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Once you’ve looked at your keywords, review your search term list for the same issues.

If you’re seeing search terms that are wildly unrelated to your keywords, tighten your match type. If you’re still getting irrelevant terms even with appropriate match types, add negative keywords for tighter control.

Remember, you’re sorting by spend, and making decisions about relevance. These are the terms that make you say “I shouldn’t be showing up for that, I don’t want to waste my budget on those terms.”

How to Optimize Your Paid Search Keyword List in 3 Steps

This is not a formula to automatically pause terms based on spend, clicks, or time. It is crucial that you do this part manually; don’t try to create a rule or script. You’re just removing high-spend terms that don’t relate to your offer.

Review Relevant Traffic That’s Not Driving Conversions

After you’ve removed irrelevant traffic, you’re left with a frustrating group of terms.

These are terms that cost you good money already. Terms that should have converted, or should be able to. But they didn’t. (Or they did, at a very high CPA.)

Do you cut your losses and turn them off? Let them keep running until they hit a threshold of spend, click volume or time?

Your next step is to take a deeper look into performance.

Some clicks don’t convert because of natural variance – there’s nothing wrong with the keyword or landing page, the visitor just said no.

This is common for high-ticket offers with low-traffic keywords in high-priced auctions. It may be momentarily painful, but your best bet is to let the relevant keywords continue to drive traffic.

Some clicks don’t convert because even though the keyword is high-quality, the landing page doesn’t do enough to encourage a conversion. In that case, it’s better to fix the landing page experience than to remove the keyword.

How to Optimize Your Paid Search Keyword List in 3 Steps

Some keywords are just chronic underperformers, or there’s no way to refine them to get rid of the junk traffic they bring with them.

You can reduce bids or pause these terms and focus more on the terms that are working well. You can also use other targeting methods to refine who sees your ads.

Keywords alone don’t always reveal intent (think of B2B vs B2C markets that share seed keywords), so audience targeting can come in handy:

How to Optimize Your Paid Search Keyword List in 3 Steps

Don’t Be Misled by Claims of ‘Wasted Spend’

So far, the optimization steps for “doing less of what doesn’t work” have been qualitative. There’s a reason for that.

None of your keywords will convert at 100% (if they do, you either don’t have enough traffic, your tracking is messed up, or your goals are meaningless).

That means even high-quality keywords and search terms will have some amount of clicks that don’t result in conversions (ie the dreaded “wasted spend!”)

Here’s where marketers can make big mistakes, because they’re careless or because they want to show that they can get quick wins.

How to Optimize Your Paid Search Keyword List in 3 Steps

Don’t be the marketer who tallies up the spend on all clicks with no conversions, then hits pause and claims you just saved your company $100K in future ad spend. (And don’t be the CMO who falls for that!)

We’ve already reviewed why you shouldn’t “optimize” when you don’t have enough data (such as on low volume terms), but it bears repeating. What’s more:

Irrelevant search terms are a symptom, not a cause. If you don’t fix your match types and targeting, you’ll get new but equally irrelevant queries tomorrow, with just as much wasted spend.
Quality keywords can’t drive conversions when the landing page is bad or tracking is broken. Pausing good keywords with poor performance can look like a short term win, but if bad UX persists, it’s a long term loss.
Step 3: Optimize Lower-Volume Keywords

You’ve now got the basic steps of optimizing your keyword list. We’ve been using Pareto’s 80/20 rule to focus on the keywords that have the biggest impact. Now it’s time to work your way through the account.

Keep Optimizing Your List

Follow the steps in the “Make Big Wins Bigger” section, just work your way down to lower volume terms. As you find new opportunities, see if new supporting assets will improve performance.
Use the “Make Big Losses Smaller” section, just work your way down to lower spend terms. Remember, look at your search terms and keywords (not just the numbers next to them, the actual words). Do your terms represent what someone looking for your offer would

type?
Unbench the Small Players

Some keywords won’t have enough traction to be a win or a loss.

What terms have little to no spend? What are their Avg Position and Impression Share?
Would increasing the bid help relevant keywords to gain traction?
Are there terms that never get clicks or conversions that should be paused to improve the account quality score?
Keep working through your keyword list so that every keyword deserves its place, triggers quality search terms and drives to a page likely to result in a conversion.

Go Forth & Optimize

Make a habit of optimizing by learning which elements are or aren’t working (and why).

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