LiveU: Divide and rule
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One of LiveU‘s main campaigns (general search) included a long list of related keywords and lead to the website homepage.
The average CTR before the optimization was 5.65%
Assumption: Although, all the keywords are industry related, there are more relevant and less relevant one’s. If we will define semantic groups, we will increase the relevance, the quality score and reduce the CPC.
The optimization steps:
- Keyword research – to refine the list and enrich the groups
- Competitive analysis – locate hidden potential and “budget eaters”
- Semantic group’s creation and allocating each keyword to the matching group
- Creating set of ads for each group to increase the quality score
Results:
- CTR: One of the groups stayed with more or less the same CTR (5.63%), while others have shown a significant difference: 4.05% and 11.5%.
- Cost: by allocating the budget according to the group performance, we’ve reduced the campaign cost by 22%
Using multiple ad groups in Google PPC advertising allows for granular targeting, significantly reducing campaign costs by improving relevance. Each ad group focuses on a specific theme or keyword set, enabling the creation of highly tailored ads and landing pages. This precision minimizes wasted ad spend by ensuring that ads are shown only to users actively searching for related terms. When ads are highly relevant to user searches, they achieve higher click-through rates (CTR) and Quality Scores. A higher Quality Score directly translates to lower cost-per-click (CPC), as Google rewards relevant ads with better ad positions at lower prices.
Furthermore, segmented ad groups facilitate better budget allocation. Instead of a broad campaign with a single, potentially inefficient ad group, you can distribute your budget strategically across multiple, targeted groups. This allows you to prioritize high-performing segments and refine or pause underperforming ones. By optimizing for specific user intents and avoiding irrelevant ad impressions, you effectively reduce the overall cost of acquiring conversions. This structured approach ensures that your budget is spent on reaching the most qualified audience, maximizing return on investment and minimizing wasted ad spend.
