In internet marketing there is a variety of sources that help contribute to a company’s goals in marketing efforts. One of the most popular internet marketing platforms that is well utilized is a little platform called Google Ads, ever heard of it?
Google Ads is a hot topic in internet marketing and has been for a decade now. However, there has been a recent discovery that is making marketers thing twice of the platform in their marketing strategy.
Marketers who have used Google Ads year over year, a trend of increasing average bid price per keyword has become a more prevalent issue every year. As seen here using data collected by Hochman Associates, the average Price per Click (PPC) across all verticals for keywords has increased by roughly 73% since 2010, and 463% since 2005.
In addition, the average Cost per Conversion has steadily increased in correlation with the increase in average PPC. While each advertiser may have a different definition of what constitutes a conversion, these statistics show on average how the advertisers conversion cost has increased year over year.
Like investments, marketing sources are best to be diversified in order to reduce reliance and the impact that a potential problem could have on a marketing program. However, being that Google Ads was, at one point, a cheap source that could provide incredible volume, marketers are now looking elsewhere to supplement their volume needs. This increases cost per acquisition across the board.