Learning Centre

 
   

Lesson 1a: Introduction to AdWords

Google and Google AdWords

Objective: Learn about Google search and Google AdWords, and see how AdWords relates to the concepts of Internet search engines and keyword advertising.

Google Search

As a search engine, Google gathers and organises a multitude of information from the Internet, then makes this information available to online searchers throughout the world. Users can simply visit Google.com or other Google domains, enter a search query (terms related to information they would like to find) into the search field, and click Google Search. Google will return a variety of search results — including lists of files, articles, documents, and websites — that are all highly relevant to the query. (If a user clicks I'm Feeling Lucky, they will go directly to the first website or document in the Google search results.) Users can also search for results within Google Images, News, and other specialised Google services.

Search results appear on the left side of the page. It is important to note that Google does not accept payment to place websites or documents in search results. However, advertisers can purchase Google AdWords ads, which appear on the right side of the page, and sometimes above the search results.

Google AdWords

Google AdWords is Google's advertising program. AdWords lets you create simple, effective ads and display them to people already searching online for information related to your business. So how is it possible to show your ads only to the most relevant audiences? The answer is keyword-based advertising.

When a searcher visits Google and enters a query — say, 'good beginner guitars' — Google will display a variety of relevant search results, such as links to articles containing guitar purchasing advice, or websites dedicated to novice musicians. It will also display AdWords ads that link to online businesses selling guitars, music lessons or other products and services related to the query.

For example, imagine that you own a music store carrying a large selection of guitars. You could sign up for an AdWords account and create ads for the entry-level guitars in your inventory. For each of your ads, you might select keywords (single words or phrases related to your ad's message) such as 'beginner guitars' or 'entry-level guitars.' Once you activate your account, your ads would be eligible to appear. That is, the AdWords system would constantly seek out search queries related to the keywords you have selected, then display your ads to highly targeted audiences. In short, you would be advertising directly to an audience already looking for you.

Google AdWords Ads

Google AdWords offers a variety of ad formats. The most common format is text ads, followed by image (and animated) ads. Additional formats available include video ads, local business ads and mobile ads.

A typical AdWords text ad looks like this:

Try Google AdWords
Maximise your ROI. Attract
new customers. Sign up today.
adwords.google.co.uk
.

Text ads generally contain the following four lines:

  • Headline (25 characters, including spaces): The title attracts users who might be interested in your products or services.
  • Description (two lines of up to 35 characters each, including spaces): These two lines contain your product, service and other details (such as promotions). The content in these lines should be clear enough to communicate your intent and compelling enough to convince the user to click your ad and visit your site.
  • Display URL (35 characters, including spaces): This line indicates which website the user will visit if he or she clicks your ad.
  • Destination URL (up to 1024 characters): This is the actual page on which users land when they click your ad. The URL will not appear in your ad. Many advertisers link their ads to particular destination pages within their website, but use the simpler URL of their home page as the display URL.

Certain wide characters and double-byte characters will reduce the number of characters permitted per line.

To learn about other ad formats, review the Using Different Ad Formats lesson.

 
 
Basic AdWords Features

Objective: Learn some basic AdWords terminology. Understand the benefits of the Google Network, language and location targeting as well as placement targeting.

Basic Definitions

Using Google AdWords for the first time may introduce you to some new terminology. Here are a few of the most commonly used AdWords terms.

Cost-per-click (CPC): Under its cost-per-click (CPC) pricing model, AdWords charges you for each click your ads receive. You won't incur any costs if your ad is displayed for a search query and users don't click it.

Quality Score: Quality Score is the basis for measuring the quality of your keyword and ad and determining your cost-per-clicks (CPCs). Quality Score is determined by your keyword's click-through rate (CTR), relevance of your ad text, historical keyword performance, and other relevancy factors. The higher your Quality Score, the lower the price you'll pay per click.

First page bid estimates: You can find a first page bid estimate for each of your keywords on the Keyword Analysis page. This metric estimates the cost-per-click (CPC) bid needed for your ad to reach the first page of Google search results when the search query exactly matches your keyword. The first page bid estimate is based on the Quality Score and current advertiser competition for that keyword.

