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Are My YouTube Campaigns Working?!

If Google says your YouTube campaigns aren’t working, don’t stop your ads just yet! Google does a very poor job at identifying if a YouTube campaign is working well over a longer period of time.

In this episode, John explains why that’s the case, and shows you the metrics to analyze to make sure your YouTube Ads are working. Plus, he gives tips on how you can reach more people with your YouTube ads.

0:00 Intro | Are My YouTube Campaigns Working?!

0:41 How Google identifies the performance of YouTube campaigns

5:58 Break down your ad groups

9:54 Customer Acquisition Cost (CAC) vs Lifetime Value (LTV)

14:17 How to measure your YouTube campaign performance without a third-party attribution tool


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Transcript
John:

So Google does a very poor job at identifying if a campaign on YouTube is

John:

working well over a longer period of time.

John:

So just know that there is a lot more that you're seeing behind the

John:

scenes, but hopefully this gives you some tips to look at and some trusts

John:

so that you you can count on it.

John:

Doesn't make sense to not track brand and to look only at click only data

John:

inside of Google for your YouTube campaign to say, well, that didn't work.

John:

I'm gonna shut it off.

John:

You're gonna stop three feet from gold.

John:

And now you can't get into top of funnel because it's too.

John:

Might not be, you just might be looking at it incorrectly.

John:

This is more of an advanced strategy, you know, really good marketers.

John:

can't fully grasp this idea.

John:

Everyone, John Ryan here with solutions eight and today we're gonna be discussing

John:

are YouTube ads really working for you?

John:

Google's gonna say no, but in reality it's yes.

John:

so that's where we're actually gonna be diving into a bit.

John:

Here is Google is a mainly a click Trudi network, which means that unless

John:

there's a click, it's really hard for Google to actually identify even

John:

the view through conversions, Google themselves has even stated that the

John:

view through conversion attribution inside of Google is not that great.

John:

it's one of the reasons why they came out with data driven attribution is because

John:

data driven attribution will actually append a view to a conversion, even if

John:

it doesn't come through Google ads as they click through conversion, which

John:

is really interesting to think about because it's a click attributed network,

John:

but the data Driven's like, well, this campaign actually did do a lot of work.

John:

It did bring that new customer.

John:

So even though it didn't click on it, but they might have watched the ads

John:

six times or five driven video ads, six different times and then Google the brand

John:

name and clicked on an organic listing.

John:

And.

John:

If you have your tag installed.

John:

Oh, using Google tag manager, the Google as conversion tracking,

John:

rather than Google analytics.

John:

You're actually going to see conversions that are coming in through, YouTube,

John:

even if they're not click attributed.

John:

So Google does a very poor job.

John:

At identifying if a campaign on YouTube is working well over a longer period of time.

John:

Now we do have third party tools such as Ning that I'm gonna be discussing

John:

today, to prove this model so that you don't necessarily need nor beam.

John:

But what you're going to want to take a look at is, a few metrics that are

John:

important to identify, to make sure that your YouTube ads are actually performing.

John:

So that's what we're gonna get, started into today.

John:

I'm gonna blur the screen on a lot of things, because unfortunately we're using

John:

real client data today, and I wanna keep that client name, confidential, but I also

John:

wanna share with you the strategies that we use in order to make sure that this is

John:

worthwhile and it's worth the investment.

John:

And some things to think about C versus LTB cost of acquiring a new customer

John:

and the lifetime value of that customer.

John:

So this is a way for us to really.

John:

make sure that the YouTube ads that look like they have a bad row as

John:

is actually performing for you.

John:

And I think that this is more of an advanced strategy, really good

John:

marketers, can't fully grasp this idea.

John:

and it's not to like, kind of say tutor on horn.

John:

We had to have a third party tool, tell us this, improve the model that

John:

we use, but your typical, agency, or even your typical ads manager in

John:

house may not be thinking this way.

John:

So hopefully this is a way to kind of identify, a CAC versus LTB model.

John:

the missing click attribution that Google has that is not giving your top

John:

of funnel campaigns like YouTube or even discovery full credit that they deserve.

John:

First thing, we're gonna look at.

John:

Is, this is a company, that we're running a top of funnel, YouTube campaign, for

John:

we're spending, a thousand dollars a day.

