Of course, the lifetime value of a new client in these industries is very high, making it all worthwhile in the end.
On the display network, technology companies take an easy win with CPAs below (.23).
While it should be obvious that Google and Technology pair well together, this is also in no small part due to the success of tech advertisers promoting their app installs across the search and display networks.
The average conversion rate in Ad Words across all industries is 2.70% for search and 0.89% for display. Dating and personal sites have, by far, the lowest average cost per action from search ($6.91 CPA).
While Google may be a great place to find a boyfriend, it is an expensive place to find an employee, doctor, or lawyer – average search CPAs for employment services, medical services, and legal services are $105.79, $126.29, and $135.17, respectively.
No doubt, it’s easy to write powerful emotional ad copy when your prospects are searching for love.
Other industries with high search CTRs include Finance (2.65%), B2B (2.55%), Consumer Services (2.40%), and Technology (2.38%).
The Finance and Insurance industries convert amazingly well on both the search (7.19% CVR) and Display (1.75% CVR) networks.
In many of these cases, the best converting advertisers aren’t afraid to change their offer or their conversion flow to boost their conversion rates.
On the flip side, employment service advertisers have struggled on the display network to create ads to entice potential job searchers and typically have poor performance, averaging a 0.14% display CTR. The average click-through rate in Ad Words across all industries is 1.91% for search and 0.35% for display.
It’s no surprise that legal services have some of the highest CPCs on the search network.
Check out the full infographic below: This report is based on a sample of 2,367 US-based Word Stream client accounts in all verticals (representing .4 million in aggregate Ad Words spend) who were advertising on Google Ad Words’ Search and Display networks in Q2 2015.
“Averages” are technically median figures to account for outliers. Mark is a Data Scientist at Word Stream with a background in SEM, SEO, and Statistical Modeling.
If you’re hitting these benchmarks – don’t stop and settle for average either!