Understanding SaaS PPC Agencies: Key Insights for Marketing Managers

By Chris Lee on 09 August 2023 16:56:20 BST

If you’re a marketer looking to understand more about PPC for SaaS businesses, this post is for you. We’ll outline the role of PPC for SaaS, the tangible benefits your business can expect, and what a SaaS PPC campaign will look like.

We’ll also run through key considerations to keep in mind when choosing a SaaS PPC agency, to help you make the right choice.

Here’s what we’ll cover in this piece:

Introduction to SaaS PPC Agencies
A Detailed Explanation of PPC in SaaS
The Role of a PPC Agency in SaaS
How do PPC Agencies Charge
Best Practices for Choosing a SaaS PPC Agency
PPC for SaaS Case Studies

Specialist SaaS PPC agencies are those with direct, demonstrable experience in SaaS campaigns. While PPC fundamentals are consistent, there are industry-specific learnings that have an enormous impact on the outcomes of campaigns. Working with industry without relevant expertise can deliver results, but they’ll be limited in scope compared to what specialists can deliver.

A Detailed Explanation of PPC in SaaS

To better conceptualise what’s on offer when working with a specialist SaaS agency, let’s review some of the potential benefits.

1. Generation of Relevant, Quality Leads

In the SaaS industry, effective ads are those seen by users who are searching either for specific software solutions or for ways to achieve an outcome that your software could deliver. Deciding which keywords are relevant enough to be worthwhile bidding on is a complex process, but one that sits at the very heart of a successful campaign.

By identifying the right keywords, designing the right ads and landing pages, and monitoring campaign performance, SaaS PPC agencies are able to generate relevant, high-quality leads: those who are far more likely to convert to desirable commercial outcomes than you might attract otherwise.

2. Increased Visibility

As well as more relevant engagement, a well-managed PPC campaign can also increase the volume of users viewing your ads. This is made possible by increasing how prominently your ads are displayed in relevant places, whether they be SERPs, display networks, social media platforms, or some combination of the three.

3. Quicker Results

PPC is an attractive option for SaaS businesses looking to see quick, measurable returns on their investment. Whereas SEO and other digital marketing practices involve timely strategy creation and implementation before results start to come in, PPC campaigns can be launched almost immediately and will bring in results instantly.

4. Clear KPIs

PPC also offers very clear KPIs, allowing businesses to get quick visibility on campaign performance. By tracking metrics like ad views, cost per click, overall spend and so on, businesses and their PPC agencies can make ongoing and targeted refinements to their campaigns, keeping performance relative to KPIs at the front and centre of the discussion.

5. Scalability

One of the main draws of PPC is the ability to change campaign scaling based on factors like budget, performance, and evolving needs. If ads in a certain area are performing well, increased spend will equate to increased ROI. The inverse is true, too, meaning spend can be reduced in areas that aren’t performing as expected.

This ability to scale campaigns in real time gives a closer overview of spend and allows your business to make decisions when they are relevant, rather than realising in retrospect that a better course of action would have been preferable.

6. Precision Targeting

Google and other advertisers offer increasingly granular methods of targeting, meaning that you have a high level of control over who sees your ads. For SaaS businesses with high CPCs, the knowledge that ads are only being seen by relevant people removes some of the ambiguity from campaigns.

Ads can be targeted by demographic, interests, search habits, devices, previous interactions with your brand, and much more.

The Role of a PPC Agency in SaaS

Quite simply, a PPC agency is responsible for ensuring your campaigns are optimised at launch and on an ongoing basis. By drawing on our extensive bank of expertise in the industry, we can review and report on campaign performance, ensuring a clear route to KPIs being achieved.

Rather than setting up a campaign and leaving it ticking over, an effective SaaS PPC agency will maintain regular visibility, and make ongoing refinements as and when they become relevant. They’ll keep you informed of performance and refinements as well so that you’re clued up on how things are moving.

How do PPC Agencies Cost their Services

There are various pricing models for PPC campaigns, in the SaaS industry and beyond. Bear in mind that these charges do not include the actual ad spending itself, all of which your business will be expected to pay.

Percentage of Spend

Many PPC agencies use a percentage of spend model, meaning that an agreed percentage (usually 10-20%) of total campaign spend will be added to your invoice each month.

Because ads only incur costs if they’re clicked, this model incentivises the agency to configure ads and campaigns in a way that maximises engagement.

Fixed Management Fee

Other agencies may choose a fixed fee, where an agreed amount is billed for each period regardless of campaign spend. This can be easier for a business to budget for and may be preferable in certain situations.

Bear in mind that because payment is not linked as clearly to campaign performance, some businesses may be concerned that the incentive is not as strong.

Best Practices for Choosing a SaaS PPC Agency

If you’re ready to start working with a specialist SaaS PPC agency, there are a few things to keep in mind. The factors below will help you find a partner agency with the experience and skill set to deliver results.

1. Client Portfolio

The clearest way to determine whether a PPC agency has the ability to perform in the SaaS industry is to look at their case studies. Does their client base include SaaS companies? Are the results they’ve delivered for these businesses in line with what you’d expect to see?

Ideally, you’ll be able to read direct testimonials from contacts at those companies, too.

Always remember you can ask prospective agencies for more case studies and testimonials if you’d like to get a feel beyond what’s on their website.

2. Accreditations

There are certain accreditations an agency can have that demonstrate their ability to meet and exceed performance standards on advertising platforms. At DMS we’re proud to be accredited Google Partners: proof of our deep and long-standing experience with the Ads platform.

3. Other Services Offered

Digital marketing is a complex ecosystem of interlinking disciplines, and many agencies will have expertise in more than one of these areas. While PPC in itself is a very powerful tool, it can deliver even more benefits when used in lockstep with other areas like SEO, content marketing, social media marketing and so on.

When looking at an agency’s credentials, take time to review their other services (and their case studies and testimonials for these services!). Even if you’re only planning to commission their PPC services, it can be instructive to understand their ability to perform and deliver results in related areas.

4. Communication

A crucial part of an effective agency relationship is clear and timely communication. If you make an initial query and receive a brusque, delayed response, this can be an early indicator that perhaps communication will become an issue later on.

Keep an eye on the tone and frequency of communication, whether it be via email, in online meetings, or face-to-face. Going into an agency relationship, you should feel confident that you have a reliable channel of communication where your queries and issues will be properly addressed.

5. Pricing

PPC can be a sizeable investment for a business, and you’ll want to feel assured from the outset that you know what you’ll be expected to pay, when you’ll be expected to pay it, and what results you can expect to receive.

Make sure you’re clear on the pricing model used, payment schedules, expectations, and anything else before moving ahead.

In Conclusion

As an SaaS company, working with a specialist PPC agency can be a powerful way to bring in a higher amount of quality leads, and to convert more of these into profitable customers.

By tapping into an agency’s vast bank of experience, you gain access to insights and refinements that can improve campaign performance and ROI.

While choosing a SaaS PPC agency can be daunting, there are key things to look out for, which we’ve outlined above. Communication is a vital part of any effective agency relationship, so we invite you to get in touch with our team.

Still looking for more PPC insights for your Tech or SaaS company? We’ve got you covered. Find out more through one of the article below:

Or, why not check out our PPC Toolkit for SaaS & Technology Companies.