AdWords Strategy – Dynamic Remarketing

By November 23, 2013AdWords Guides, Blog

Example AdWords Strategy

When  you type “Buy Coffee Machine” into the Google search engine are you not looking to buy a coffee machine? Of course you could be – it makes perfect sense.

The role of a marketing agency is to find high quality traffic from high quality sources. Put you directly in front of the people searching for your products – supply on demand. Using the structure of cost-per-click (or per person) the traffic generated is geared towards conversions because competent agencies predict what the user wants. Bid bid directly on the words potential customers type in – keywords


Fig.1 USA Example Keyword Volumes

27,000+ users in USA searched for a ‘Coffee Machine’ in the USA over the last 30 days. A smart returns formula can be based on minimum conversion rate of 1%-5%. So each 100 clicks equate to at minimum two sales. The average ratio of clicks to impressions should be 1 click to every 100 views. The average cost per click for coffee machine related keywords was around $1-$3 last month. A max bid of $1.50 per click is an investment of $150. At two average sales to the value of $50 you get $100 back. Single conversion more than two transactions takes things from breaking even to making profit.


 Fig.2 Brazil Example Keyword Volumes

For the Brazil expansion, the [Company] brand (74,000 searches) and association to the store is important. 390 users searched specifically for ‘[Company] Mug’. The cost is lower due to lower competition vs. the AdWords auction structure (higher you bid on keywords the higher your position). Brazil bids range from $0.10 – $1.00. A safe bid to begin would be $0.50 and if the campaign was live over the last month assume those looking for [Company] Drinkware would have found exactly what they were looking for (increased conversions). Stick to the 2% conversion formula and suggest 100 users at $0.50 equate to $50 invested in return for $100 back.

Our Tools:

  • Google Search Network – Like your online map, where we go to find things
  • Google Shopping Centre – New way to go window shopping online, retailers portal
  • Google Display Network – The equivalent of putting a poster up on someone else’s website
  • Google Mobile Marketing – In-app marketing directing users to either your store or mobi app
  • YouTube – Largest video search engine in the world where it is prime time ‘TV’ all the time

Google Search Network

The reason why paid marketing is important is not only being able to show the key products before paying


for a click on the top right of the first page on Google but also achieve traffic.

Google Incremental Clicks research shows advertisers lost 89% of organic clicks when pausing their paid campaign. The amount of lost traffic is hugely significant indicating this paid campaign is of huge importance if [Company] is to target the seasonal sales period.  Difference between paid and organic traffic can be seen using monthly reports.

Predict users will start their search with “Coffee Machines” before refining the search later to include words such as review, buy, shop, prices. The ‘product listing ads’ to the top-right are placed using Google Shopping centre and give users a chance to see before thadwords-strategy-3ey buy (cost per click) increasing likelihood of conversions.

After users searching to buy have visited the [Company] in America, use smart marketing tactics to maintain exposure. In Brazil the marketing seems far less competitive and rely on the brand to pull in potential buyers. The best method to reach the potential market would be to utilise Google Display or even better – YouTube.

YouTube – Brazil

As opposed to investing hundreds of thousands of dollars into TV advertising utilise the cost-per-view structure online putting [Company] at the forefront of Brazil’s youtube-brazilonline experience.

If a user views less than 30 seconds of your video advert, or skips the video or does not visit the store – pay nothing for the view. Pay less than $1 for those who watch the full commercial or visit the [Company] store. Target regions, demographics, video categories or a users interests.

Video marketing is a new experience for most brands. Som


e have increased viewers and subscriber lists by millions, increased brand engagement or noticed 50% of new customers come from the video search engine alone. 65%-75% increase in conversions for Zagg (ecom store) making YouTube a mind blowing result for those that try it.

If [Company] expands into Brazil for with the purpose of communicating a message to their potential customers  then be the next big brand to share a success story. Based on the businesses who have succeeded in their marketing attempts – forecast  some (not 75%) increase in conversion and guarantee an increased online presence. If this avenue sounds promising –  launch in USA.

New Features & Presence

  • Enhanced Sitelinks – Adding more links and descriptions to single text ad
  • Enhanced Campaigns – Control region, device, time specific bidding
  • Dynamic Remarketing – Tailored image and text ads on Search/Display Networks
  • Beta – Apply for full page image ads to inbox to customers and special offer extensions


Upgraded Sitelinks

sitelinks-2sitelinks-1See the  example coffee machine Google Search ads shown previously – they missed a trick. Enhanced ‘sitelinks’ (four extra links below ads) launched alongside enhanced features are the sitelinks notoriously known to boost CTR. Allow users to search coffee machine and advertise 4 other products along side (with descriptions) to maximise CTR opportunity and expand the size of text ad for free.

Going Enhanced

Enhanced campaign features recently launched include (device/location/schedule) custom bidding  making it possible to segment USA investment  into regions of high and low competition. If a particular region is more inclined to purchase – direct higher bids to the region alone OR compete aggressively in the alternate regions.  See the time of day advertisers manage to out bid [Company] for the valuable top positions and for those schedules alone increase bids according to the hour. Importance is given to geographic and device based quality score due to the ad rank formula. For example, according to comScore 42% of Latin American internet users can be found in Brazil and 93.5% of users access websites from their PC (2012). This would indicate potentially making a bid adjustment of -100% on mobile devices knowing most users will not require a mobile site. This would program the system to not enter the mobile auction at all.

