Google Ads CPA is burning my budget. Landing page or targeting issue?

Hey guys,
I’m currently running a Google Search campaign for an e-commerce product targeting the US market.
I’m getting a decent amount of clicks and the CTR looks fine, but my CPA is way too high and I'm barely breaking even. I've already cleaned up my negative keywords list and tried tweaking the ad copy, but nothing seems to lower the cost per acquisition.
For those running ecom offers right now, where should I look first? Is this usually a landing page conversion issue, or should I change my bidding strategy?
Any tips would be awesome. Thanks!

i think first check the landing page conversion rate because good clicks but high CPA usually means visitors are not converting well then after fixing that and try testing bidding strategies.

Look at where the conversions are coming from. One device, location, or audience may be spending money without bringing enough sales.

VelvetTiger said:

Hey guys,
I’m currently running a Google Search campaign for an e-commerce product targeting the US market.
I’m getting a decent amount of clicks and the CTR looks fine, but my CPA is way too high and I'm barely breaking even. I've already cleaned up my negative keywords list and tried tweaking the ad copy, but nothing seems to lower the cost per acquisition.
For those running ecom offers right now, where should I look first? Is this usually a landing page conversion issue, or should I change my bidding strategy?
Any tips would be awesome. Thanks!

Click to expand...

Landing page check first, CTR is fine so the issue is conversions not clicks.

i would suggest you to check the landing page first and if you’re getting good clicks but few sales then the problem may be the page or offer and after that just try changing your bidding strategy maybe it helps.

high CPA with decent CTR almost always points to the landing page or offer not closing rather than the ads themselves. check your landing page conversion rate.

Don’t touch bidding yet. Break CPA down by search term, device, geo and actual LP conversion rate first. Good CTR only means the ad got the click, not that the traffic was good.

If intent is clean and CPC is reasonable, then it’s probably the page/offer. Fix that before you let Smart Bidding burn more budget.

VelvetTiger said:

but my CPA is way too high and I'm barely breaking even

Click to expand...

target other geos, or increase the lifetime value of your customers.
with a higher LTV, you could lose money upfront but make it in the backend

The best way to handle that is by taking a look at the offer: is the price adjusted to the market? Because if the price is way to high, you might have the most awesome campaign, the most advanced lp and the best measurement service in the world, and you won't sell. And validate the price against google itself (research you product or price on google directly, but not logged on your ads account. It's better to load on another browser. You price must be the same of lower (if it's a new ecomm) to the first 5 results in google shopping.

If the price isn't the issue at all, you are free to look at any other thing. But price comes first. And a little hack i usually do (if the client have the best price) is inserting the price in the titles of the search campaign. This is the most direct way to attract interested costumers.

Good luck on your journey bro!

High CPA can come from either weak targeting (low-intent clicks) or a poor landing page (low conversion rate).