Using Dayparting Effectively in PPC, Part 2: Advanced Tactics

In Part 1, we talked about basic dayparting techniques, such as turning off ads during days or hours where results are poor. But what if you don’t want to turn things all the way off?

For instance, let’s say you get some conversions on the weekends – but the conversion rate isn’t as good as it is during the week. Or maybe you get lots of conversions on a Monday, but it’s really competitive, so your CPCs, and therefore your cost per conversion, are higher than you’d like. In these instances, you don’t want to shut off the weekends or Mondays entirely, because you’d lose sales, right? What to do?

This is where bid adjustment comes in. Bid adjustment is a wonderful feature, available in both Google and MSN/Yahoo, that allows you to raise or lower bids on certain days and/or times. With bid adjustment, you can increase or decrease your max CPCs, using a percentage, during days or times that you choose. Here’s a screen shot of the adCenter bid boost screen, found under Campaign Settings.

Let’s take the “weekends aren’t great” example at the beginning of this post. Let’s say your weekend conversions are only worth half what your weekday conversions are worth. Use the bid adjustment feature to set Saturday and Sunday’s bids to 50%. The PPC engine will automatically reduce your CPCs by half. Pretty slick, huh?

As I mentioned in Part 1, when you’re thinking about dayparting, it’s critical to make sure you’re making the right decisions using good data. To make the right decision, you’ll need to look at a large enough set of data. As I mentioned in Part 1, you’ll need at least 100 clicks in each segment to even begin thinking about bid adjustments.

Google makes it easier to get at this data than MSN, at least the day of week data. In Google, just choose Segment by day of week and export the result. However, adCenter’s reporting by hour of the day includes conversion data, while Adwords’ reports by hour do not. (Google is missing the boat on this one, in my opinion!) If your adCenter campaign gets a lot of clicks, you may even want to review conversion data by hour, and then apply that to your Adwords campaigns, as well.

I can’t stress enough how important it is to use a statistical tool to make sure the difference in results is statistically significant. Even if you just look at conversion rate, check the day or days you’re thinking about eliminating, and compare with the other days. If the difference is significant, then go ahead and adjust your bids. If the difference isn’t significant, don’t do it! Even if you have to set the date range to the past 12 months, it’s worth it to make sure you’re making the right decision. Nothing is worse than reducing bids (and getting less traffic & conversions as a result), only to find out you’ve ended up cutting way into your sales.

When used correctly, dayparting and bid adjustment can really improve campaign performance. Look at your data and give it a try!

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  1. Where in Adwords can you control your bid for a specific day? My understanding was that you could only control which hours/days your ad appeared, not the actual bid as well.

  2. Good question, David. When you're looking at the bid adjustment screen, at the upper right hand corner you'll see two links: one for “Basic” and one for “Bid Adjustment.” Click the “Bid Adjustment” link, and you'll see “% of Bid.” You can then adjust the percentages up or down.

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