What this means for [Company] is the reassurance of tailored bidding. Bids will be increased/decreased according to live results/performance. Don’t  stop calculating the value of investment vs. quality as every $1.50 spent for us is a potentially big sale. The aim is to increase the quality of conversion and decrease the cost.

To increase quality for both [Company] and Google use the Ad Position Formula (Max Bid X Quality Score + Extesions = Ad Rank).  Quality Score takes into account CTR (number of clicks to impressions), location based performance and more factors specific to user device. Monitor bids to increase CTR for this reason. Using quality score (1-10)  leverage your bid power. $1.50 x 10 = $10.50 which is more than an advertiser willing to pay $5.00 per click on quality score of 2.

After a profitable  baseline of conversions has been achieved change bid method from cost per click to cost per acquisition. Using Google’s historical grasp of seasonal and competitive periods, allow the engine to calculate bids and only charge us, the client, a cost for the acquisition (not the clicks). This acquisition figure will be varied across products and ensures R.O.I. – yet to be calculated.  This simultaneous process of maintaining Google and [Company] quality ensures not only the best traffic online in USA, Brazil but also internationally.

Dynamic Remarketing

Refining the campaign to get the best traffic online is what you need in a good agency.

Even if averaged 20% conversion at cost of $7.50 each – what about the other 80%? Existing users are equally as important as new. Maintaining brand exposure to the initially enticed user leads to logically forecasted excellent results. Salvage lost sales opportunities by tailoring adverts to  the users interest

retarketing-dynamicThe Camper case study reveals 300% more chance of getting a click (users do return) 16% more conversions at a 37% lower cost.

Dynamically matching the product image users see on the Google Display Network to the dynamically selected  product a user viewed on the ecommerce site actually works.

Tailored image ad structure (via Google Shopping) will not only increase likelihood of conversions to surpass the 2% figure but also achieve the strong brand presence required by [Company] without blind targeting on the display network. Case study below boasts five times more conversions with importance given to seasonal aspect of both advertisers. Recover lost sales opportunities alongside Search Network conversions using dynamic features.

Method could potentially raise the CPC on display – wait and monitor what sites potential buyers visit using reports on website ads appeared on  to later build a dedicated campaign to those sites.retarketing-dynamic-2

If the cost per click (or person) raised to $3.00 in order to encourage users to return, Forecasting an increase of 200% (twice as likely to return then assume 2 clicks per 100 impressions. The worldwide average CTR (click through rate)on a performing campaign is 1%

Each 100 users returning ($300 for $100 clicks) will equate to 5,000+ impressions and strong online presence fine tuned towards potential buyers (tailored ads).The forecasted conversion rate would increase to 6%+ equating to average sales of $300.

In example of alternate remarketing strategies, could remarket to Brazil YouTube commercial viewers and encourage them to visit the store. Promotion control remarketing could include special deals (custom discount code URL)  to split public website promotions from remarketing only promotions. After the Fall target users who did purchase aiming for repeat business.

In respect to lost clicks – before a user enters the [Company] marketing experience include a special dynamic code ({}) to show all users who see the search advert the closest [Company] branch / Cafe location to them based on user i.p address. These lost clicks or impressions are absolutely free.

AdWords Beta:

The below features are currently in Beta release but if your investment is attempt to apply for the below:

  • Special offers – a method of allowing users voucher/ coupon codes an offer directly below adverts. Users save these codes later purchases and in example could be used to give “free sample Anniversary Blend”  in store voucher to try before you buy.




  • On the right full page image ads users are able to share on their social networks or directly mail to their mobile device or friends. If accepted on this beta program [Company] will enter a new realm of marketing based on a users current email content, previous store visitors or a users historical interests.



The overall strategy would be to use all features. Dynamically salvage conversions and gear campaign strategy towards short and long term R.O.I. Initial bids equate to $150 in USA and $50 in Brazil per 100 clicks. The proposal forecasts a 2% conversion rate at minimum. Entering the Brazil market could be done via YouTube or viral marketing reinforcing awareness alongside supply on demand style Google search marketing.

Dynamic remarketing will be deployed designed to increase conversion rate in small period of time (this fall).Costs could increase to $300 per 100 clicks on the Display Network. Profitable sites could later be focused on to reduce conversion cost  per website . These websites could include online review sites, buying sites (i.e. gumtree), email inboxes, news sites or mobile apps.

Focus on [Company] (conversions), Google quality (campaign) with understanding of consumers path to purchase and using enhanced features built to give us control over the end result. Utilise features known to boost CTR in the aim for leveraged bid power and win high ad positions at the lower cost.

End Notes:

If you typed “buy coffee machine” into the Google Search engine anywhere in the world and saw the price, image and brand of a coffee machine you liked and then clicked on the advert – logically speaking you would buy it straight away. Even if you don’t, our marketing strategy will follow you with the same image (maybe even a discounted price) a strong brand presence and penetrating a buyers psychological construct. The longevity of this strategy is ensured via remarketing to those who have purchased after the Fall gaining repeat business and  encouraging the psychological association of [Company] with a coffee items retail store.

This strategy does not rely on making competitors fail or negatively impact their presence online – it is geared towards taking a fair share of the retail market online and keeping it.