Click-through Rate (CTR): Your click-through rate (CTR) is a metric that helps show how your ads are performing. The more relevant your ads are, the more often users will click on them, resulting in a higher CTR. The system calculates your CTR as follows: Number of ad clicks/number of impressions x 100.

To learn about more common terms, visit our full Glossary.

The Google Network

With Google AdWords, your ads are eligible to appear on the Google Network - comprising thousands of high-quality search and content sites and products across the web - in addition to Google search results pages. Electing to show your ads on the Google Network can greatly expand your marketing presence to customers you might not have reached on Google alone.

The Google Network is divided into the Google search network and the Google content network. Advertisers can choose to show their ads on either or both of these networks.

  • Google search network: Includes Google search pages, search sites and properties that display search results pages, such as Froogle and Earthlink. AdWords ads can appear alongside or above search results, as part of a results page as a user navigates through a site's directory, or on other relevant search pages.

  • Google content network: Includes news pages, topic-specific websites, blogs and other properties - such as Google Mail and The New York Times. AdWords ads can appear on a webpage if the content and URL of that page relate to the ad.

To learn more about the Google Network, see the Search and Content Targeting lesson.

Language & Location Targeting

A significant benefit of AdWords is the ability to target your ads to almost any language and location worldwide. For example, you can target your ads to Spanish speakers in California or Portuguese speakers in Brazil. This language and location targeting functionality lets you tailor your ads and promotions to increase your business's appeal to a variety of audiences. To learn more, see the Location & Language Targeting lesson.

Placement Targeting

AdWords offers two ways to target ads:

  • With keywords
  • With placements

Keyword targeting is Google's traditional advertising model, whereby advertisers select keywords that can trigger their ads to appear on Google search pages and on the Google content network. (Unless specified, most of the content in the Learning Centre focuses on keyword-targeted advertising.)

Placement targeting lets advertisers choose individual sites in the Google content network where they'd like their ads to appear. A placement can be an entire website or it can be a subset of pages or ad units on a site, as defined by the site's publisher. For example, a news site might offer you the chance to place your ads across its entire site, only on its front page or just in ad units on the upper half of its sports pages.

Placement targeting gives advertisers even greater flexibility to control exactly where their ads are shown. Keywords and placements are both available in AdWords campaigns. You can target keywords only, placements only or both keywords and placements to reach the audience you most want for your ads.

To learn more, visit the placement targeting lesson.

 
 
Benefits of AdWords

Objective: Learn how Adwords provides a one-size-fits-all advertising medium.

AdWords Benefits

AdWords advertising lets you:

  • Target your ads specifically to people who are looking for your products or services.
  • Avoid showing your ads to users who aren't likely to purchase from you.
  • Obtain the maximum return on your advertising investment.

Reach: Each month, approximately 80% of Internet users in the United States (and hundreds of millions more worldwide) view AdWords ads. AdWords can offer you instant access to this vast audience of potential customers.

Cost: AdWords is cost-effective for businesses of all sizes.

  • You can choose to pay for ad clicks (CPC) or for impressions (CPM).
  • Because you can choose your own CPC or CPM amounts, you decide how much you'll pay each time someone clicks or views your ad.
  • There's no minimum spending limit. In addition, you can set a maximum daily spend (daily budget) that the AdWords system won't exceed.
  • You can edit your budget settings at any time.

To learn more about AdWords pricing, see the Pricing and Ranking lesson.

Timing: Google AdWords ads engage potential customers at precisely the right moment - when users are actively searching for information (keywords or content) related to your business. Your AdWords ads ensure that your website is only a single click away.

Flexibility and Control:

  • You can edit an existing ad, then see your updates within 15 minutes.
  • You can edit your account at any time, as often as you like. AdWords is available 24 hours a day, 7 days a week.
  • Ads start running for the first time almost immediately after you activate your account with your credit card or direct debit information. (Advertisers in certain countries can pay by bank transfer. In this case, ads run when we receive the first payment).