Episode 250
The Google Ads Flywheel
Have you heard of the Google Ads Flywheel? It's a powerful framework that helps you understand where you are in the various stages of managing your Google Ads campaigns. By exploring this approach, you can gain deeper insights and make more informed decisions on how to scale your advertising…
Show notes
Have you heard of the Google Ads Flywheel? It's a powerful framework that helps you understand where you are in the various stages of managing your Google Ads campaigns. By exploring this approach, you can gain deeper insights and make more informed decisions on how to scale your advertising efforts effectively. Learn more about how the Google Ads Flywheel can take your campaigns to new heights.
Ideally, you're failing forward (to steal from John C. Maxwell). The good news is there's a process for that. We call it "The Google Ads Flywheel," and Kasim talks about it in this episode.
1. Assume
When you're starting out, you've gotta make some educated assumptions. The greener you are, the more guessing is involved. That's ok! Don't let yourself get stuck in analysis paralysis. Chances are, you're going to be wrong right out of the gate. This is where getting comfortable with failure starts.
2. Test
People set out to prove their assumptions are correct. That's a flawed model. Set out to break your assumptions into little pieces! Seek out the flaws, weak links, and fail points. Figure out what's really working and what isn't working at all.
💡Pro-Tip
Nearly 90% of all online ads fail (quoting Ryan Deiss's @ryandeiss's T&C keynote a few years back). So don't get discouraged by the failures, get invigorated by the lessons they teach you.
3. Observe
Most people don't give their testing nearly enough time. Especially now that we're moving into AI-driven optimization. Sometimes, you've just gotta sit and watch. The mastery lies in figuring out how long to do that before you begin making changes or pulling the plug. The more you do this, the more clear that becomes.
A note about the observation window: We like to optimize off of the statistician's model (the base 100 model). Simplified, this says 100 impressions will tell you what your click-through rate is. 100 clicks will tell you (roughly) what your time on site is, etc. Many campaigns aren't big enough to hit the magic 100 for data points that matter. For example, you might not have the ad spend to get to 100 leads. That's where you can project out from the data you do have.
4. Optimize
Stop what doesn't work. Focus on what does work and do more of that! Optimization is where a lot of marketers fly off the rails because they start making more assumptions. Now isn't the time for that. The optimization phase isn't about adding more. You're going to do more of what works and less of what doesn't. Resist the temptation to start making more assumptions.
Your opinion counts! Leave a comment and let us know what you think.
0:00 The Google Ads Flywheel
1:16 Assume
2:58 Test
4:20 Observe
7:28 Optimize
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Full transcript
[00:00:10] kasim: I love frameworks. I wanna share a framework with you that I call the Google Ads Flywheel. This is not mine, obviously. Well, the Flywheel's not mine. The Google ads flywheel's mine. But the idea behind this is just to give us a framework to know where you are in terms of stages as you're managing Google Ads and frameworks, by the way, are so important because what they allow you to do.
[00:00:30] kasim: Is give yourself permission to insert thing you need permission for here, for example the first phase of the Google Ads flywheel is to assume, well, instantly knowing that we're in that phase, and you know, let's say that we have standard operating procedures and documentation when it actually says at the top, and I like to do this with frameworks by the way.
[00:00:48] kasim: It would say stage assume. Now instead of needing to know, get to say, Hey, we're coming in with some assumptions. Make 'em good assumptions. You know, let's be educated, intelligent let's do our research, but we're going to assume or we're going to test or we're gonna observe. Hey, it's okay to wait.
[00:01:03] kasim: It's okay to change. Histories isn't going crazy. It's okay. We're not doing the thing. So anyway, that's why I like frameworks. I'll go piece by piece with you and we'll talk about the frameworks. The assumption piece, I think is maybe the most important. And you'll notice that I say here, the greener you are, the more guessing that's involved.
[00:01:16] kasim: And that doesn't mean the greener you are from an entrepreneurial perspective. That just means the greener you are. To whatever it is that you're trying to prove concept in right now today. So you could be 30 year tenured veteran both in business and in your industry and in your product, but you're about to roll out to a new audience or a new line, or a new ascension, or a new offer, a new whatever.
[00:01:36] kasim: Well, maybe that makes you green. Maybe that makes you super green to steal from. Chris Tucker in the fifth element, one of the best movies ever. And when you're in the assume phase, It's okay. Right? So again, that's why I like the frameworks. I like the frameworks 'cause it, and if you're an agency by the way, or a freelancer, this is when you go to somebody with an answer, with a framework, it makes all of.
[00:01:54] kasim: It makes everything that you explain feel real. Because if you're building a Google ad campaign and somebody goes, wait a minute, how do you know this is ad copy's gonna perform? Or, how do you know that we're supposed and you go, oh no, we're making some educated assumptions now. It's like, well wait a minute.
[00:02:07] kasim: Like you're just gonna guess. Whereas if you come to them with the framework and say, Hey, we're in the assume phase, and in the assume phase, no, it feels scientific, right? You're like, oh, this is so official. You have a graphic and everything. So, Assume. The other thing that I'd like to say is don't let yourself get stuck in analysis paralysis.
[00:02:20] kasim: Like, just go, ready, fire, aim. In so many instances, and I know that's, I know that's upsetting for so many of you to hear, but gosh, I gotta tell you, cultivating that skillset is one of the most important I think any entrepreneur can have, especially early stage entrepreneurs test. Second piece of the framework is test.
