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Home > Blog > Digital Marketing > PPC >

Everything You Should Know About Google Ads

Advertising with Google Ads is an effective way to reach new customers. PPC advertising remains the #1 tactic for marketers, regardless of their budget. This is thanks to its cost-effectiveness and targeted approach.

Google Ads

The following are the most important statistics about Google Ads. They will help you decide whether Google Ads is a smart investment for your business in 2022:

  • PPC campaigns with Google Ads are trusted by more than 80% of global businesses.
  • Google Ads’ average CTR for ads in the first position is 7.94%.
  • There is a four-fold increase in the likelihood of people clicking ads on Google (63%) compared to any other advertisement network.
  • A daily Google Ads campaign budget of $50 is recommended by Google.

Before you start, you should understand how to utilize Google Ads effectively. That will help you to maximize your return on investment and avoid costly mistakes.

ppc-signal-optimization-tool

Now let’s get started.

What is Google Ads?

Google Ads is an online advertising service offered by Google that allows businesses to place ads on:

  • Google.com
  • YouTube
  • Gmail
  • And its partner websites

Google Ads is a paid online advertising platform offered by Google. The search engine company rebranded the service from Google AdWords to Google Ads in 2018.

In essence, it works the same way.

Users search keywords, and a search engine results page (SERP) shows them the results.

So here is more about Google Ads.

Google Ads enables businesses to reach a large audience with targeted advertising. It also offers a number of features to help businesses track their results and optimize their campaigns.

The platform allows businesses to create advertisement campaigns that target specific audiences based on factors such as:

  • Location
  • Age
  • Gender
  • Interests
  • And more

Google Ads offers a variety of ad formats, including text ads, image ads, video ads, and more. Businesses can choose to have their ads appear on:

  • Google search results pages
  • On websites that partner with Google
  • Or on mobile apps

Additionally, businesses can track ad campaign performance with Google Ads and adjust their strategies in response. The result is that Google Ads helps businesses reach and grow their target audiences.

Why Should You Use Google Ads: SEO vs. Google Ads?

SEO and Ads have distinct but complementary roles. In SEO management, it is important to make your site more appealing to customers. It also requires you to create content that engages them and addresses their needs.

It involves the material you write or the videos and infographics you create. Additionally, it involves maintaining a user-friendly, easy-to-navigate layout and design. This enables users to move logically through your site.

On the other hand, Google Ads is a form of online display advertising. You pay each time a person clicks on an ad you create. Your ad is displayed to users who type in particular keywords on search engines.

This allows you to reach users interested in particular topics. You can gain visibility with Google Ads. This is especially important before your reputation and SEO rankings enable you to generate organic results.

The general benefits of SEO to businesses are numerous. But Google Ads have its own importance and more advantages, which is why you should use them. Here is why Google Ads beats SEO hands down.

Fast results

Although SEO is important to any business, getting your content ranked takes time. In contrast, PPC ads appear immediately after your campaign launches.

Data and insights

You can use the data you collect in your campaigns to optimize your budget and gain valuable customer insight.

Full funnel-friendly

Google Ads offers Search, Display, Shopping, and YouTube ads and targeting options. In this way, you can use Google Ads at every stage of your funnel.

High ROI

A Google Ads campaign makes an average of $2 for every $1 spent. This makes PPC one of the highest ROI channels for advertisers and marketers.

SEO vs. Google Ads: Which is better?

The combination of SEO and Google Ads can be very effective when used correctly. Paid ads can be strategically used to increase visibility for key terms. This is possible when a brand tracks its organic traffic and rankings accurately.

In this manner, they will drive paid traffic where they lack organic ranking to get on page 1. Additionally, Google Ads can be used to test the response of consumers to specific keywords.

Your brand can, for example, create ads for keywords it is considering optimizing for. As a result, you can track the customer’s reaction to the landing page and the rest of the website after clicking on the ad. Keywords that generate more conversions and more engagement will take precedence over those that do not yield as much success.

There are pros and cons to both SEO and Google Ads; let’s weigh them both before making a decision.

Pros and Cons of SEO

Pros:

  • Long-term return on investment (ROI).
  • Captures organic search traffic – you can track your progress over time.
  • You have full control of the content on your site, meaning you can edit it as needed without waiting for approval from Google or anyone else.
  • SEO can be effective for long-term growth and has a lower cost than paid advertising.
  • You can rank on Google.
  • There are no monthly costs.
  • You control the content, which means you can target specific keywords and phrases.
  • You own your domain name, so it is not dependent on the whims of Google.
  • Your website has a higher chance of appearing in organic search results than paid ads do.
  • Highly effective over time.
  • Cost-effective.
  • Easy to set up.

