---
title: Google Ads Performance Analysis — Adavacare (2026-02-04)
type: article
created: '2026-02-04'
updated: '2026-04-05'
source_docs:
- raw/2026-02-04-weekly-call-w-gilbert-119717144.md
tags:
- google-ads
- adavacare
- cpc
- advertising
- competition
- analysis
layer: 2
client_source: Adava Care
industry_context: healthcare
transferable: false
---

# Google Ads Performance Analysis — Adavacare (2026-02-04)

Reviewed during [[wiki/meetings/2026-02-04-weekly-call-gilbert|Weekly Call w/ Gilbert — 2026-02-04]]. Analysis covers account performance trends since November 2025, root causes of CPC increase, and strategic direction.

## Overview

Adavacare's Google Ads account is experiencing a significant squeeze: impressions and clicks have collapsed while cost-per-click has more than doubled. The silver lining is that traffic quality has improved markedly — conversion rates have climbed from ~2% to 5–7% — but total conversions remain flat and the cost-per-conversion has not improved proportionally.

## Key Metrics (January 2026 vs. Prior Period)

| Metric | Prior (early 2025) | January 2026 | Trend |
|---|---|---|---|
| Impressions | ~24,000 | ~6,000 | ▼ 75% |
| Clicks | ~1,100 | ~400 | ▼ ~64% |
| CPC | ~$2.63 | ~$6.00 | ▲ 128% |
| Conversion Rate | ~2% | 5–7% | ▲ Strong |
| Conversions | ~23–24/mo | ~23–24/mo | → Flat |
| Cost per Conversion | Flat | Flat | → |

## Root Cause Analysis

### 1. Rising Industry Competition
The most significant driver of CPC increase is market-wide. Locale IQ's Healthcare Search Advertising Benchmarks Report documents a **32% YoY CPC increase** for Assisted Living, Elder, and Home Care Services. Adavacare's CPC increase (from ~$2.63 to ~$6.00) tracks above that benchmark, suggesting the Milwaukee market may be especially competitive.

Auction Insights confirmed a crowded landscape:
- Adavacare impression share: **21%**
- Top-of-page rate: **66%**
- Absolute top-of-page rate: **23%**
- Key competitors in auction: **A Place for Mom** (aggregator), **Caring.com**, **SeniorLivingNearMe.com** (aggregators), plus at least one direct local competitor worth investigating further

Aggregators are difficult to outbid directly; focus should remain on direct competitors.

### 2. Budget Tightening / Campaign Pauses
Two poor-performing campaigns (by location) were paused prior to this review. This accounts for the sharp drop in impressions seen in November. The pauses were intentional and correct — they eliminated low-quality traffic — but they reduced total volume.

The November impression cliff (from ~14K to ~6K) is largely explained by these pauses, not organic account degradation.

## Strategic Assessment

Pausing the underperforming campaigns was the right call. The surviving campaigns are running at **5–7% conversion rates** versus the ~2% baseline, meaning the remaining traffic is substantially higher quality.

The core strategic question is now: **can we scale the high-converting campaigns profitably?**

Given that:
- Adavacare has ~10 facilities with ~3 open beds each (~30 beds to fill)
- Average resident revenue is ~$5,000/month with a ~22-month average stay
- Each filled bed is worth ~$110,000 in lifetime revenue

There is significant headroom to increase spend on the well-performing campaigns before hitting diminishing returns on cost-per-conversion.

## Action Items

- [ ] **Gilbert** — Investigate Adavacare CPC increase via Auction Insights and competitor research (SpyFu, direct competitor website review); send findings to Sebastian
- [ ] **Mark** — Send Adavacare MCP/SpyFu competitive findings to Sebastian (account manager); ask him to discuss strategy with Gilbert

## Open Questions

- Which specific local competitor(s) in Auction Insights are worth deeper investigation?
- Can budget be reallocated from paused campaigns into the surviving high-converting campaigns to recover volume?
- Is Milwaukee CPC tracking above the 32% industry benchmark due to a specific new entrant?

## Related

- [[wiki/clients/current/adava-care/_index|Adavacare Client Overview]]
- [[wiki/clients/current/reynolds-transfer/2026-02-04-google-ads-performance-drop|Reynolds Transfer Google Ads Performance Drop (2026-02-04)]]
- [[wiki/meetings/2026-02-04-weekly-call-gilbert|Weekly Call w/ Gilbert — Inventory & Google Ads Review (2026-02-04)]]