Staying ahead of your competition might not be your favourite thing to do as an ecommerce owner, but approaching your digital marketing strategy without knowing what your rivals are up to isn’t always the best idea. In fact, when performed correctly, effective competitor research can transform a Google Ads campaign. But what exactly does this entail, and how can you do it effectively? Let’s dive in.
Why is Competitor Research Important in Google Ads?
Before we get into the nitty-gritty, let’s address the elephant in the room: why bother with competitor research at all? Well, understanding your competitors’ strategies can provide invaluable insights. It helps you identify gaps in your own approach, discover new opportunities, and refine your tactics to stay competitive in the crowded digital landscape.
Types of Competitors to Consider
When conducting competitor research, it’s important to cast a wide net. You might be surprised by who you should be keeping an eye on. Here’s what we’d recommend as a team specialising in PPC management:
Direct Competitors
These are the businesses that offer similar products or services to yours, targeting the same audience. They’re the ones you’re likely already aware of and probably keep tabs on regularly.
Indirect Competitors
Don’t overlook businesses that might not be direct rivals but are competing for the same ad space. They might offer complementary products or services that could sway your potential customers.
Industry Giants
Even if you’re not directly competing with the big players in your industry, their strategies can offer valuable insights. They often have larger budgets and teams dedicated to optimising their campaigns, so there’s usually something to learn from their approach.
Key Metrics to Analyse
When diving into competitor research, there are several key metrics you should focus on; these will give you a comprehensive view of your competitors’ strategies and performance.
Ad Spend and Budget Allocation
Understanding how much your competitors are investing in their Google Ads campaigns can help you gauge the level of competition and identify opportunities – tools like SEMrush or SpyFu can provide estimates of competitors’ ad spend.
Click-Through Rate (CTR)
A high CTR indicates that an ad is resonating with its target audience. By analysing your competitors’ CTRs, you can gain insights into what type of messaging and offers are most effective in your industry.
Conversion Rate
While harder to gauge, conversion rates can provide valuable insights into the effectiveness of your competitors’ landing pages and overall user experience.
For a more comprehensive look at what to analyse, check out our PPC competitor analysis guide. It offers a deep dive into the metrics that matter most in PPC advertising.
Step-by-Step Guide to Google Ads Competitor Research
Now that we’ve covered the basics, let’s walk through the process of conducting thorough competitor research for your Google Ads campaigns.
Define Your Competitor Set
Start by identifying who your competitors actually are, and this should go beyond just listing the businesses you think you’re competing with. Use tools like SEMrush or SpyFu to identify who’s bidding on the same keywords as you – you might discover some unexpected competition!
Gather Initial Data
Once you’ve identified your competitors, it’s time to start collecting data. Look at their ad copy, landing pages, and overall online presence. Tools like the Google Ads Auction Insights report can provide valuable information about how often you’re competing with others for the same ad space.
Analyse Competitor Keywords
Keyword research is a crucial part of any PPC strategy, so analyse which keywords your competitors are bidding on. Are there any you’ve overlooked? Are they targeting long-tail keywords that you haven’t considered?
Assess Ad Copy and Creatives
You should also take a close look at your competitors’ ad copy. What kind of messaging are they using? What offers or unique selling propositions are they highlighting?
Review Landing Pages and User Experience
Don’t stop at the ads themselves! Follow through to your competitors’ landing pages – how do they structure their pages? What kind of information do they provide? How easy is it to take the desired action (like making a purchase or filling out a form)? This can provide insights into improving your own landing pages and user experience.
Monitor and Adjust Your Strategy
Finally, remember that competitor research isn’t a one-time task; the digital advertising landscape is constantly changing, and so are your competitors’ strategies. Make it a habit to regularly review and update your research, and set up alerts for new competitors entering the space and keep an eye on any significant changes in competitors’ strategies.
Key Takeaways
Ultimately, performing regular competitor research in Google Ads is an ongoing process that can provide valuable insights to improve your own campaigns. By understanding who your competitors are, what they’re doing, and how they’re performing, you can refine your own strategy and stay ahead of the game.
Remember, the goal isn’t to copy your competitors, but to learn from them and identify opportunities to differentiate yourself. Use the insights you gain to inform your decisions, but always focus on what makes your business unique.
Why not take the first step towards a more informed, competitive Google Ads strategy today? Reach out to us, and let’s discuss how we can help you leverage competitor insights to drive your business forward.