Cons:

  • It can be difficult to track your progress.
  • SEO takes time (sometimes months), whereas paid advertising is much faster.
  • You need to continually update and improve your content, which means you have less time for other aspects of running a business.
  • The process is typically more complicated than that of paid advertising.
  • You have to build backlinks in order to rank. This means you need a strategy.
  • If your site gets penalized by Google, it can take months or years to recover.
  • While there are no monthly costs associated with SEO, it can be expensive if you pay for professional services.

Pros and Cons of Google Ads

Pros

  • Google Ads are very effective in targeting a specific audience for your product or service.
  • Allows you to control your budget, so you can spend as much or as little as you want.
  • They provide detailed analytics and reporting, so you can track the effectiveness of your campaign and make necessary adjustments.
  • Google Ads is easy to use, making it a great option for those who are new to online marketing.
  • It is a great way to reach a large audience quickly and easily.
  • It is a very cost-effective way to reach new customers.

Cons

  • Google Ads can be expensive if you are not careful. If your campaign is poorly set up, it could end up costing you more than it brings in.
  • While Google Ads is very easy to use, it can be difficult for those who don’t have a lot of experience with online marketing.
  • Each click to your website costs you money.
  • Competitive industries have a higher cost per click.
  • Adverts have limitations.
  • Be careful with keyword targeting.
  • You need to invest your time.
  • Your landing pages need to be top-notch.
  • You need to know your customer life cycle.

How to Use Google Ads?

Google Ads is easy to set up and use. Here is how to use it:

Establish your foundation

To begin with, be sure you understand who your audience is and what your goals are.

Goals

Goals are what you want to accomplish with your ad campaign. Goals can include things like:

  • Increasing sales
  • Getting people to sign up for a newsletter
  • Blog subscription
  • Driving traffic back to your website

Audience

The audience is the key to Google Ads. It’s important to know your audience and what they want, so you can create ads that are relevant to them.

Plan ahead when planning your campaign. It is important to think about where you want your ads to show up and what keywords you want them triggered by.

Google has a variety of ways to target your audience, including

  • Demographics
  • Geography
  • Gender
  • Age
  • Relationship status
  • Interests
  • Behaviors

Set up your Google Ads account

It takes only a few minutes to set up a Google Ads account. You can use an existing Google account or create a new account specifically for Google Ads. Then, you will specify your time zone and location for your accounts. You’ll then set up your billing details so that Google can accurately charge you each month.

Identify your keywords

The Google Ads program allows advertisers to bid on keywords relevant to their business. This way they will appear in relevant search results. Keyword research for PPC can be done in a variety of ways. You can conduct keyword research using tools such as PPCexpo Keyword Planner.

ppc-signal-optimization-tool

Create your campaign

After you’ve created your account and researched keywords, it’s time to create your campaign. The following steps will guide you through creating your Google Ads campaign:

  • Choose your campaign type
  • Set your ad schedule
  • Choose your location and language
  • Set your budget
  • Choose your bidding strategy
  • Add your keywords

Create your ad

You have limited space to craft a compelling and persuasive message in Google Ads. This makes it a particularly challenging task. Good ads should have the following features:

  • An excellent Google Ads headline
  • Should convey value
  • Consists of the keywords you’re targeting
  • Uses the language your customers use
  • Elicits emotions
  • Has a call to action

Report on performance

As with any marketing strategy, Google Ads can’t be set and forgotten. Regularly monitoring your campaigns will allow you to harness what’s working and eliminate what isn’t. You should pay attention to the following PPC metrics:

  • Cost per click
  • Clickthrough rate
  • Conversion rate
  • Cost per action (Cost per acquisition or cost per conversion)

There may be other metrics to track depending on the type of campaign and the objectives.

Optimize, test, & adjust

There is no such thing as a perfect Google Ads campaign. Both the platform and your customers are constantly changing. You should always test different settings, ad copy, and offers. Additionally, you should adjust bids based on keyword performance and add negative keywords to eliminate unqualified searches.

What is a customer match in Google Ads?

Customer match allows you to reach and re-engage with your customers using offline and online data. This way you can reach your customers across:

  • Search
  • The Shopping tab
  • Gmail
  • YouTube
  • And display

So how does this work?

Make sure you should have 90 days of Google Ads history and more than USD 50,000 lifetime spend to use this customer match in Google Ads.

Customer match displays ads relevant to your customers based on the information your customers provide.

Advertising with customer match can increase brand awareness and drive conversions for many businesses.

Customers match can be used to target the following audiences:

  • Your bids can be optimized on the Search Network and Shopping tabs based on information about your customers.
  • Place personalized ads on inbox tabs of customers or potential customers who share similar interests.
  • YouTube allows you to reach new segments by targeting segments similar to your most valuable customers.
  • You can reach your existing customers or potential customers on the Google Display Network by using personalized ads.

