Showing: 1 - 2 of 2 Results
NEW Paid Search Advertising Benchmarks for 2021

NEW Paid Search Advertising Benchmarks for 2021

In today’s day and age, when we want to buy something, our knee-jerk reaction is to head to Google (or whatever search engine we use). Whether we know exactly what we want, are looking for nearby businesses, or want to do more in-depth research, 71% of buyer journeys begin with a search engine.In other words, consumers have the highest purchase intent when on search engines. This is why paid search ads are so highly effective—and yet so competitive. 

In order to compete, you need to have a clear picture of your performance in relation to others in your industry. To help you with this, WordStream and LOCALiQ have partnered up to provide you with the benchmark data you need! 

Below you will find the following metrics across the top 20 industries for Google and Bing search ads:

Average cost per click
Average click-through rate
Average cost per lead
Average conversion rate
Compare your averages to those in your industry and get a solid read on where you need to improve to stay competitive.

Average cost per click for search advertising

Business Category
Average Cost Per Click
Arts & Entertainment
$1.60
Animals & Pets
$2.89
Apparel / Fashion & Jewelry
$2.61
Attorneys & Legal Services
$8.67
Automotive — For Sale
$2.32
Automotive — Repair, Service & Parts
$3.19
Beauty & Personal Care
$3.74
Business Services
$4.90
Career & Employment
$3.90
Dentists & Dental Services
$6.49
Education & Instruction
$4.18
Finance & Insurance
$5.16
Furniture
$2.14
Health & Fitness
$3.97
Home & Home Improvement
$5.75
Industrial & Commercial
$4.14
Personal Services
$3.46
Physicians & Surgeons
$3.63
Real Estate
$1.40
Restaurants & Food
$1.77
Shopping, Collectibles & Gifts
$2.23
Sports & Recreation
$1.73
Travel
$1.40

Cost per click varies according to the level of competition for a keyword, audience, location, and more, and your bidding strategy can impact this metric.

We found the average cost per click for search ads across all industries to be $3.53, ranging from $1.40 to $8.67.
Industries with the lowest CPC include travel ($1.40), animals and pets ($1.60), and sports and recreation ($1.73).
Industries with the highest average CPC include attorneys and legal services ($8.67), dentists and dental services ($6.49), and home and home improvement ($5.75).
These findings are consistent with our past benchmarks reports, with the legal industry having the highest cost per click and sports and fitness being among the industries with the lowest.

Average click-through rate for search advertising

Business Category
Average Click-Through Rate
Arts & Entertainment
10.67%
Animals & Pets
6.45%
Apparel / Fashion & Jewelry
6.19%
Attorneys & Legal Services
3.84%
Automotive — For Sale
7.93%
Automotive — Repair, Service & Parts
5.39%
Beauty & Personal Care
5.44%
Business Services
4.72%
Career & Employment
5.33%
Dentists & Dental Services
4.69%
Education & Instruction
5.46%
Finance & Insurance
5.07%
Furniture
5.73%
Health & Fitness
5.94%
Home & Home Improvement
4.21%
Industrial & Commercial
5.34%
Personal Services
6.12%
Physicians & Surgeons
6.11%
Real Estate
7.75%
Restaurants & Food
7.19%
Shopping, Collectibles & Gifts
6.33%
Sports & Recreation
7.73%
Travel
8.54%

Click-through rate factors into your Quality Score and guides you in identifying the right targeting, ad copy, and offers for your ads. The metric can be misleading by itself, so be sure to analyze it with respect to other metrics (like conversion rate).

We found the average click-through rate across all industries to be 6.18%, ranging from 3.84% to 10.67%.
Industries with the highest average click-through rates include arts and entertainment (10.67%), travel (8.54%), and real estate (7.75%)—with sports and recreation just behind that (7.73%).
Industries with the lowest average click-through rates include attorneys and legal services (3.84%), home and home improvement (4.21%), and dentists and dental services (4.69%).
In our previous benchmarks reports, we have consistently found the highest click-through rates in the travel and arts industries, and the lowest with legal, health, and home industries. 

On the other hand, sports and fitness have historically had lower click-through rates than what we’re seeing here, and the personals vertical has shown significantly higher click-through rates than these numbers.

Average cost per lead for search advertising

Business Category
Average Cost Per Lead
Arts & Entertainment
$36.23
Animals & Pets
$14.88
Apparel / Fashion & Jewelry
$46.06
Attorneys & Legal Services
$73.70
Automotive — For Sale
$42.95
Automotive — Repair, Service & Parts
$17.81
Beauty & Personal Care
$51.42
Business Services
$62.18
Career & Employment
$53.52
Dentists & Dental Services
$42.95
Education & Instruction
$50.91
Finance & Insurance
$62.80
Furniture
$64.72
Health & Fitness
$41.68
Home & Home Improvement
$47.94
Industrial & Commercial
$43.82
Personal Services
$27.94
Physicians & Surgeons
$26.05
Real Estate
$38.86
Restaurants & Food
$20.49
Shopping, Collectibles & Gifts
$20.91
Sports & Recreation
$27.11
Travel
$37.34

Cost per lead, also known as cost per action, cost per conversion, or cost per acquisition, tells you how much you spent in order to get someone to complete a desired action—whether to fill out a form, call you, or make a purchase. 

