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KPI (key performance indicator)

The number an account is judged on, such as cost per lead or ROAS. One account should have one main KPI, matching what the business sells.

By the Optizads team

On this page
  1. Why it matters
  2. Where to find it in Google Ads
  3. An example
  4. Common mistakes
  5. Checks that look at it
  6. Related terms

Why it matters

A KPI turns the account into a yes or no: is the advertising doing its job? Choosing the wrong one, such as clicks for a lead business, makes the account look good while the business does not grow.

The right KPI depends on the business: cost per lead or call for services, ROAS or profit for shops, cost per new customer for subscriptions.

Where to find it in Google Ads

  1. Choose the KPI before reading reports, not after.
  2. Add the matching columns: Cost / conv., Conv. value / cost, or your own calculated metrics.
  3. Split brand and non-brand before judging.
  4. Use custom columns to show the KPI directly in Google Ads.

An example

A cleaning company judges its account on cost per booked job, not on clicks or leads. It imports bookings from its CRM, so the KPI sits in Google Ads and bidding can aim at it.

Common mistakes

  • Reporting many numbers and deciding on none.
  • Blending calls, forms and sales into one cost per conversion.
  • Judging a KPI on too little data.

Checks that look at it

Questions, answered.

Anything else? Ask Oppy in the product, or write to the team.

What is the most important KPI in Google Ads?

The one closest to profit for your business: usually cost per acquisition for leads, or ROAS and profit for ecommerce.

Is click-through rate a good KPI?

Not on its own. It is a useful diagnostic for ads, but it does not say whether the advertising pays.

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