Running Google Display Ads can be a cost-effective way to reach new customers and build brand awareness, but if you’ve noticed low CTR (click-through rate) or high CPC (cost per click) without meaningful conversions, you’re not alone.

Many businesses struggle to get their Google Display campaigns to perform, often burning budgets without seeing results. Let’s unpack why your Google Display Ads might not be performing and actionable steps to turn them around.

1️⃣ Targeting Too Broad or Too Narrow

Your targeting can make or break your display campaigns.

• Too Broad: Your ads reach users with no intent or interest, leading to low engagement and wasted impressions.
  
  

• Too Narrow: Your ads are shown to a tiny audience repeatedly, causing creative fatigue and frequency spikes.
  
  

Tip: Use in-market audiences, affinity audiences, and custom intent audiences to refine your targeting without over-restricting reach. Combine layered targeting with exclusions to filter out irrelevant traffic.

2️⃣ Poor Quality Creatives

Your creatives are your first impression. Low-quality, cluttered, or irrelevant visuals will be ignored.

Stat: According to Google, visually appealing ads can improve engagement by up to 50%.

How to improve:
✔ Use high-resolution images that align with your brand.
✔ Keep text minimal with a clear CTA (Shop Now, Learn More).
✔ A/B test multiple creatives to find what resonates.
✔ Adapt creatives to various sizes for responsive display campaigns.

3️⃣ Weak Landing Pages

Even if your ad performs well, a slow or cluttered landing page will kill conversions.

• Check your page load speed (aim for under 3 seconds).
  
  

• Ensure your landing page aligns with your ad messaging.
  
  

• Simplify forms and CTAs to reduce friction.
  
  

Real-life example: A SaaS company reduced its landing page load time from 5.8 to 2.9 seconds, resulting in a 32% increase in lead conversions while running Google Display Ads.

4️⃣ Not Using Responsive Display Ads

Responsive display ads automatically adjust size, appearance, and format to fit different ad spaces across the Google Display Network. They help maximise reach and improve performance.

Tip: Upload multiple images, headlines, and descriptions so Google’s machine learning can test combinations and optimise delivery for the best-performing assets.

5️⃣ Ignoring Audience Exclusions

You may be wasting the budget showing ads to people who have already converted or aren’t relevant.

What to do:

• Exclude past converters.
  
  

• Exclude irrelevant placements or apps where clicks don’t convert.
  
  

• Use placement reports to identify and block underperforming sites.
  
  

6️⃣ Low Bids and Budget Constraints

If your bids are too low or your daily budget is too tight, your ads may not enter competitive auctions, reducing reach and performance.

Actionable Tip: Review your bid strategy. Consider using Target CPA or Maximise Conversions to let Google optimise towards your goals while maintaining control over your CPA.

7️⃣ No Conversion Tracking

If you aren’t tracking conversions, you can’t optimise effectively.

• Set up Google Tag Manager or Google Ads conversion tracking.
  
  

• Track micro-conversions (add to cart, time on page) for a complete picture.
  
  

Use data to adjust targeting, creatives, and bids.


8️⃣ Not Optimising Keywords

While Google Display Ads are primarily visual, keyword targeting still plays a critical role in determining where your ads appear.

If you target irrelevant or overly broad keywords, your ads may show up on placements that don't align with your audience's intent, leading to low-quality traffic and poor engagement.

How to optimise:

• Research and use high-intent keywords relevant to your product or service.
  
  

• Use negative keywords to exclude irrelevant traffic.
  
  

• Regularly review your keyword performance to identify which keywords drive conversions.
  
  

• Consider creating custom intent audiences using keywords that your ideal customers are searching for.
  
  

Example: A fitness brand used broad keywords like “workout” and got placements on general content, leading to high CPC and low engagement. By refining to “best at-home workout equipment” and using custom intent, they reduced CPA by 25% and improved CTR by 18%.

Quick Checklist to Fix Underperforming Google Display Ads

✅ Refine targeting using in-market and custom intent audiences.
✅ Use high-quality creatives with clear CTAs.
✅ Optimise landing pages for speed and relevance.
✅ Leverage responsive display ads for flexibility.
✅ Implement audience exclusions to reduce waste.
✅ Review bid strategy to ensure competitive delivery.
✅ Track and analyse conversions consistently.

Final Thoughts: Small Tweaks, Big Impact

Google Display Ads are powerful, but without careful strategy and optimisation, they can drain your budget with little to show for it.

Focus on audience targeting, creative quality, landing page experience, and conversion tracking to diagnose and improve your campaign performance.

By making these adjustments, you can transform underperforming campaigns into profitable, scalable channels for brand awareness and conversions.