John:

So it's a fairly sizable campaign.

John:

And since June 6th, you can see here that we've actually spent 31,724.

John:

Now, The only two campaigns that are not going to be blurred out is

John:

the branded campaign right here.

John:

And the Y T T O F, which is YouTube top funnel dash sole.

John:

So these two are gonna be, not blurred so I can share these

John:

with you, but the rest of the campaigns here are gonna be blurred.

John:

Just know that there's a ton of performance max that's down here.

John:

So, if you're curious, there are a bunch of performance, max

John:

campaigns, a few interesting.

John:

When we started the YouTube top of funnel campaign, this actually went live.

John:

If I go on a, daily, look here, we started this on June 17th.

John:

and we've already started to see some conversion value that's coming in

John:

now, you'll see that's coming in at sort of a loss like cost a thousand

John:

dollars converge valley, two hundred seven, nine hundred and eighty $4, 327.

John:

We had one day we spent 992 made $915.

John:

Now know that these are actually.

John:

Low AOB conversions.

John:

They're usually only about, I would say an average 20 to $25.

John:

So the Roaz is gonna be nearly impossible for these to be.

John:

Row as positive, like above like a two or three X.

John:

That's not the goal though.

John:

And I'll share with you how you track what's actually happening.

John:

So we do have some, you'll see conversions like five conversions, 10 conversions,

John:

15 conversions, nine conversions, 11 conversions, take some time to

John:

ramp up, take some cost to ramp up.

John:

If you imagine a thousand dollars a day from the 17th to the

John:

third, you're talking, 15 grants.

John:

So it's not an inexpensive, channel.

John:

It's very.

John:

But there's way more that you're not sitting here and I'll

John:

share with you what that is.

John:

Just know that they take a well bit of time and then they ramp up.

John:

Now I'm going after a YouTube, similar audience, a placements, a keyword,

John:

and an InMarket all all by themselves.

John:

So I can at least get a few things.

John:

What is the view rate?

John:

You can see the YouTube similar audience not doing that.

John:

Well, the placements doing really well, the keywords not doing well

John:

from a view perspective, but these are actually delivering me a really good

John:

return, so that 13% view rate on it in our in market, but it also sold the.

John:

So things that you have to kind of take into consideration and then dive a little

John:

bit deeper, but I would highly suggest that you break out your ad groups and

John:

then subsequent targeting underneath that.

John:

I can't tell, obviously can't tell you what the keywords in the end markets are.

John:

That's kind of proprietary to this client, but just the

John:

structure still stays the same.

John:

Like having your YouTube ads broken up individually, when

John:

you're talking about eCommerce.

John:

I usually like to use, a YouTube, trivial fraction.

John:

So it's gonna be a conversion campaign that's running on maximized conversions.

John:

Now you can use a target CPM or target PP model.

John:

Let me actually make this bigger here.

John:

You can use a CPM CP model.

John:

Those are good.

John:

Those will give you a really wide reach.

John:

But what Google has not taken into consideration is at the potential

John:

for that person to convert.

John:

That's really important to understand.

John:

I want to impress upon a person at the top of funnel, someone that

John:

is closest to the bottom of the funnel of making their decisions.

John:

It's kind of on oxymoron, but if I'd have said, Hey, are you alive?

John:

And could show you an ad.

John:

Yeah, I could show you two for 2 cents.

John:

I'd rather show a Tencent, add to a person that's.

John:

I also is interested in the product in the future that I know that

John:

they're looking to purchase maybe in the next two to three weeks.

John:

It's really important to choose, not just a cheap audience.

John:

A high intent audience.

John:

It is more expensive, but it will come back in more ways that you could imagine,

John:

which is what normal agencies don't track.

John:

So when we're looking at the bidding strategy, don't go for the cheapest

John:

top funnel go for the most relevant top funnel is a little bit expensive, a

John:

little more expensive, but it is worth it.

John:

so what's interesting about this though, is that on June seven?

John:

Is when these ads went live.

John:

Now, let me switch over to the brand campaign here again, These are

John:

gonna be blurred out here because it has the name of the client.

John:

But what you notice is June 17th is right here.

John:

And what you look at is the cost and the conversions.

