In this article, we’ll unearth 2 hidden advantages of PPC ads for SaaS & tech companies that help in boosting their number of customers and earnings.
The number of active (and—often, but not always—paying) users of a software or app is crucial to the success and longevity of a SaaS or tech firm.
You’ve already spent months (or years) and thousands (or millions) of dollars creating software that delivers value. The only problem now that you’re ready to go to market (or you’re already in it) is that people aren’t coming.
They say if you build it, they will come, but unfortunately, this is not the case in real life. Especially in a cutthroat industry like software. Even if your team poured so much time and energy into building the most awesome mobile game or the most revolutionary cash flow management app, if you don’t have enough users, your business will be strapped for cash in no time.
Current Competition in the Software and Tech Market
Your SaaS and tech company needs to have enough users. Depending on your business model, you may generate your income strictly from subscriptions to your product or service, offer your product or service for free and make money solely on ads, or do a combination of both (which is typically the case for businesses that have a freemium business model).
Regardless of how you decide to make money from your software, you need active users—as many as possible for as long as possible.
Achieving this is no easy feat because there’s tons of competition. The software market was already valued at an astounding $145.5 billion back in 2021, and it’s not surprising that there would be many who are attracted to grab a piece of the pie.
In 2018, there were at least 35 million Microsoft apps for desktop, and in February 2020, there were almost 9 million mobile apps. Is there a way to make yours stick out?
The good news is yes, there are a handful of digital marketing strategies that you can use. One of the best ones for SaaS and tech companies is pay-per-click (PPC) advertising.
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How PPC Ads Can Help Your SaaS or Tech Company Stand Out
PPC ads are long known for being effective online advertising tools. They allow businesses to show their ads on any of several search, display, or social media PPC advertising platforms to increase their online visibility.
PPC ads can help your SaaS or tech firm target users whom you consider likely to become your user, direct them to your website (usually to a landing page you set up for a specific audience, or simply your homepage), and turn their website visits into actual sales by converting them into users of your SaaS product or service.
PPC ad campaigns involve displaying online ads on popular platforms (like Google, Bing, Facebook, LinkedIn, and more) to bring more people to your site. It goes without saying that the higher the number of people (target audience) who see your ads, the higher your chances of ultimately increasing your sales.
In a previous article, we discussed three compelling reasons why SaaS & tech companies need PPC ads. However, there are two other benefits of PPC ads that are less known and appreciated: high return on your investment and real-time access to your campaign performance.
You may set up your PPC ads on search, display, and social media advertising platforms.
#1 Hidden Advantage of PPC Ads for SaaS & Tech Companies: High Return on Your Investment
Maybe because it’s overshadowed by their effectiveness, many advertisers forget that one of the selling points of PPC ads is that they give a pretty good Return on Investment (ROI). More specifically, PPC advertising campaigns bring greater Return on Ad Spend (ROAS).
This is because advertisers like you need to pay only for the clicks that you get. It’s a type of performance marketing , wherein advertisers pay based on how their ad campaign performs. In short, you pay more if you get more results, and less if you don’t get the best results that you hoped for. Very few advertising models offer this incredible option—and it’s virtually nonexistent in traditional ads like TV commercials and billboards.
A study by HubSpot has shown that businesses that use PPC ads get a staggering ROAS of 200% (on average), which means that you can earn $2 for every $1 that you spend on PPC advertising. While that is already pretty good, Google reported that businesses can earn an average ROAS of $8 for every $1 that they spend on the Google Search Network!
#2 Hidden Advantage of PPC Ads for SaaS & Tech Companies: Real-Time, Actionable Reports
A second, often-overlooked value of using PPC ads for your SaaS or tech marketing is that they provide measurable results in real time. Every PPC advertising platform has its unique dashboard that reports important data on your PPC ad campaign’s performance. Although they have slight differences, the platforms typically share some common features when it comes to the type of data that they report. Some of these are the number of impressions and clicks you’re getting and the clickthrough rate (CTR) for your ads (on both mobile and desktop).
These dashboards also show you trends (in the form of graphs), total visits, total page views, cost-per-click (CPC), bounce rate, and many more. With all of that information, you can optimize your ads to further improve your conversion rate. For example, if you see that your bounce rate is pretty high—let’s say about 70 percent or more—you should consider examining your landing page or homepage or whatever page your ad is pointing to and find ways to improve it for higher user retention.
Maybe the enticing offer that you wrote on your ad is not fulfilled on that page, making users leave right away. Or maybe your page takes forever to load. Whatever the reason may be, PPC ads allow you to make the necessary changes to get better results for your advertising campaign.
PPC ads give you better returns on your investment and insights to make necessary changes to achieve optimal results.
Harness The Hidden Advantages of PPC Ads for Your Software Business
There are a lot of benefits to adding PPC ads to your marketing strategies, including high ROI and real-time reports that you can act on.
They are a potent way of getting your SaaS or tech firm seen by droves of people whom you consider your ideal customers. Even though PPC advertising campaigns can provide many advantages to your SaaS or tech firm, setting up PPC ads the right way and ensuring that they’re giving you the best ROI requires expert knowledge built on years of experience doing these campaigns.
Fortunately, our experienced PPC marketing agency, Zero Company, can help ensure that you’re getting as many of the benefits of PPC ads as possible. We take pride in having over two decades of experience in providing a wide range of high-caliber digital marketing services—including PPC marketing—to businesses of all sizes, including dozens of SaaS and tech companies.
Book a free consultation our experts in PPC advertising!
