Google AdWords

What is Google AdWords?

What is AdWords? Google AdWords is Google’s advertising system in which advertisers bid on certain keywords in order for their clickable ads to appear in Google’s search results. Since advertisers have to pay for these clicks, this is how Google makes money from search.

How to Use Google AdWords: Infographic

The below graphic outlines a proven roadmap to AdWords success in elevent steps. If you’re new to AdWords, follow these tips!

How to Use Google AdWords: Account Setup

Before you can start advertising on Google AdWords, you’ll need to set up an AdWords account. Setting up a new AdWords account is easy, and takes just a few minutes.

You have the option of creating your account using an existing Google account, or you can create a new account specifically for use with Google AdWords. Then, you’ll specify some basics for your account, such as your location and time zone. Finally, you’ll set up billing details, so Google can accurately bill you every month.

How to Use Google AdWords: Account Structure

Once you’ve set up your AdWords account with Google, it’s time to think about how to structure the AdWords account itself. A logical account structure can have a dramatic impact on several crucial PPC metrics, such as Quality Score. Ensuring your AdWords account is structured properly has many benefits, including:

• More relevant traffic and clicks
• Higher Quality Scores (and thus, lower cost-per-clicks)
• Making your account easier to optimize and maintain

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If you’re only planning to run a single campaign, your AdWords account structure will likely be quite simple. However, if you intend to run multiple campaigns simultaneously, or plan to do so in the future, it pays to consider optimal account structure from the outset.

The ideal AdWords account is structured into individual campaigns, each of which will have its own ad groups. In turn, each ad group will have its own keywords, unique ad text, and landing pages. The figure below illustrates how an account should be set up for optimal performance:

There are several ways you can structure an AdWords account, depending on your needs. For example, you can structure your AdWords account based on the structure of your website, by the types of products or services you’re advertising, or by geographic location, if your business operates in several individual markets.

How to Use Google AdWords: Understanding Keywords

Now that you’ve set up and structured your AdWords account, it’s time to examine the fundamental building blocks of what makes AdWords work – keywords.

As their name implies, keywords are key words or phrases that users enter into Google when performing a search to find the information they need. AdWords works by allowing advertisers to bid on keywords that are relevant to their business so that their ads are shown to users when these keywords are entered. Advertisers bid on keywords, rather than “buying” them outright, because AdWords functions in the same way as an auction to ensure that not only advertisers with the largest budgets can succeed with PPC.

For more on the AdWords ad auction and how the AdWords system works, check out this infographic.

Keyword Research

Before you can bid on keywords, you need to know which keywords are worth bidding on. This is determined during the keyword research phase.

There are many different ways to conduct PPC keyword research when launching a new AdWords campaign, and WordStream’s Free Keyword Tool is an excellent starting point.

Simply enter a search term to begin, and WordStream’s Free Keyword Tool will generate a comprehensive list of keywords related to the original. You will also see data for the relative frequency of the related keywords, the search volume (using data from both Google and WordStream), as well as the keyword’s competitiveness.

Evaluate the Strength of Your Google AdWords Account

Taking the time to regularly adjust and optimize your account is one of the most important things you can do as a paid search advertiser. However, even if you’re doing everything right, it can be difficult to know just how well your campaigns are performing.

How much does Google AdWords cost?

Many factors can affect the costs of AdWords advertising for your business.

How does AdWords bidding work?

The actual position of your ad is determined by your ad rank (Maximum Bid times Quality Score). The highest ad rank gets the 1st ad position. Your actual CPC will be determined by the ad rank of the next highest ad below you divided by your Quality Score. The only exception of this rule is when you are the only bidder or the lowest bid in the AdWords auction; then you pay your maximum bid per click! AdWords bidding heavily penalizes advertisers who bid with low quality scores. Conversely, those with high Quality Scores get higher ad ranks and lower CPC.

What gets entered into a Google auction?

Once advertisers identity keywords they want to bid on, Google then enters the keyword from your account that it deems most relevant into the auction with the maximum bid you’ve specified as well as the associated ad.

What is CPC?

CPC, or cost per click, is the amount an advertiser pays each time someone clicks on their AdWords ad.

How does CPC work?

Your CPC is determined by the competitiveness of your keywords, your maximum bids, and your Quality Scores.

What is the average cost per click on AdWords?

The average cost per click on AdWords varies by keyword and industry, but is roughly $2.32 on the search network and $0.58 on the display network.

What is Google ad rank?

Google ad rank is the position of the company’s advertisement on the search engine page based on a combination of the company’s maximum bid and quality score.

Hopefully this article will help you alot to understand Google Ad.