what is the average of your business? – WAU

If you already have some experience with internet campaigns or have read our posts carefully, you know very well how important it is to analyze the performance of your actions to optimize the results. To be successful with Digital Marketing, you need to know how to analyze the performance metrics of your campaigns. But how? How to know if […]

If you already have some experience with internet campaigns or have read our posts carefully, you know very well how important it is to analyze the performance of your actions to optimize the results.

To be successful with Digital Marketing, you need to know how to analyze the performance metrics of your campaigns. But how? How do you know if your results are better than those of your competitors? The answer is simple: using PPC Benchmarks.

We have already talked about the importance of benchmarking in the formation of your market intelligence and assessment of your company’s position in comparison with that of competitors. However, you can take it a step further and use this same technique in your PPC ads (pay per click).

Want to know how? Just scroll down and read on!

Why use PPC Benchmarks in your campaigns?

Comparing the performance of competitors is absolutely natural in human life. And we do it all the time, whether it’s hobbies or hobbies, work or career.

And this happens for a very simple reason: it is an excellent motivator for a process of continuous improvement. The comparison offers a point of orientation on the evolutionary journey and, with it, we can know if we are progressing or not.

There was no reason to be different with Digital Marketing and PPC ads.

Benchmarks of this type of ads are powerful tools for measuring the performance of your campaigns on Google Ads or Facebook Ads. With them, you can get a sense of your results in relation to your niche and learn a thing or two from your competitors.

Of course, the ideal would be to have the specific data of the campaigns of each company in your sector in hand for a complete analysis, but this is not possible. In this case, the closest are the benchmarks by industry sector.

Below, you’ll see what the main benchmarks are to compare with the results of your PPC ads. Keep reading!

What are the main performance indicators?

Not every metric available about a Digital Marketing campaign can be useful in a performance appraisal. Some of them, the so-called vanity metrics, do more harm than good.

For this reason, you should focus your PPC Benchmarks analysis on the right performance indicators that will most help to improve your campaigns. Check out some of them:

Clickthrough Rate (CTR)

CTR is the metric that measures the percentage of clicks received on an ad. It is important to measure the strength of the campaign in convincing the target audience to click and go to the landing page chosen by the action.

Between the two main PPC ad platforms, the advantage over CTR is Google.

At Google Adwords, the average CTR across all industries is 3.17% for searches and 0.46% for the Display Network.

In Facebook Ads, the average CTR for all industries is 0.90%.

Check below the niche CTR segmentation in Google Adwords and Facebook Ads:

Google Adwords

  • Legal: 2.93%
  • Cars: 4%
  • B2B: 2.41%
  • Services: 2.41%
  • Personals & Personals: 6.05%
  • E-Commerce: 2.69%
  • Education: 3.78%
  • Finance: 2.91%
  • Health: 3.27%
  • Household Goods: 2.44%
  • Services for Industry: 2.61%
  • Real estate: 3.71%
  • Technology: 2.09%
  • Tourism: 4.68%

Facebook Ads

  • Legal: 1.61%
  • Cars: 0.80
  • B2B: 0.78%
  • Services: 0.62%
  • E-Commerce: 1.59%
  • Education: 0.73%
  • Finance: 0.56%
  • Health: 0.83%
  • Services for Industry: 0.71%
  • Real estate: 0.99%
  • Technology: 1.04%
  • Tourism: 0.90%
  • Fitness: 1.01%

Data source: WordStream (Google and Facebook).

CVR (Conversion Rate)

The conversion rate is a metric that indicates the quality of your campaign in transforming the audience from a mere spectator to a customer of your company.

If Facebook Ads took the worst in comparison with Google Adwords, here things are reversed: Mark Zuckerberg’s social network is more efficient in this area (average of 9.21% in all industries) than the ad platform of the search engine (average of 3.75% in searches and 0.77% in the Display Network).

Check the table with the results by industry, with data again from WordStream:

Google Adwords

  • Legal: 6.98%
  • Cars: 6.03%
  • B2B: 3.04%
  • Services: 6.64%
  • Personals & Personals: 9.64%
  • E-Commerce: 2.81%
  • Education: 3.39%
  • Finance: 5.10%
  • Health: 3.36%
  • Household Goods: 2.70%
  • Services for Industry: 3.37%
  • Real Estate: 2.47%
  • Technology: 2.92%
  • Tourism: 3.55%

Facebook Ads

  • Legal: 5.60%
  • Cars: 5.11%
  • B2B: 10.63%
  • Services: 9.96%
  • E-Commerce: 3.26%
  • Education: 13.58%
  • Finance: 9.09%
  • Health: 11%
  • Services for Industry: 0.71%
  • Real estate: 10.68%
  • Technology: 2.31%
  • Tourism: 2.82%
  • Fitness: 14.29%

Average cost per action

As the name implies, this metric shows the average price for each action taken in campaigns on PPC ad platforms.

In this case, data about this metric are missing in the London currency, but we can have an overview if we use the information available in dollars.

According to WordStream, the average cost for a share on Facebook is $ 18.68. The best niche in this regard is education (which pays an average of $ 7.85 per share) and the worst is technology, with a cost of $ 55.21 per share.

In Google Adwords, the average for all industries is $ 48.96 for searches and 75.51% for the Display Network. The best niche is the automobile ($ 33.57) and the most expensive is the technological niche ($ 133.52).

CPC (Cost Per Click)

Considering that the PPC model is based on the logic pay per click (Pay per click), CPC is one of the most important performance indicators.

Again, there is a lack of data in reais, but we can compare the situations with the dollar information provided by WordStream.

In Google Adwords, the average CPC for all industries is $ 2.69 for searches and $ 0.63 for the Display Network. Those who do best are e-commerces, with an average CPC of $ 1.16, while the legal sector has the most expensive CPC: $ 6.75.

On Facebook Ads, the average CPC for all industries is $ 1.72, with a positive highlight for the fashion industry (which pays $ 0.45 per click) and negative for the finance area ($ 3.77).

With this information at your disposal, you can use PPC Benchmarks to analyze your performance against the industry in which you operate and find out how to optimize your results.

If you are not satisfied with your conversion rate on Facebook Ads and want to improve it, how about downloading our ebook on the subject? With it, you learn how to optimize your conversion on the platform and win more customers!

facebook ads