Bing Ads Setup
Even though many believe that Google is the only search engine in the world, there are actually quite many competitors that all compete for a bigger market share. Studies show that Bing is responsible for 873,964,000 search queries every day, which is considerable – even though Google is responsible for 4,464,000,000.
To have presence on Bing is therefore a great idea as you otherwise miss out on the opportunity to create sales or attract more customers. Fortunately, Bing advertising is quite simple, but it can require a little bit of experience within the industry to be able to execute in a way that gives a reasonable return on investment. Advertising on Bing works just as Google AdWords, as Bing also uses PPC (Pay-Per-Click). This means that Bing also places ads in the top of its search results, where a click from a potential customer means that the advertiser gets to pay.
PPC advertisement is a very valuable tool within digital marketing as it can help attract more customers, increase sales, increase exposure of your brand or something completely else.
Advertising on Bing works by you choosing a series of keywords that you would like to advertise on. These keywords are usually found by conducting a keyword analysis. When a user performs a search query that matches the chosen keyword, an ad will appear at the top of the search result, which hopefully leads to the user clicking the ad to be redirected into the landing page, where a conversion can take place. This form for advertising is one of the best ways to utilize your marketing budget, as you only reach people who have a current interest in buying your products or services.
To be able to advertise on select keywords it’s important that you have chosen an appropriate budget. It can be quite hard to find a fitting budget, but a good rule of thumb is to look at the price for the keyword you are interested in and then compare it to your current profit and conversion rate. Allow us to show an example:
We assume that your company sells paintings online. If your company sells a painting for 10000 DKK and if you retain a profit of 6000 DKK per painting you profit per sale is 6000 DKK. From these 6000 DKK you decide to spend 25% on advertising to increase your revenue even more. Now you only need to know how often a conversion takes place on your website – this can be found by digging into your data in Google Analytics. Let’s assume that per 1000 visitors you get 10 sales, which leaves us with a conversion rate of 1%.
We now have all the necessary numbers to calculate our budget:
Profit per sale: 6000 DKK
Conversion rate: 1%
Percentage for advertising through Bing/AdWords: 25%
Your maximum Cost Per Click therefore becomes:
MAX CPC = Profit per sale * Percentage for advertising * conversion rate
MAX CPC = 6000 * 0,25 * 0,01
MAX CPC = 1,5
This means that you will at max pay 1,5 DKK per click on an ad for that particular product. From here you can scale up according to how many clicks you count on receiving on your ad to be able to set your maximum daily budget. It can be hard to calculate in the beginning, but after the first few days it should be possible to see a tendency. The numbers above are of course completely arbitrary numbers and in a real situation the numbers will most likely look quite different. We always recommend starting out small and then increasing investments for the well-performing ads.
At Jaskov Consult we would love to help you and your company get started using Bing for advertising. It is a process containing set up, finding the best keywords, experimenting to find the best ad texts for maximum conversion and then a continuous optimization process, where the Bing campaigns are monitored for effectiveness and results. Doing so ensures that your money is spent in the best possible way. We have several years’ experience with both Google AdWords and Bing Ads and we are ready to help you no matter how much marketing you already have done. Furthermore, we recommend using both Google AdWords and Bing Ads campaigns to maximize the chances of creating conversions as you eliminate customer preference for either search engine.