You’re already running branded search ads for your own company. You want to grow your contractor business and keep the phone ringing, and that means you need to be top-of-mind when homeowners search for local contractors. What’s your next move?
When it comes to the home services industry, local competition can be fierce. Even if you’re the best in town, you’re always going to lose leads to the competition. You need a strategic way to get in front of your target audience, and that’s where competitor targeting can change your PPC game.
Sure, running PPC ads for your competitor’s name isn’t a common practice. And it can be a pretty hostile strategy. But like most paid search strategies, it’s more common in some industries than others.
Whether you’re considering an aggressive campaign against the competition (or if you’re just getting started with PPC), here’s how to decide whether competitor targeting is right for you.
Before we dive into targeting strategies, let’s start with a definition. Competitor targeting is any marketing tactic that identifies competitors and targets their audience. In other words, it’s about looking for ways to get in front of your competitors’ target audience.
When done right, competitor targeting can be a powerful top-of-the-funnel strategy. You already know you’re getting in front of prospects who will probably be interested in your services. If customers are already buying similar products and services from the competition, there’s a good chance they’ll buy from you, too.
When most marketers talk about competitor targeting, they’re talking about keyword targeting through Google Ads. For example, a roofing company in Cleveland named Cleveland Roofers might target the keywords best Cleveland roofer and Cleveland roofing companies. Then, their ads will show up when leads search for those phrases.
When using competitor targeting, Cleveland Roofers would also target keywords that include competitor names, like Cleveland Roofing Co. and Priority Roofing Cleveland. As a result, Cleveland Roofers’ ads will show up to audiences who search for specific roofing companies.
Of course, competitor targeting doesn’t end with targeting competitor brand names. Leads are already searching for the competition, so you need to jump in and change their minds. Once you get in front of your competitors’ audience, it’s time to show them why your brand is the best choice for the job.
Competitor targeting might sound simple, but it’s a tricky strategy. On the one hand, it’s an affordable way to get in front of homeowners who could be swayed to hire your business. On the other hand, it opens up doors to aggressive marketing and potential retaliation.
Trying to decide if competitor targeting is right for you? We’ve rounded up some top pros and cons to help you make the right decision.
If you’re running search ads in an oversaturated industry, you’ll probably have a long list of local competitors to target. As a result, it’ll be affordable to run ads targeting top competitor keywords.
You can even target their name exclusively to show up above their non-PPC listings. This way, when local homeowners search for your competitors on Google, they’ll see your ads before your competitors’ websites.
Competitor targeting might be an affordable strategy, but it’s also pretty aggressive.
If you’re new to the industry or trying to establish a good reputation, you’re probably not going to succeed by targeting other contractors. Worst-case scenario? Competitor targeting will have the opposite effect on your reputation, and you’ll go from hero to zero in your field.
Depending on how involved your local industry is, a bad reputation can have disastrous consequences, especially if you’re regularly seeing competitors at trade shows or conferences.
If you’re struggling to get in front of local homeowners, competitor targeting can be an effective strategy for brand awareness. After all, most people researching your competitors won’t know that your brand offers the same services.
When you take out ads in your competitors’ names, there’s a good chance homeowners will notice—and they might even click on your ad to learn more about your business. And if you can’t afford to wait for new leads, PPC can help you generate more website visitors than SEO.
Sooner or later, your competitors are going to pick up on your targeting strategy. And when they do, they’ll need to decide how to move forward. They can do nothing, contact you, or retaliate with their own targeting strategy.
Retaliation can come in different forms. But when you strike first, it’s safe to assume that the competition’s retaliation will be just as aggressive (or even more aggressive) than your initial strategy. They’ll probably allocate more money to their PPC campaigns, take out ads for more search terms, and try to disrupt your strategy wherever possible.
This can be a major problem, especially if you’re working with a limited advertising budget. If you’re targeting larger competitors and they decide to retaliate, they’ll have more resources to shut you down.
When it comes to Google Ads, your Quality Score matters. It measures how helpful your ads are to users. If you have a high Quality Score, people like what they see when they click on your ads. The higher the Quality Score, the less you’ll end up paying for higher rankings.
So, how does competitor targeting impact your Quality Score? When you serve ads targeting competitor keywords, you’ll increase the number of people who see your ad (“impressions”). As a result, more people will land on your website. And if you have an amazing ad campaign, you can divert tons of traffic from your competitors.
Your click-through rate (CTR) also impacts your Quality Score. In other words, the more clicks you get, the higher your Quality Score will rise. And when that happens, it’s even easier (and more affordable) to target competitor keywords.
Without the right strategy, competitor targeting can actually lower your Quality Score. When your Quality Score is low, it means people don’t like your ad or the ad’s landing page. As a result, you’ll end up paying more to keep your paid search strategy alive.
After all, you’re targeting a competitor’s brand name. So, if people click on your ad, they’re probably expecting to land on your competitor’s website. When they land on your website instead, they might leave right away (“bounce”). Between a poor CTR and high bounce rate, your Quality Score will plummet.
Maybe you’re struggling to reach local homeowners, but you don’t want to risk your reputation with competitor keyword targeting. The good news? When you go beyond the Search Network, there are tons of low-key ways to target your competitors without burning a hole in your budget. Here’s how to get started.
If you’re a Google Ads pro, you already know that custom intent and custom affinity audiences have merged into a single feature: custom audiences. Thanks to custom audiences, it’s easier than ever to serve Video and Discovery ads to users who search for competitor terms.
Here’s how to set up custom audiences with competitor keywords:
Custom audiences might not be as specific as targeting brand names, but they’re still an effective tool to reach interested homeowners. Then, once you’re in front of the right people, it’s time to sway their decision in your favor.
Your targeting options don’t end with keywords. When you’re building audiences, you can also enter URLs to build audiences off of competitor domains. Here’s how:
This strategy isn’t as precise as keyword targeting, but it’ll focus on specific behaviors if your competitors have similar websites. Competitor URL targeting can help you build awareness and introduce your brand to prospects who could be interested in your services.
Want to dip your toes into placement targeting? Serve ads to your competitors’ audience during their YouTube videos.
To set up placement ads, open your YouTube ad placement options and type your competitor’s name into the search bar. Then, you can target YouTube videos or an entire channel. This way, you’re serving ads to leads who are already highly interested in your products and services.
Competitor targeting might be controversial, but it’s possible to divert traffic from the competition without implementing a hostile strategy. Over the years, we’ve helped clients turn competitor targeting into a powerful top-of-the-funnel strategy to capture prospects’ attention during crucial decision-making stages.
Weighing the pros and cons of competitor targeting? Ready to kickstart your own paid search strategy? Give us a call today to dominate the competition with powerful PPC marketing.