[00:02:37] kasim: Now here's what's really interesting about assumptions. We give birth to assumptions, the way we give birth to children in that we fall in love with them, we love them, and we will protect them and we will die for them. And so you're gonna make some assumptions. And then because you're a human being, you're going to set out to prove that your assumptions are right.
[00:02:56] kasim: And this is. Called cognitive dissonance and it's catastrophically flawed and it's what led to like the extinction of certain species and the dismantling of entire empires. Make your assumptions and then cultivate the discipline to think like an, actual scientist. And I, you know, it's not even a, I should stop using it as a compliment because I even think the scientists now are so partial.
[00:03:18] kasim: Don't set out to prove your assumptions. Set out to find the truth, seek the truth. And that's what's cool about the testing phase, is you actually say, Hey, we've moved outta the assumption phase, so we need to abandon, you know, abandon any attachment we have to any of these assumptions. We're testing our assumptions.
[00:03:31] kasim: Now let's test our assumptions. 90% of all online ads fail, quote from Ryan Dice. 90% of your assumptions are gonna be wrong. Move forward, move on. Step number three in the Google Ads flywheel observe. Nobody gives their ads enough time. You know, performance Max needs to be left loan for six weeks, unencumbered.
[00:03:45] kasim: And then an, an additional timeline equal to your the purchase cycle. So you take six weeks plus your sur purchase cycle and you're like, wait, I'm just supposed to watch these ads for a month and a half or two. And the answer is, yeah, Sometimes you just have to sit and watch. And that's weird too.
[00:03:58] kasim: When you're paying an agency, it's like, so wait, I'm gonna sit and pay you to watch. You are, you know, it's like a security guard. It's like, well, I don't wanna pay you until somebody breaks it. The observe phase is here to give you permission to stop. And, you know, I actually just got an email from a client today who recommended that I shoot a video on the feast or famine nature of e-com.
[00:04:15] kasim: Why we have like weird bursts of purchases and then Lowells and it's such brilliant, brilliant, brilliant topic. I asked him if he would do it with me. But the thing that he said in the email that I really thought was, brilliant that he identified was. Every time you move from feast to famine, you instantly go into reaction mode and it's like, oh, I need to fix this.
[00:04:32] kasim: I need to do something, change something, you know, create something, add something, take something away. And You're in the observation phase, you've allowed yourself permission not to do that, and you're protecting yourself from yourself. We're in observation. We need to wait and we've predefining the amount of time that we're gonna wait ahead of time.
[00:04:46] kasim: I do this with auctions. I just bought a car at auction and I wrote down, I got my little sticky pad here, and I wrote down on my sticky pad exactly how much I was willing to pay for that car before the auction started. And I did that because I knew that if I got like all hyped up emotionally, that either I was gonna go way over where I wanted to go or I was gonna get discouraged because the OC auctions, auctions were incremental.
[00:05:05] kasim: I was gonna get discouraged at how aggressive everybody else was being, and I was just gonna bow out. And so I wrote down my number and I got the car for $146 above my number. So I went a little bit over, but not too, too much. Do the same thing with time. Be like, I'm gonna watch this for six weeks.
[00:05:18] kasim: I'm going to spend. 10 grand. I'm going whatever it is ahead of time. Just know I'm spending this time and this money to test not to see a specific tangible result. The observation honestly, is one of the most important parts of the flywheel, obviously. Quick notes about the observation window.
[00:05:32] kasim: There's, there's a statistician's model. It's what's known as the statisticians model, which is the base 100 model. And it says that until you have a hundred of anything, you really don't have. A full sample size. So like a hundred clicks will tell you roughly speaking what your click-through, or excuse me, a hundred impressions will tell you what your click-through rate is, right.
[00:05:47] kasim: And a hundred clicks will tell you roughly speaking what your time on site is. Now, you might not have the budget or the time to get to a hundred. Insert whatever metric we're looking at here. And, so you can extrapolate from whatever it is that you're getting. 25 impressions, you multiply it by four, right?
[00:06:00] kasim: But just knowing the observation window, the statistician's model, gives you a sense as to how big your observation window should be. And then last of course is optimize. Now here's what's really funny is before I presented this flywheel, You might think like, oh, okay, optimize. Great. Thanks so much Kam.
[00:06:13] kasim: I really appreciate it. Well, no, this was the only thing on your flywheel. This was the only step on anybody's flywheel. People's flywheel before my flywheel is it's just four stages and it says optimize, optimize, optimize, optimize. And then when you, after you optimize, you optimize. Before you optimize until you're ready to optimize.
[00:06:28] kasim: Like that's all people do. So the flywheel, the framework, I know it seems massively. Simplistic. Well, it is. That's what frameworks are meant to be. They're meant to simplify the problem. Do I have more slides? I don't. You can sign up for our weekly newsletter, so.com/newsletter. I'm creating a ton of content.
[00:06:42] kasim: By the way, I'm on Instagram at CAA Muslim, I'm on Twitter at CAA Muslim. I'm on LinkedIn at KAA Muslim. The only place I'm not on is TikTok ticketed talk. cause it scares me, but I'm everywhere else. So like, comment, subscribe, follow chase, stock. Don't stock. Don't be weird. Don't be creepy. I'll see you tomorrow.
[00:06:56] kasim: Thanks for watching.
[00:06:56] kasim:
About Google Ads
The Google Ads Podcast is the tactical command center for people who live inside Google Ads. Brought to you by Solutions 8, one of the world's leading PPC agencies, each short, no-fluff episode turns real client spend into what's-working-now guidance — Performance Max, bidding, creative, tracking, and the AI shifts rewriting paid search — so you can turn ad spend into profit, three times a week.