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Google Ads Cost Per Acquisition (CPA) – how do you determine and find CPA in Google Ads? There isn’t a specific place to find CPA, but you can find your average target CPA metric in the performance table at the top of your ‘Campaigns’ page. Here’s more on that.
Okay. How to determine CPA (cost per acquisition) or where to find CPA? There is nowhere you can find CPA Alamgir. You will know ballpark figures of an industry, how much a lead cost for a dentist or a plumber or for solar panels or something, and any other niche. Or mortgages, insurance, car insurance, and health insurance. So you'll get a rough idea. They won't be absolutely accurate from even location to location, city to city, because some cities are more competitive where people are bidding more and there is more competition compared to a small town or a small area.
So you won't find this anywhere. But if you have run this in the past, from experience, you will know roughly how much lead should cost for a dentist and so on. How to determine the CPA you need to work out what is the value per order, or when somebody signs up, how much is the conversion rate from the lead to the sale. So that is out of your hand right now, because if you are giving leads to your client and they're not closing enough, then you will need to adjust the CPA. But then you cannot do much about it because they are not either closing, they're not answering or returning the calls or sending the proposals or whatever.
You need to either fire that client because they don’t close, or it could be that the service of the product is not good enough to close people they don’t like it. What they are being offered. So this is how you work out. So you speak with your client and you need to work out how much is the minimum ROAS they need to be profitable when every client is going to say we want as much as we can, but there is a limit to it. Right? The lead generation, 300%, 400% is a good return on a spend, whereas it might not be enough for some products in eCommerce stores because of lower profit margins. But having said that, it could be that clients come back to them and they have a higher customer lifetime value. So all these factors need to be taken into account, and then you determine what your CPA should be.
