CPA is known as either Cost Per Acquisition or Cost Per Action. It refers to the amount it costs your company to acquire a single paying customer through a marketing campaign or a particular marketing channel. Some marketing metrics are indicators of success, but CPA is a financial metric that directly measures the revenue impact for individual marketing campaigns. You can use CPA in marketing mediums that range from display ads and social media to content marketing. If you’ve found that your CPA is too high, here are three steps you can take to decrease your CPA.
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Find Specific Keywords
Keywords are often a big tripping point for marketers. Keywords are tough because they can be too vague, too specific, or altogether wrong. The key to decreasing your CPA costs is to find more specific keywords that increase your visibility from an SEO standpoint and make your brand more visible. You can run a Search Terms Report to discover which terms are being used with the greatest frequency by your target audience. This will, in turn, show you what ads those individuals are interacting with. All that is left for you to do is include those terms in your marketing campaigns.
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Create Text Ads that Capture Audience Attention
Your keywords are important, and so too is the broader text of your content ads. This goes for content in your banner ads, landing pages, and other marketing materials. If you find that your CPA costs are too high, the problem might be in the similarity of your content to your competitors. In order to lower your CPA on content, you have to tweak your content to highlight the value your brand and products offer that your competitors don’t. Whether it’s the pricing point of your product/service or a specific feature that is clearly superior to your competition, this needs to be the focal point of your content. Don’t waste the readers’ time with fluff. Get to the point and show the reader why your product is better.
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Optimize Your Landing Pages
Finally, you might want to take a look at your landing pages used in your campaigns. Landing pages should be specialized to a particular goal and tracked back to a specific campaign. As you create your landing pages, ask yourself these two questions: Does all your traffic go to the same landing page?Do you have different, more precise landing pages that could boost overall conversion rates?The answers to these questions will be specific to your individual company’s needs. Using those answers, you can optimize your landing pages. Optimization might include building landing pages that cater to all your products or services or building a few, specific landing pages that target exactly what your target audience is interested in.
While the three options mentioned above can help you lower your costs, these are not the only steps you can take to lower CPA. If you want to go beyond these options, you can also look into customized ad scheduling to maximize the value of when/where ads appear or you can even pause campaigns that showcase in places that are under-performing. Remember that CPA analysis is much like any other factor of marketing. You should regularly go back through your metrics to see how CPA is performing and make tweaks in these or other areas to bring down costs.