John:

Now I've been trying to spend $5,000 a day in this account, and I haven't

John:

been able to do it since March.

John:

Now.

John:

I have been spending a good amount of money.

John:

It's spent about a thousand dollars a day, and then it started ramp up to 1300.

John:

My YouTube ads went live on the 17th and you can see if you look at the branded

John:

traffic, the only thing that we did differently is just start to spend more

John:

on YouTube, but it went from spending, $700 or $7,000 getting 600 converge.

John:

To $9,000 getting 666 conversions a week before we launched right after we

John:

launched, it went up to 15,000 9 85, then had a small dip here, of $17,000

John:

spent 8 28 conversions, 15,000 thousand conversions, 18,000 1200 conversions.

John:

So you're starting to see how this is ramping up really well.

John:

Why is this happening?

John:

Well, YouTube is saying it's not doing that.

John:

getting a 2.3 rows, it looks pretty terrible.

John:

When you look at the U the video campaigns here, we're getting a return on Aspen.

John:

That's pretty much, oh, sorry.

John:

Let, just grab that conversion or that campaign here.

John:

I sorry that they call convert to value by cost.

John:

So Roaz essentially right now, I'm getting a 0.2, two that's terrible.

John:

That looks horrible.

John:

Right?

John:

Point two, two that's bad cost per conversion is pretty much,

John:

you know, a visible, when you look at the CPA, it's $231.

John:

That's bad.

John:

Now this client has a really good LTV.

John:

it's above 200, so right now break even, but that's not great.

John:

you don't wanna, cack an LTV that's equal then it's just, shut

John:

up that campaign reallocate it.

John:

It's not gonna do really good.

John:

This is not a glitch.

John:

I'm interrupting the video you're watching, because I need to

John:

remind you that I'm always looking for people to join our team.

John:

So if you're passionate about Google ads and you wanna work with the best

John:

Google ads agency on the planet, please go to so late.com/apply.

John:

Speaking of working with the best Google ads agency on the planet, if you're having

John:

trouble with Google ads and you want professional help, that's what we do.

John:

You can go to so late.com that's S O L eight.com to apply for your

John:

free no obligation action plan.

John:

And if I've given.

John:

Any level of value at all.

John:

Maybe think about giving me a thumbs up and subscribe to our channel.

John:

That's how we choose the YouTube algorithm.

John:

So they actually know that I know what I'm talking about.

John:

If you have questions, comments, concerns, or confessions hit

John:

me below in the comments.

John:

And now back to your regularly scheduled program, your cost of acquiring a new

John:

customer always should be lower than the.

John:

Foreseeable LTV that you wanna spend into.

John:

If you have a yearlong LTV, you don't wanna spend your yearlong LTV on the cost.

John:

Cause then you spend 200 hours to make 20 that turned into 80, that turned

John:

into one 40, that turned into 200.

John:

Then they leave.

John:

Congratulations.

John:

After a year you made zero.

John:

You just shipped out all of your stuff for no profit.

John:

So that idea, but that's not what's happening.

John:

This is something that we look at, on a different basis.

John:

We already know that our brand campaign is making more money than

John:

it's spent, which is good, but it's also scaling up really well.

John:

So if we look at the increase, we might just take it from June 20th as an

John:

example, and say, well, what is my cost?

John:

And what are my revenue?

John:

I'm looking at $70,000 in cost, $227,000 in revenue.

John:

Now that's a $17 cost for conversion and 4,000 conversions.

John:

That's good.

John:

But again, it's brand.

John:

. But when you look at a tool like nor beam, what we're looking at

John:

here, I'll move it over there again.

John:

So this is the last seven days.

John:

And if we look, if we look at the spend revenue, it says pretty much what Google.

John:

It shows 6,896,000 spend and 25,099 in revenue.

John:

Now this is coming in, mostly from this YouTube top of funnel.

John:

So Y T T F select same campaign.

John:

Now that 0.3, three is not good, but what if we count the click and the

John:

views Uhhuh now we're seeing, okay.

John:

So we spent 6,896 and we have 4,000 608 2 a 0.6, eight row

John:

as, as normalized already out.

John:

8.72.

John:

So 0.72 is a lot better than 0.2, two in Google.

John:

It's not great, but it's looking better.

John:

And you'll see that my cost of acquiring a customer.

