How It Works
There are numerous building blocks to how Google AdWords works; here are a few key ones to get you started on your journey to managing a successful and profitable online advertising campaign.
· Keywords
· Placements
· Ad Rank
· Bids
· Quality Score
How do
keywords trigger ads to appear on a SERP Search Engine Results Page.
Keywords
Keywords are a single word or group of words (phrases) that a user types into a search
box, better known as a search query. The latest is long tail keywords. Use keywords that are relevant to your business
and or services. For example, if you are in the hotel business you may use the “ocean
view rooms Victoria BC” or “pet friendly rooms Victoria BC” as two unique
keywords in your AdWords campaign. When a searcher using the phrase " pet friendly
rooms Victoria BC" or a similar term, your ad might appear next to or
above the organic search results.
Your ads can also be eligible to appear on other websites in the Google Network that are related to pet friendly
rooms Victoria BC.
Important Note:
Create your list of keywords that are relevant to your product or service. Make sure you choice specific keywords and not broad keywords, to increase the likely hood that your ad is showing to people who are interested in your product or services. Example, use the keyword “rooms in Victoria” rather than simply “hotel rooms”. The more specific your keywords are the better the ad position and the better chance a prospect will be interested in your ad. Carefully selecting the correct and relevant keywords improving your ad's performance and your advertising dollars will go further.
Placements: Advertising on non-search websites
Keywords can also trigger your ads to show on other sites across the Internet on Google-owned properties like YouTube, Gmail as well as Google's partner sites like NYTimes.com or Families.com. These are what are called placements, which are part of what are call theDisplay Network. Placements can automatically determine where your ads appear by matching your keywords to websites or, if you can choice to have greater control over where your ads appear by picking placements of your choice.
Ad Rank:
How does Google determines which ads appear and in which
positions
It is guaranteed that multiple advertisers will use the same or similar keywords to trigger their ads or will want their ads to appear on the same websites. Ad Rank is used to determine which ads will appear, and in what order.
Ad Rank is based on a combination of:
· Bid, which is how much you're willing to spend, (CPC) maximum cost per click you are willing to pay as well as your daily budget.
· Quality Score, a measurement of the quality of ads, keywords, and website, your ad must have your keywords in it and your website and or landing page must have information pertaining to your ad and keywords. *IN You don’t want your ad for “five star penthouse room in Victoria” landing on a page promoting “cheapest rooms in Victoria”.
· Ad Extensions will impact if your ads show and in what position, ad extensions link your ads to various pages on your website as well as phone numbers and locations.
Quality Score
Your bid and Quality Score can work differently across different campaigns styles. Here are a couple of examples to help illustrate.
With a keyword-targeted ad on Google search, your bid is based on your maximum cost-per-click (max. CPC) bid, the maximum amount you are willing to pay for each click on your ad. It is possible and likely that you will often pay a lot less for your clicks as you will only pay one cent more than the next highest bidder, this is called actual CPC cost per click.
Your Quality Score is based on
· Relevance Of Your keywords
· Quality Of your Landing Page
· Your Ads (CTR) Click Through Rate number of click s divided by impressions , 1 click per 100 impressions = 1.0% CRT
· A few other secrete factors - formulas
With a placement-targeted ad on the Display Network using Cost-per-thousand impressions (CPM) bidding, your Quality Score is simply based on the quality of your landing page.
What you pay
Each time an ad is eligible to appear for a search query, it goes through the ad auction. What you’re charged (your actual CPC) is often less than your maximum CPC bid because, with the AdWords auction, the most you will pay is the minimally required to hold your ad position and any ad formats shown with your ad, such as sitelinks.