Types of Google Ads?

There are two places where Google Ads typically appear:

Google Search Network (GSN)

This is the primary advertising network. Quite simply, advertisers bid on search terms. Then they pay to have their ads displayed on Google’s search engine results pages. You’ve probably seen a sponsored ad at the top of the Google Search engine before.

Google Display Network (GDN)

A display ad differs from a search ad. Display ads are visual and not text-based. They run on YouTube, Gmail, and non-Google websites across the web.

Listed below are all nine types of Google campaigns and where they appear:

Search

These are text-based ads that run on Google’s search engine results pages (SERPs). The ads are based on the keywords you bid on. They appear at the top, right-hand side, or bottom of the search results.

Display

These are media-rich ads that run on Google’s GDN. You can place them on other websites or in YouTube videos or Gmail emails.

Video

These are video ads that run on YouTube. They can be either skippable or non-skippable, depending on the type of ad.

Shopping

These are product ads that run on Google Shopping. They’re based on the products you sell and serve to shoppers looking for those items.

App

These are mobile app ads that run on Google. You can use them to drive downloads of your app or to increase engagement with it.

Local

These are ads that run on Google Maps and Google Search. They’re used to drive traffic to local businesses.

Smart

This is an automated and simplified campaign builder‍

Performance Max

This is an all-in-one, AI-driven campaign builder.

Discovery

They are native-looking image ads that appear across Google’s feed placements

What are Keyword Match Types?

Bidding on a keyword in PPC campaigns requires choosing a keyword match type. Depending on your preference, Google will match your ads more aggressively or less aggressively with user queries. When advertising with Google Ads, you can choose from three keyword match types:

Broad match type

Broad match reaches the widest audience and is the default match type. Your ad appears whenever a user’s search query includes any word in your key phrase. This is regardless of the order of words and also it matches any word related to the phrase.

Phrase match type

With phrase match, you get some of the same flexibility as broad match, but with more control. A user will only see your ad if they search for your key phrase using your keywords in the exact order you enter them. This phrase might be preceded or followed by other words.

Exact match type

The exact match is the most specific and restrictive type of keyword match. In the past, users would only see your ad when they entered your exact keyword phrase alone. Google has recently changed the exact match type. So even when using exact-match keywords, your ads might match searches containing:

  • Synonyms
  • Plurals
  • Or other variations on your keyword

What are CPC, CPM, & CPA in Google Ads?

CPC, CPM, and CPA are all pricing models that can be used in Google Ads. Let us explain how each model works.

CPC – Cost-Per-Click

It is the most commonly used bidding strategy. CPC refers to placing bids on specific keywords. You will only be charged when your ad is clicked, regardless of how many times it appears in Google searches. CPC allows you to choose your maximum amount per click.

As this is an auction that never ends, you can raise or lower this as needed. Therefore, the goal is to achieve the lowest possible click price. Search results for a particular keyword will typically show the ad of the highest bidder at the top.

CPM – Cost-Per-Thousand / Cost Per Mille

You pay per 1000 impressions of your ad when you use this bidding strategy. Clicks and conversions are not necessarily the focus here. An ad click is free, as is a conversion resulting from an ad.

This strategy is ideal if one’s goal is to raise brand awareness. It could, for example, involve focusing on new products. The focus here is not on direct sales, but rather on creating a buzz around a company or product.

CPA – Cost-Per-Action / Pay-Per-Acquisition

With CPA or Target CPA, you set a specific target price on Google in order to achieve as many conversions as possible. Using advanced “machine learning”, Google will consider factors such as campaign history and context signals.

Set a bid that maximizes your chances of achieving your CPA goal. To make the most of Google’s “machine learning,” it is important to have enough data.

What is Target ROAS in Google Ads?

The Target ROAS or “tROAS” stands for “target return on ad spend” and is part of the Google Smart Bidding category. This is an automated bid strategy that makes use of “auction-time bidding”. This means Google optimizes for conversion or conversion value in every auction.

The following tips will help you set the right target ROAS:

  • Consider using the target recommended when available, such as on the Recommendations page. Your recommended targets are based on your historical performance and take conversion delays into account.
  • If you want to apply this strategy to a campaign, set a target ROAS based on historical conversion value per cost data. As a result, you will maximize your conversion value while maintaining the same return on ad spend. Conversion delays should also be taken into account.
  • You can find your historical conversion value per cost data by selecting Modify columns from the “Columns” drop-down and adding the Conv. Choose the Value/Cost column from the list of conversion columns. Once you have your conversion value per cost metric, multiply it by 100 to get your target ROAS percentage. Ensure you time your ROAS evaluation to coincide with the conversion window of your in-app action. This way you will obtain the most accurate picture of campaign performance

How to analyze Google Ads data & performance reports?

