A good campaign structure helps you take good decision, and reveal the true states of affairs.
A campaign which gives good ROI are actually those which have attained a structure where it is easy to figure out what converts and what doesn’t.
Stating the otherwise, a campaign which doesn’t tell you where the conversion comes from in terms of ideas and themes is not revealing the true states of affairs and are having poor structure.
To make the Statistics of your account actionable, you shouldn’t stop with the keyword level data. They are misleading enough, unless you can interpret them around themes and ideas. A single keyword level data doesn’t tell you enough. A data of similar keywords grouped together gives you insight into a group of audience, and that is what you may term as a real clue! And that is the reason why you should put them together in an adgroup.
Google Adwords Optimization works on the reduction principle. You start with a lot of ideas and reduce and refine them to the most beneficial ones for you. It is how you break them into adgroups that helps you accurately figure out which direction to choose and which ones to close forever. To get clear cut idea about what converts and what doesn’t You should create adgroups around themes.
There are definite advantages of creating adgroups around themes. First of all you achieve proper segmentation of traffic. A traffic with common interest and intent gets clubbed together. Second it helps you enhance the impact of message you want to give them. You can create ads dedicated to each stream of your audience and devise your plans accordingly. Above all, you are helping yourself know, what needs to be removed. This knowledge alone helps better ROI. Nothing else!
Every broad segment you create would contain a finer segment that you call junk. If you know where the junk lies in your campaign, you can remove them. Better Campaign structure in fact is one which properly segments them and helps you know where they are. The junk may be hiding beneath an idea, an adgroup, a keyword. The solution is suspect and Break, Break & Break, until you achieve a better converting campaign.
Segmentation is the key to enhancement of ROI. Optimization doesn’t create conversions for you, they only help you catch them. Segmentation helps you conserve your energy & propel it in the right direction, where otherwise you may feel wanting. Removal of bad part of the traffic also helps you bid higher on Better Traffic, by saving cost on inferior quality traffic. In this way proper structuring also helps you get high rank traffic, which gives more return following Zipf’s Law. Those who are ignoring this fact will soon face elimination at the hands of their competitor, who have better structured campaign and can outbid them economically, because survival of the fittest is the rule of the market.