John:

Now, this is not new.

John:

This is all.

John:

This is like CPA cost of acquiring a customer.

John:

But if it's new returning is $66.

John:

That's a lot better than the 230 bucks, whatever was that Google said.

John:

And now I have a hundred transactions this week, just on YouTube for a 66 hour CPA.

John:

Now let's go one step further though.

John:

Let's break it out between new and person returning.

John:

Now we know that this is a top of funnel campaign.

John:

that's obvious.

John:

now what you're looking at here is the difference between revenue

John:

first time Roaz and then C and then revenue, and then Roaz and then C.

John:

so CAC first time is $86.

John:

So what this really means is I have a $6 CPA and $86, not of

John:

that, but $86 out of the blended, spend is only to new customers.

John:

So what's cool about this is I'm using a top of funnel campaign that has

John:

gone through the path of converting, whether they converted through Google

John:

ads or they converted somewhere else, but it is a brand new customer.

John:

And now my cost of acquiring a new customer is 80.

John:

Ah, cost of acquiring a new customer's a $6 when you have an

John:

LTV of over 200, the cost of 86.

John:

That's great.

John:

that's a much, much, much better row.

John:

As of what Google said, Google said, you're breaking even over a course

John:

of a year, this one said, you're gonna triple your, your money.

John:

So you have a 300% row as after you actually take a look at everything.

John:

Why is nor beam showing me this well, because those people do come back through

John:

the brand campaign after they viewed an.

John:

Wow.

John:

Well, if I'm trying to spend $5,000 a day and all of a sudden I went from a thousand

John:

dollars a day and spend a $3,000 a day and spend MI row as has stayed the same.

John:

And now I'm netting a lot more money.

John:

How much of that has attributed only to this one YouTube campaign versus

John:

everything else that we're doing, like performance max and discovery, et cetera.

John:

This one in the grand scheme of things is resulting in an $86

John:

cost acquiring a new customer.

John:

So it's three times cheaper than what Google ads is.

John:

Why Google ads is click attributed.

John:

What does that mean?

John:

Based on your attribution.

John:

Model's not gonna give you too much attribution over to YouTube

John:

campaigns because we're not taking into consideration the view

John:

through conversions that much.

John:

So we're looking at CAC versus LTB, and you're looking at what

John:

is the, what is a good campaign?

John:

YouTube is amazing, but it looks like it sucks inside of YouTube.

John:

So looking at a third party tool, just knowing that if you have good

John:

metrics, which is what we're gonna talk about next, you can depend on that.

John:

Doing better.

John:

How do you measure it without their cardiac execution tool?

John:

Look at your organic, look at your direct.

John:

Look at your email signs and look at your brand.

John:

Spend.

John:

If you're I know with brand spend is a lot of times a bad word,

John:

it is a good use of the tool.

John:

If you're also looking at other things like are my YouTube campaigns resulting

John:

in people Googling the brand name, that's obviously a very good, important thing.

John:

It doesn't make sense to not track brand and to look only at

John:

click only data inside of Google, through your YouTube campaign to.

John:

Well, that didn't work.

John:

I'm gonna shut it off.

John:

You're gonna stop three feet from gold.

John:

And now you can't get into top of funnel because it's too expensive.

John:

It might not be, you just might be looking at it incorrectly.

John:

So hopping back into the account though, here's some things to look at when

John:

you're looking at your video campaigns, you're looking at a few things.

John:

One is view rate.

John:

One is click the rate view rate and click the rate.

John:

You want to identify your videos that are above a 22% view

John:

rate and a 0.5 click the rate.

John:

Those are what Google is going to try to optimize.

John:

First conversion rates are good.

John:

Conversions are good.

John:

They're gonna be seldom because Google does bad tracking.

John:

But what you wanna do is if you're using data driven, is it

John:

is going to give a little bit of credit to YouTube when it needs.

John:

When it thinks it should, even though it should more.

John:

But that little bit of conversions when you're using true action,

John:

true view for action over time, you're gonna start to see it hone

John:

in on exactly where it needs to go.

John:

That's one of the reasons why in the last seven days, my cost went down

John:

0.7, but my first time revenue went up 15% and my cost per acquiring a new

John:

customer is now down 30% week over week.

