Google Adwords conversion rate averages by industry [infographic]

A reminder of the importance of paid search marketing contrasting the search network with the display network

Wordstream have published some useful research for benchmarking paid search marketing at a high level. If you’re considering paid search it gives you an idea of the conversion rates you can expect when making the business case. Of course, a test will show you rates specific to your market and your site, but this gives an indication.

This infographic is based on advertisers across industries using their AdWords performance grader over one billion dollars of spend.

Here’s a summary of the main findings taken

  • Average conversion rate for the search network in Q3 2012: 5.63%
  • Average conversion rate from the display network in Q3 2012: 4.68%
  • The Travel industry has the lowest conversion rates
  • Internet / Telecoms has the highest conversion rates across search & display.
  • The display network (ads outside of Google on publisher sites useful for generating awareness) generates 5x the volume of impressions but 1/5 of the clicks compared to the search network (searches within Google and its partners). 
  • Clickthrough rates are not covered by this research, but Wordstream suggest an average 2% to 5% paid search clickthrough rate for competitive industries and a 5%+ click-through rate for non-competitive industries for top positions with brand terms higher.

The thing to remember with the data above is that a conversion is not necessarily a sale it includes lead / data capture as well. While industry benchmarks are great if you are one of the bigger players in the industry be careful not to get too hung up on them, work to your own cost per sale and use such metrics as guides not absolutes. (view original post).

Please share your views

Leave a Reply

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes: <a href="" title="" rel=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong>

All comments

  1. Is this data global or US-centric?

    Also, somebody didn’t proofread the Computer’s & Electronics cell.

    • Sam, Wordstream are a US company, so sure it is US-centric. We always try to explain source/methodology, but the problem with infographics is that they are often limited on this info.
      Felt it was still useful to share though.

      Dave

  2. Pingback: Internet Advantage weekly sum-up week 47 - Internet Advantage

  3. IMHO, most of data presented are interesting but the main problem with this infographic is that “conversion rate” includes all possible tipology: completed sales, leads generated, etc. I have little experience of Google Adwords but I feel that the kind of conversions differ from industry to industry (or rather it may be very different at single-firm level in the same industry).

  4. Pingback: Internet Advantage weekly sum-up week 47 - Internet Advantage

  5. Pingback: How To Blow $3.5 Million In 30 Seconds - PPC vs. Superbowl Ad |

  6. Pingback: Why Tumblr Will Make Yahoo Billions: The Chronic Undervaluation of Display and Mobile | Mymarketing

  7. Pingback: Why Tumblr Will Make Yahoo Billions: The Chronic Undervaluation of Display and Mobile | Affordable Website Design - Wordpress Website Development

  8. Pingback: Undervalued display ads, mobile: how Tumblr will earn Yahoo billions | memeburn

  9. Pingback: Why Tumblr Will Make Yahoo Billions: The Chronic Undervaluation of Display and Mobile | Marketing from the Trenches

  10. Pingback: about Why Tumblr Will Make Yahoo Billions: The Chronic Undervaluation of Display and Mobile | united stta

  11. I agree with Agostino, however, it is very interesting to have an average on conversion rate by industry.

  12. Pingback: PPC Conversion Rates in Higher Ed

  13. Pingback: Why New AdWords Image Extensions Will Steal All Your Leads | Search Engine Journal

  14. Pingback: Cristi Movilă

  15. Pingback: Thursday Trends: Conversion Rates for Paid Search Advertising | TREW Marketing Spotlight

  16. Pingback: The Age of Free Data: 10 Great Tools for PPC Research & Benchmarking

  17. There is so much to know in Google Adwords that the fastest results can come with just a campaign audit. Results Driven is doing them for free at 325-446-1507

  18. That’s pretty interesting. For my company, the biggest problem with Adwords I’ve had was getting a good ROI on advertising. We’ve spent a little over $5000 but we weren’t getting any leads of people interested in buying our US-made Adirondack chairs. We started consulting with a company who basically told us though that our targeting was too broad and the way to go is lots of exact match keywords, consolidated ad groups (all our groups are less than 20 keywords now), and including lots of long-tail keywords. If you want, I’d recommend emailing him or what not if at least for the free PPC account audit, it helped us out and increased our sales a bit after the economy downturned here. His email is [email protected] hope that helps!

  19. Pingback: Search v Social – what is the best digital marketing option? | James O'Brien

  20. Pingback: BigData-Startups | 5 Factors That Will Help You Get A Good Conversion Rate

  21. Pingback: What to Do When You've Reached a Conversion Threshold -Jeremy Said

Get FREE marketing planning templates

Start your Digital Marketing Plan today with our free Basic membership.

  • FREE fast start guides to review your approach
  • FREE digital marketing plan templates
  • FREE alerts on the latest developments

Get FREE marketing planning templates

Start your Digital Marketing Plan today with our free Basic membership.

  • FREE fast start guides to review your approach
  • FREE digital marketing plan templates
  • FREE alerts on the latest developments
Feedback Form
Feedback Form