Analyzing Google Ads data can be overwhelming. Numerous reporting features and metrics are available to assess. For campaign success, how should you focus on impressions, clicks, CTR, and conversions?

What metrics are important and which aren’t? You will make poor decisions if you focus on the wrong metrics, like vanity metrics. If you focus on the right metrics, your business will be profitable for years to come.

Analyzing Google Ads requires looking at these metrics:

  • Return on Advertising Spend (ROAS)
  • Cost Per Conversion / Acquisition (CPC / CPA)
  • Conversion rate
  • Click-through rate (CTR)
  • Cost per Click (CPC)
  • Quality score
  • Impression share

Data-driven attribution model in Google Ads

A data-driven attribution model gives credit to conversions based on how people interact with your ads. Your account data is used to determine which keywords, ads, and campaigns will impact your business most. Data-driven attribution takes into account website visits, store visits, and YouTube, Search, and Display ads conversions.

Additionally, Google Analytics conversions from Search (including Shopping), YouTube, and Display ads are taken into account. Unlike other attribution models, data-driven attribution calculates the actual contribution of each ad interaction across the conversion path. This is based on your conversion data. Every advertiser has a unique data-driven model.

In Google Ads, data-driven attribution measures all interactions, including clicks, videos, and YouTube views. The model identifies patterns among those ad interactions that lead to conversions. It does that by comparing customer paths that convert with those that don’t.

Some steps may result in a higher conversion rate than others along the way. These valuable ad interactions on the customer’s path are then given more credit in the model. You can then determine which ads are most effective when analyzing conversion data. Your bidding will make use of this useful information if you are using an automated bid strategy.

How Can PPC Signal Help to Manage and Optimize Google Ads Campaigns?

Running Google Ads campaigns can be challenging. These ads have taken up a significant portion of your marketing budget. For this reason, managing and optimizing them is essential, especially if they are part of a multi-campaign account.

PPC Signal is a tool that can help in this situation.

It can help you manage your PPC campaign data and tell you what is going wrong before it is too late. This way you can resolve it before it drains your entire budget.

Here is how to use PPC Signal.

Let’s say you’re running an online marketing campaign for your business and you want to optimize conversions. Click on metrics in PPC Signal’s dashboard, then click on conversions. You’ll receive an automated signal telling you how well your conversions are going. If you want more insights into the signal, you can also explore it.

Clicking on Explore gives you access to graphical data about your campaign. The graphical representation helps you monitor how long your conversions have been declining.

Alternatively, you can view the data in a tabular format to see how other campaign metrics influence conversions.

With these signals, you can track the performance of your conversions and understand how other campaign metrics are affecting your conversions. In return, you will be able to get better results with less effort, as well as take action faster.

You can use these insights to take the actions that will help you stop killing your campaign budget sooner. With the help of the insights you can take action to increase your sales. In this way, you can improve your PPC campaign more quickly, and as a result, increase sales.

FAQs:

What attribution model does Google Ads use?

Conversions within Google Ads are generally attributed using data-driven attribution. When you choose a model based on data, you reduce the guesswork. Also, you can see success in your account in a clearer way.

What is the difference between Ad Rank vs. Quality Score?

Quality Score informs advertisers how to adjust their campaigns based on keyword, ad, and landing page evaluations. Google’s Ad Rank is how it determines where your ad will appear on search engine results pages (SERPs). This is based on much more campaign information.

What is ad relevance in Google Ads?

Ad relevance refers to how closely an ad matches the search intent of a user.

Are Google Ads better than Facebook Ads?

With Google Ads, you can get started faster and reach a bigger audience than with Facebook Ads. Facebook Ads, however, can offer more accurate targeting with their pixel, and potentially much better tracking insights.

How do I know if my Google Ads is effective?

Keep track of your results and make your ads specific, relevant, attractive, and empowering to reach potential customers.

Wrap Up:

Google Ads is an important part of any online marketing strategy. In order to be successful with Google Ads in 2022, you’ll need to keep a few things in mind.

First, make sure you’re targeting the right audience. Use keywords and demographics to target your ads as closely as possible to your target audience. Second, make sure your ads are well-written and engaging. The better your ads are, the more likely people are to click on them.

Second, make sure you’re tracking your results. Use Google Analytics or another tracking tool to track how many people are clicking on your ads, and how much revenue they’re generating. This will help you to optimize your campaigns and improve your results.

Remember the process of setting up your ad and hitting start is just one part of the puzzle. What you do after that will determine how successful your ad is. You can start out with a low-performing ad and optimize, test, and change it. You may end up with a highly successful campaign that will earn you a lot of money.

Consider PPC Signal for help with your ad. PPC Signal is one of the best marketing analytical tools that can help you monitor your PPC campaigns.

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