We found the average cost per lead across all industries to be $41.40, ranging from $14.88 to $73.70.
Industries with the highest cost per lead include attorneys and legal services ($73.70), furniture ($64.72), and finance and insurance ($62.80).
Industries with the lowest cost per lead are animals and pets ($14.88), automotive repair, service, and parts ($17.81), and restaurants ($20.49). 
This overall average is lower than what we’ve seen in the past, which is good news for advertisers. The automotive vertical has consistently been in the lowest bracket in our past findings.

Average conversion rate for search advertising

Business Category
Average Conversion Rate
Arts & Entertainment
5.90%
Animals & Pets
19.19%
Apparel / Fashion & Jewelry
3.60%
Attorneys & Legal Services
11.54%
Automotive — For Sale
6.57%
Automotive — Repair, Service & Parts
15.23%
Beauty & Personal Care
7.72%
Business Services
6.77%
Career & Employment
5.31%
Dentists & Dental Services
13.81%
Education & Instruction
6.16%
Finance & Insurance
5.51%
Furniture
3.25%
Health & Fitness
10.39%
Home & Home Improvement
13.23%
Industrial & Commercial
9.37%
Personal Services
10.52%
Physicians & Surgeons
19.15%
Real Estate
3.93%
Restaurants & Food
6.89%
Shopping, Collectibles & Gifts
6.70%
Sports & Recreation
6.19%
Travel
6.01%

While cost per lead measures how much you spent to get someone who clicked on your ad to contact you in some way, conversion rate tells you just how many people who clicked on your ad actually converted.

We found the average conversion rate average across all industries to be 8.82%, ranging from 3.25% to 19.19%.
Industries with the highest conversion rates include animals and pets (19.19%), physicians and surgeons (19.15%), and automotive repair, service, and parts (15.23%).
Industries with the lowest conversion rates were furniture (3.25%), apparel/fashion and jewelry (3.6%), and real estate (3.93%).
Our past data also finds the highest conversion rates in the legal and automotive verticals and the lowest in real estate and apparel. On the other hand, the personals conversion rate has historically been higher than what we’re seeing here.

Want more advertising benchmarks?

You can get the full report on these search advertising benchmarks, plus expert insights and tips to improve your results, in LOCALiQ’s full search ad benchmarks report. You may also be interested in these vertical-specific advertising benchmarks:

Data source

This report is based on a sample of 18,316 North American-based LOCALiQ client campaigns in the outlined business categories that were running search advertising across all search engines between May 1, 2020, and June 25, 2021. Each business category includes a minimum of 69 unique active client campaigns. “Averages” are technically median figures to account for outliers. All currency values are posted in USD.

5 Top Charts to Start Earnings Season

This story originally appeared on Zacks

[embedded content]Earnings season officially starts this week with the big banks leading off the charge.

– Zacks

We’ll hear from all four of the largest American banks including JPMorgan Chase, Bank of America, Citigroup and Wells Fargo.But there’s plenty more to keep an eye on outside of the financials as there’s a diverse group of large cap companies also reporting this week.These 5 companies have the top charts of the week. One hasn’t missed in 5 years, not even during the pandemic, and another one is up 105% in 2021.Can those who “won” in 2020 keep winning in 2021 and beyond?5 Top Charts to Start Earnings Season 1.    JPMorgan Chase & Co. JPM has beat 5 quarters in a row. Considered one of the “top” banks in the country, investors have pushed the shares up 31% year-to-date. They’re at new all-time highs. It’s trading with a forward P/E of 12. Is this just the start of its next big rally?2.    UnitedHealth Group UNH hasn’t missed in 5 years. Impressive. It’s so consistent. Shares are up 15.5% this year and are trading around its all-time highs. What will be the catalyst for the next break out?3.    Domino’s Pizza, Inc. DPZ has beat 2 quarters in a row and has come through the pandemic as a “winner.” Shares are up another 25% year-to-date. But will labor and commodity costs as well as the delta variant COVID outbreak bite in the third quarter?4.    Taiwan Semiconductor Manufacturing Co. TSM has beat 3 quarters in a row but shares have been treading water throughout 2021. Shares are up just 1.1% year-to-date after a 2-year rally of 123%. Manufacturing issues have hit the semiconductor industry in 2021. Will they come out of it in 2022?5.    Alcoa Corp. AA has beat 6 quarters in a row. It’s been a surprise winner in 2021, with shares soaring 105% after a big 2020 coronavirus rally. Yet it has a forward P/E of just 7.2 as earnings are expected to be up 650% this year. Is there more gas left in the tank?
Time to Invest in Legal Marijuana
If you’re looking for big gains, there couldn’t be a better time to get in on a young industry primed to skyrocket from $17.7 billion back in 2019 to an expected $73.6 billion by 2027.
After a clean sweep of 6 election referendums in 5 states, pot is now legal in 36 states plus D.C. Federal legalization is expected soon and that could be a still greater bonanza for investors. Even before the latest wave of legalization, Zacks Investment Research has recommended pot stocks that have shot up as high as +285.9%.
You’re invited to check out Zacks’ Marijuana Moneymakers: An Investor’s Guide. It features a timely Watch List of pot stocks and ETFs with exceptional growth potential.Today, Download Marijuana Moneymakers FREE > >Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report JPMorgan Chase & Co. (JPM): Free Stock Analysis Report UnitedHealth Group Incorporated (UNH): Free Stock Analysis Report Alcoa (AA): Free Stock Analysis Report Domino’s Pizza Inc (DPZ): Free Stock Analysis Report Taiwan Semiconductor Manufacturing Company Ltd. (TSM): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research