How Does Google AdWords Work?

Google AdWords is the largest online advertising platform in the world and allows users to pay-per-click to advertise on the Google search engine. When you type anything into Google, the search engine dissects your request into keywords and shows you results based on the terms that you have searched for. Because people rarely scroll past the first few results on Google, this means that the top three spots are particularly valuable; thus Google reserves them for its advertisers who bid to appear under results for specific keywords. 

How does Google Ad ranking work?

The Google AdWords ranking system works in a very similar way to an auction, whereby participants ‘bid’ on the keyword that they want to rank for. But contrary to popular belief, it is not just the amount you bid that controls where you ultimately end up ranking. 

Two key factors determine your actual ad position;

  1. How much you bid
  2. Your quality score

Your maximum bid amount is very simple and is essentially how much you are willing to pay Google every time someone clicks on your advertisement. Your quality score, on the other hand, is a little more complicated. The quality score that Google gives you will depend on several factors, including the relevance of your landing page, how user-friendly your site is and how likely Google thinks it is that someone will click on you. 

How much does Google AdWords cost?

Google AdWords is a pay-per-click platform, which means that your ads will be displayed for free, and you are only charged when someone clicks on them. How much you will need to pay whenever someone clicks on your ad depends on how much competition there is for your keyword and your maximum bid amount. Some businesses have great success by targeting multiple low-competition keywords, whereas others choose to focus their budget on one or two high competitive keywords. What works for each business ultimately depends on their budget, their audience and their AdWords goals. 

To help you control your spending, just in case there’s a sudden surge in searches for your particular keyword, then you can always set up a daily budget.

Do Google ads work?

Google AdWords didn’t grow to become the single largest advertising platform in the world by chance – it grew because it worked! 

AdWords can be used by any business, of any type, with virtually any audience and when used correctly, can target qualified leads and bring a fantastic return on investment. The key to making Google AdWords work for you is to understand your target audience, the terms they search for and to really know precisely how paid search works. 

It really cannot be emphasised enough that when it comes to Google Adwords, you will get out what you put in terms of customer and keyword research and so it is worth taking the time to put in the necessary groundwork before you kick off your first campaign. 

Do you need help with Google AdWords? 

Once you get your head around it, Google AdWords is very simple, but that doesn’t mean that there’s not a lot of skill involved if you want to maximise your budget and to compete for highly competitive keywords. If you don’t have the time to set up your Google AdWords campaigns, or would like to improve your ROI, then talk to me about having my team and I manage your account on your behalf.