial version. One way to find irrelevant keywords that are costing you is to check your log files of your site.

Not Enough Testing

An often neglected, but very important result-booster is the split testing of your ads. Even minor variations can increase your effectiveness. Obviously, you can rework such items like your unique value statement or your different calls to action, but there are many variables of each ad that can be optimized. Your display url, the ad title, each line of copy — all of that may be effectively tested. This can be time consuming, which is why a quality pay per click management company can be a great investment, especially if they offer daily split testing. Effort here pays off.

Poor or Non-Existent Tracking

Of course, testing your ads and fine tuning your keyword lists only works well if you are tracking results. The search engines will tell you what your click-through rates are … but you need bottom-line results. You need to know your return on investment or what your cost per action is. It’s not enough to know that you spend $5,000 and get back $10,000. You might be able to spend only $3,000 and get that same $10,000.

Not Getting Keyword-Level Tracking

Proper and exact analytics or using an experienced pay per click management company is essential to get the data you need. If you have keywords that are not performing and leaking your account on a daily basis, you are throwing money away. Getting results to the keyword level allows you to adjust bids for maximum effect. If you have one keyword with a $1.34 earnings per click and another at 37 cents, this is key information that allows you to maximize profits. Lower one bid if you are above your “EPC” and raise another to eek out more profits from that sweet-spot keyword. Don’t waste money on a daily basis.

Keywords That Are Too Generic

Some broad and generic keywords can certainly push a ton of traffic to your site. They may even be very successful. Often, however, they can also do just the opposite — drain your funds with poor results. A user searching on one of these generic phrases is often doing research in an early part of the buying process. Knowing your keyword-level results and filtering out bad variations with negative keywords can help you get a true read on these generic keywords.

Not Going After Long-Tail Keywords

To follow up on the generic keyword topic, creating your long-tail keyword lists and the relevant accompanying ads may be a major time-consuming process. Do it right and you can also find it to be very profitable. The nature of keywords is that they vary from phrase to phrase. A keyword like “cell phone” can differ in results from a keyword such as “motorola cell phone”, which in turn can vastly differ from a more long-tail keyword like “motorola w375 unlocked cell phone.” One user is likely still doing research, while the user in the last example knows what they want … and may be ready to make that purchase.

Combining Search and Content Networks

You can get stung by poor quality traffic or click fraud if you do not separate your content network advertising from your search network advertising. If you don’t understand those above items, there is a good probability that you are not separating the two in your accounts right now … and you are very likely losing money. A better solution is to build separate campaigns for each and … track with precise analytics the results from each network. Again, not knowing is probably costing you now.

Not Geo-Targeting a Local Business

Local businesses that attract clients from their region must take advantage of the geo-targeting that each of the major PPC engines offer. Bringing that local clientele to your front door on non-local keywords can increase profits greatly.

Not Continually Monitoring Your Campaigns

Not everyone has time to run split testing on a daily basis or frequently checking your EPCs (even though you should…because it’s costing you). That said, there are still a high amount of advertisers who seem to ignore their accounts for days … or even weeks … or (don’t tell me you’re doing this!) months. The big PPC search engines are increasingly cracking down on poor performing keywords, smacking advertisers with that “Inactive for Search” status for individual keywords. When this happens, you lose traffic, you lose profits. If you are investing heavily in PPC, you can’t just turn your back on your account for days at a time.

The Terrible 10 of Pay Per Click Advertising is a lot to consider, but it’s vital for healthy pay per click campaigns. Whether you can actively manage your PPC accounts at this level or you need to hire a pay per click management company to do it, vigilance and precision can make a huge impact on your bottom line.

About the Author:

About the Author: Josh Prizer is a Senior Account Executive and PPC expert for Zero Company Performance Marketing, a pay per click management company. Visit us now to discover more about how to advance your PPC ad accounts and results.