It is scalable but not infinitely, there are some limits.
There are a finite number of people who want what you sell, can afford what you sell and are in an area you can reach. Some portion of those people will use Google. That number is the upper limit of AdWords scaleability.
If you run a local business like a plumber or electrician that number will be small. If you sell something online the number might be much bigger. Either way, there is a hard limit to it.
There is another practical limit. That’s the cost per sale. Assume for the moment that you’re not lucky enough to have a trust fund or trough of venture capital to spend. Your business has to pay the cost of acquiring a customer out of the profit they make from selling to customers. As you scale AdWords up the cost of acquiring the next customer goes up.
An example might help.
Lets assume for the moment that you’ve got some high converting keywords and the cost per acquisition is $50 per sale. You can start scaling your campaign by adding money till your ads are getting shown for as many of those high converting keywords as possible. After that there is no way to scale on those keywords so you have to go and find some more.
The next lot of keywords you find might not be as good at converting so the cost per sale will go up. As long as the cost per sale is less than the profit you make from that sale you can throw money at those new keywords till they too are working at full capacity. Eventually you won’t be able to find any more keywords that generate sales at a profitable cost. That’s the limit.
Do I really need 7 websites?
Two groups of people visit your website: people who know what you sell and strangers who don't know you but want what you sell. One website can't serve both groups effectively.
Does PPC work for accountants?
The short answer is “Yes, but only sometimes”. Google suggests that AdWords will work for any business but this is not true in real life.
How do you test a business idea?
You don’t want to invest time and money on a business idea unless you’re sure that it’ll get traction. Read on to learn how to use Google Ads to test an idea before committing to it.
How to turn leads into sales.
Two businesses in the same industry. One converts 5% of website leads into sales. The other converts 60%. Read on to find out why.
I can’t get to the decision maker.
"I‘ve got a great product but I can’t get to the decision maker." That’s a problem we smaller business owners face a lot. Can I tell you about how a former client of mine got the decision makers to come to her?
Is AdWords worth it?
"Is Google Ads really worth it? I have found that through tracking my CPC, I am not having that much success." was asked on Quora. My answer saved below.
Selling to strangers is different
Ask 100 small business owners how they find customers and 99 of us will say "word-of-mouth". What we won't tell you is that our word-of-mouth marketing is not well tuned engine that spits out a steady stream of great prospects. They arrive by luck or magic.
The cost of zero.
Every small business owner needs to understand the cost of zero before they next invest in marketing. It does not matter what medium it is: Google Ads, Facebook, LinkedIn, magazines, radio, or anything else. The reason these campaigns fail so often is never as obvious as you might think.
Will Google Ads work?
Thinking about advertising on Google? There are thousands of people who've used Google Ads and never made a sale. You don't have to be one of them. Read on to learn how.
Zombie Hunting Wednesday 3pm. You in?
We’ve all got zombie leads. These are people we’ve quoted who haven't said yes. They haven’t said no either. Instead they’re ignoring us - our emails go unanswered and they’re always too busy to talk.