John:

And I will even run this four weeks.

John:

That's a large dropdown.

John:

That's really, really good.

John:

When we first started this thing, I was at 1 78.

John:

Why?

John:

Because it took time to get them to warm up.

John:

Then come to the brand campaign.

John:

Then.

John:

So when you're looking at the, campaigns here, you're only looking at view rates.

John:

So 22% failed pass failed, failed.

John:

Interesting.

John:

When you're looking at the NA being data, we're looking at the same

John:

type of information, what are we looking to see in terms of revenue?

John:

That's gonna be back through the brand?

John:

Well, we can see that it is.

John:

In market.

John:

Good Mer similar audience, good Mer keywords, really good.

John:

Mer placements, even better.

John:

Ah, so now placements have a really good Mer, which is a Roaz and

John:

placements here is, one of my least spending and, but it made the most.

John:

Makes sense.

John:

So this is even showing a good row as zero at 1.06 for placements.

John:

That's decent.

John:

We see 1.0 0.1 8.08 and 1.8.

John:

So in market and similar audience are identical in market.

John:

Similar audience, a little bit different.

John:

You're start to see a $67 pack and an $84.

John:

K, but are they above, above the goal?

John:

Well, let's look at the clickthrough rate.

John:

If you look at the clickthrough rate here

John:

2 6 2 3 8 8 5 2.

John:

This is interesting.

John:

Now 8 8 5 2 keywords in market 8, 8 52.

John:

Well, let's look at keywords and in market.

John:

So in market.

John:

Good keywords.

John:

Good.

John:

So 0.5 click.

John:

The rate goal was that's the goal.

John:

Now the Mer is easy to get to this, cuz I didn't spend that much.

John:

So this is kind of an inefficient way to measure this when you're looking at Roaz,

John:

but we're looking at CAC Above goal here of eight, eight and above goal of 0.52.

John:

So YouTube keywords, YouTube in market, both above a click

John:

rate goal, YouTube keywords.

John:

That's a really good conversion rate.

John:

8.46, really low C good.

John:

What's the other good one?

John:

in market.

John:

That's also above goal in market.

John:

All.

John:

That's a good again.

John:

good convers rate.

John:

C so 67 64.

John:

What was the loser?

John:

Similar audience at $84.

John:

K what a similar audience look like?

John:

Point two, six, click.

John:

Below goal.

John:

What we have found is that when it's above a 0.50, click the rate and you

John:

have a good watch rate on top of that, it performs well, the view rate and the

John:

click, the rate when those two are above 22% and a 0.5, those are really good

John:

indication that Google is that's working.

John:

Google won't really report on it, but it sees it.

John:

It's going to start to.

John:

The ad spend is going to those, and it's gonna start to refine, start to work well.

John:

So just know that there is a lot more that you're seeing behind the

John:

scenes, but hopefully this gives you some tips to look at and some

John:

trusts so that you can count on.

John:

if you have a good audience and you have good videos and you have

John:

something that is people wanna buy, don't try to just sell like the left

John:

sock people like two socks, mostly.

John:

So it's a bad idea.

John:

You too is not gonna solve that for you.

John:

But, if you're looking at just some good marketing sense, like, Hey, it's a good

John:

video to a good audience, good click the rate, good view rate, trust the process.

John:

You will start to see good results, even if it just comes through

John:

the brand campaign, but remember where to look and remember how to.

John:

Hopefully, this is a good video for you.

John:

hopefully you've learned something.

John:

Hopefully you can kind of take that back to your campaigns and say,

John:

wait a minute, I was gonna pause it.

John:

I just paused it.

John:

Or I'm gonna look deeper now.

John:

What are some things that we can start to extract out of our YouTube campaigns that

John:

actually give us some good data and then measure that against your CAC and LTP.

John:

Company wide really, and even look at how your overall cost of acquiring a

John:

new customer on those channels and your overall cost acquiring new customer

John:

starts to go down and starts to get more volume, even though the you

John:

YouTube campaign looks like it's bad.

John:

So thank you very much.

John:

I'm John morale solutions eight.

About the Podcast

Show artwork for The Google Ads Podcast
The Google Ads Podcast
PPC Strategies, Tutorials, Tips, Tricks, Hacks, and Best Practices