Google ads is an advertising goldmine for all businesses who want to promote their product or services online. Be it a small business or a large corporation such as Amazon, Google ads can do wonders for any business in just a short time.
And that’s why a whopping 73% of the paid search market share belongs to the search engine giant.
While most consumers have shifted towards more ravishing platforms like Instagram and Facebook, Google still drives millions of traffic. In 2019 alone, Google's advertising revenue was $116 billion.
There aren't any budget rules for Google Ads; you can set and control your budget and easily measure your campaigns' impact. Google Ads, if done right, can skyrocket your number of potential leads and customers.
It's important to understand what goes on behind the scenes: How do Google ads work? And what are the criteria that can affect your ad campaign, sales, and conversion rates?
We will get to all of this one-by-one.
So, let's take a look and understand all about Google Ads and its benefits.
We all know that Google works under the pay-per-click model.
This means marketers bid on specific "keywords" and pay a little fee for each click they receive on their ads. This amount is paid as a cost per action. Google displays the advertisers' ads in the paid results when any user performs a search containing this specific keyword.
Each time an ad is qualified to appear on Google, it goes through an auction process first, where Google search decides which ad should appear for which search and on which rank (or whether or not any ad should be shown at all).
Billions of auctions are done every day, but understanding these auctions is the key to stay ahead in the game.
There are two types of Google auction process:
Every second, 3.5 billion searches are done on Google. A vast majority of these searches include Google Ads. On a search network auction, an auction happens every time a keyword is entered in Google, which means over a billion auctions are done every second.
For example, if you search 'Led TV,' you might see direct products for this specific search; that's called Google shopping. Other Google properties like Google maps can also appear whenever you search for any local businesses.
Simply put, the winners of this auction are the advertisers who have the ad space for that keyword search. This means you're constantly competing with the gazillions of businesses for that ad spot.
The display network mainly focuses on platforms like YouTube, Gmail, and other thousands of third-party sites on Google.
Have you ever noticed ads on the sidebar of a website you have browsed? That is known as display network ads.
When you navigate through your Gmail and see inbox ads, that also displays network ads. You can pay more dollars to rank higher than the next best ad position only for incremental clicks in this auction.
Now, the winners of these auctions are advertisers whose ads get displayed on more relevant sites and for more relevant keywords. If you want to see profit out of Google Ad campaigns, then using targeted keywords is crucial.
As per Google, quality score is a metric used to measure how successful a campaign is. It is based on ad relevance, targeted keywords, and landing page experience.
This also includes:
Quality rank is the rank given to an ad or campaign, and it is measured on a scale of 1-10 (10 being the highest). If your ad ranks on 10, that means you're performing well.
Let's understand why quality scores are essential? Well, a short answer will be — the higher your quality score, the lower your cost per conversion. Cost per conversion, also known as cost per action, is how much you pay when someone takes an action you want them to take, whether it's signing up for something, or watching a video, or making a purchase.
As per statistics, Google Ads are still seen by 90% of the people. But not every click results in a conversion, which means cost per conversion is generally higher. Fortunately, a strong quality score lowers your cost per conversion rate, which means higher ROI and more leads.
It's important to give a boost to your ratings by constantly improving, making little tweaks, and optimizing the quality score.
These factors are critical to nailing a high-quality score :
You can see that a major part of the quality score is correlated to your keyword's relevance. A well-organized ad campaign with a group of relevant keywords will naturally help you get in front of the right audience.
For example: To improve CTR (click-through-rate) of any campaign, focus more on the copy of the ad and ask yourself:
Although, there isn't any step-by-step plan for improving quality scores. But any disconnect between the ad texts, relevant keywords, ad groups, and landing page content can lead to a low-quality score.
So, continuously researching, identifying, and using best practices to maintain relevancy can improve your quality scores.
Stats show that paid ads still convert 50% better than free organic search.
As a marketer, the better you are at meeting the prospect's needs, the higher will be your ad conversions. The industry experts mainly focus on the competitiveness of keywords, the highest bids, and of course, the quality score for a successful campaign.
Google ad features keep on changing every year, which means now experts and marketers have to focus more on the details and specifics of Adword campaigns.
Automation is an effective strategy for any ad campaign. It has several benefits: saving time on manual campaign management reduces costs and functions 24*7 without any hassle.
Hence, you can focus on things that move the needle, like copy testing, keyword research, and more.
There are dozens of easy-to-use yet powerful automated tools that can handle all your ad campaigns and present you with insights on your CTRs, conversions, and more.
By embracing customer value, you can change the way you present your ad campaigns.
Yes, it's mostly about keywords and search intent, but it's also about your customer's needs, pain-points and questions.
More and more experts are going for a customer-centric approach. In short, balancing your message and copy that answers all the questions your audience needs will do wonders for your campaigns.
Instead of promoting your brand in a salesy way, promote your brand with a unique value proposition. Uncover the real value of your customers. When you start giving away free content or proposing a free trial for your new product, it shows that your brand is interested in a long-term customer value, not a quick win.
When this comes in the eyes of Google, it pushes your ad campaigns for good ranks for a successful campaign.
We know that keywords are a vital component of any Google Ad campaign.
Negative keywords are also the same piece of this puzzle. It acts like a filter tool for advertisers to ensure ads are not shown to users who use particular types of words or phrases.
For example, your store sells electronic products, and you bid for the keyword "Gadgets." Some of the searches will match your keyword, but then you see that your ad is shown for "New Xbox gadgets" or "PlayStation gadgets."
But, you don't sell these products, and showing your ads for irrelevant searches results in more negative ROI. So, to fix this issue, you add these two keywords to your negative keywords list.
As a result, Google will stop showing your ads for these two negative keywords and will save your money. The primary goal of using negative keywords is to present contextual ads to targeted groups of people and exclude keywords that convey a lack of intent.
Few additional benefits of using negative keywords are:
There's no doubt that Google Ads has massive reach, more conversion rates, and a budget-friendly marketing strategy.
So, focus on connecting consumers' needs and intent with your ad campaigns and see those clicks and impressions convert into multiple ROI for your business.
Once you master the art of advertising on Google, you’ll no longer need to look for any other marketing strategy. The best part? You don’t even need to master it, you just need to hire the right agency, and we at Lambourn Digital are always here to help.