We initially looked at Google AdWords last month. It is a popular way for businesses to attract targeted traffic to their site by placing adverts alongside Google’s search results or even across Google’s content network. Many companies find this to be an effective way of advertising as they find their adverts are only shown to the people using certain keywords in their search terms. This means that (as long as the AdWords campaign is well administered) only the right people are shown the ad and only the right sort of people will click on it.
This time we are going to look at some aspects of using AdWords in more detail, so if you are interested in knowing how this system operates or perhaps considering using AdWords to advertise your business then this blog post is for you!
Like any advertising, the company has to see that they are getting a return on their investment – money in must mean money (or some other benefit such as furthering their brand) out. With AdWords there are a number of ways to control how much money is used by the system.
An advertiser can decide how much they are willing to spend on their daily budget – this can be as much or a little as they can afford. However it is worth bearing in mind that if the company works in a highly competitive sector then for the highly competitive keywords there can be a sizeable cost – budgets may not last as long as you first intended. Although there is a way to regulate this cost as well:
The Maximum Cost-Per-Click value is set by the advertiser. It represents the highest amount that the advertiser is willing to pay for a user to click on their advert. If this value is set too low then it will start to effect where the ad appears alongside the Google search results – it is much more difficult to achieve great results if your ad is only showing on the second page of search results.
Finally we come to a more abstract concept to understand – Quality Score is a Google assigned number based on several factors. Your keywords, advert and landing page (the page the advert directs the user to) are all analysed and rated based on how pertinent they are to the products and services being searched for. Quality Score also has an effect on the cost of advertising, the better the quality score the lower the cost-per-click. So advertisers who fine tune their campaigns and websites effectively can actually advertise for less.
Martin Able is an online trade specialist with experience with payment gateways and cheque processing for ecommerce websites.
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Tags: Google AdWords
