Google Adwords: A closer look

Google Adwords is an affordable advertising tool for businesses.  Let’s examine how it works and what sets it apart from other kinds of advertising.

An advertiser that uses Google Adwords pays to place an ad on your website.  It does not matter whether a visitor clicks on an ad to make a purchase; the advertiser still pays either way.

If you are an advertiser/website owner with ad links to your site, you pay for regular ad-placement, even if no one ever clicks on the link.  Standard advertising can be a bit tricky.  It’s basically the same with television, print or any other format.  Evaluating the cost effectiveness of your advertising campaign can be difficult at times.

When an ad does not link to your website, you have no way of measuring its performance or value.  The ads may be helping to increase your business and it may not.

With Google Adwords, you can choose where you would like your ads to appear.  You can select search pages, web pages or both.  If there are specific websites that you want your ads to appear on, you have the ability to select those also.

Before you can begin the process of creating your own ads,

1. You should have chosen relevant keywords for your business.  Google’s keyword search tool is a free application which helps with the research.    

Once you are ready, create your own ads.  Your ads can use video, full color images or strictly content.  You choose the size of your ads and you decide how much you would like to pay.

In addition to our CPC (Cost per click bids) you also need to specify the maximum amount you are willing to pay per day.  Your costs would never exceed this amount.  On a day of a thousand clicks, you would only be liable up to your maximum for that day.  

With a Google Adwords Placement Performance Report, you learn to evaluate the effectiveness of your ads.  Not only will you learn how many people have clicked on your ads, you also learn how many have made purchases.  The number of purchasing visitors as a percentage of the total is effectively your “conversion rate”.    Remember this term, you will hear it often.

If you are not getting enough clicks converted to sales, you have the power to change ads or modify keyword selections.  You could try switching from search results to website advertising or vice versa.

Google Adwords is a great way of advertising on the net.  There is no other form of advertising that provides campaign evaluation as easily or as accurately.  There is nothing for you to count and you don’t have to ask your customers where they heard about your company.  

Google Adwords lightens the work load associated with marketing campaigns.  Every business owner should try it.


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