What is Google Ads?
Google Ads (formerly Google Adwords) is an online advertising platform that allows users to create and display ads across the internet. It provides businesses with the opportunity to reach a vast audience on various platforms owned by Alphabet, including YouTube and Google Maps. With Google Ads, ads can also be displayed on mobile apps and websites within its network, potentially reaching billions of people.
What’s The Difference Between SEO, SEM, PPC & Google Ads?
Although online marketers and business people frequently discuss SEM, PPC, SEO, and Google Ads, these digital marketing techniques can still be confusing.
As best practices in online marketing evolve, industry terms change, and new acronyms are created, companies can face challenges in determining the most effective next steps for their digital marketing strategies. This can be a source of confusion and make it difficult to stay up-to-date with the latest trends and techniques in the industry.
1. SEO (Search Engine Optimization)
SEO (Search Engine Optimization) serves as the backbone of digital marketing, and the industry is experiencing exponential growth. To ensure that your website adheres to the best SEO practices, enlisting the expertise of a professional team is a wise move. By partnering with an SEO agency, your company can expand its online reach and establish brand authority.
A robust SEO strategy can lead to a website ranking high on the search engine results pages (SERPs) organically.
Ideally, your website should rank first on the SERPs by providing relevant answers to users' search queries for a particular keyword (e.g., "pizza place NYC"). The infographic below highlights the factors that impact the effectiveness of SEO.
Those who have been involved in SEO for a while will acknowledge that it is no longer the same as it used to be. With search engines such as Google becoming increasingly sophisticated, many of the tactics that were effective five years ago are now obsolete. It is important to conduct thorough research and abandon strategies that are no longer effective in 2020.
2. SEM (Search Engine Marketing)
SEM (Search Engine Marketing) is a comprehensive approach that encompasses strategies aimed at improving a website's visibility on search engine results pages (SERPs). It has traditionally been used as an umbrella term to describe any form of online marketing that enhances a website's search engine popularity. According to Search Engine Land, in the early 2000s, SEM was defined as a method that included a range of tactics such as SEO, paid placement, contextual advertising, digital asset optimization, and paid inclusion.
Over time, the term SEM has become more closely associated with paid search methods. Since around 2006, SEM has become the standard term for paid search. The most widely accepted definition of SEM is "the process of driving traffic to a website through the purchase of ads on search engines."
3. PPC (Pay Per Click)
In the PPC (Pay Per Click) model, the advertiser pays for each click on their ad that directs the user to their website. The host of the platform that facilitates the ad placement receives payment from the advertiser for each click.
The most popular hosts for PPC advertisements include Google, Yahoo, Bing, LinkedIn, Facebook, Instagram, Titok, and Twitter. These are the ads that typically appear at the top and right-hand side of search results. To secure a PPC ad placement, advertisers must win the bid for that ad spot. PPC ads placed on search engines like Google or Yahoo are classified as part of paid SEM advertising.
Real-time bidding is a common feature of many advertising platforms, including Google Ads. To succeed with these platforms, it is crucial to understand the auction process.
Real-Time Bidding: NEW - Exploring Google Ads' Latest Changes - effective from 31 October 2023 - Announcement made on May 1, 2023
Google Ads has recently revealed its plan to shift primarily to real-time bidding auctions starting from October 31, 2023. As a result, Google Ads will cease responding to multiple calls in mediation. Prior to this date, Google Ads might gradually phase out waterfall buying for certain multi-call requests.
According to Google
Ad Rank plays a crucial role in determining the position and visibility of your ads within Google's search results. It is calculated based on various factors, including your bid amount, auction-time ad quality (which includes expected clickthrough rate, ad relevance, and landing page experience), Ad Rank thresholds, auction competitiveness, search context (such as location, device, search time, search terms, and other ads and search results on the page), and user signals.
The expected impact of assets and ad formats is also considered, taking into account factors like relevance, clickthrough rates, and prominence on the search results page. This means that even if your competitors have higher bids, you can still secure a higher ad position at a lower cost by utilizing highly relevant keywords and ads.
Ad Rank is recalculated for each eligible ad in every auction, meaning your ad position may vary depending on competition, search context, and your ad quality at that specific moment.
Ad Rank is a value that's used to determine your ad position (where ads are shown on a page relative to other ads) and whether your ads will show at all. Ad Rank is calculated using your bid amount, your auction-time ad quality (including expected clickthrough rate, ad relevance, and landing page experience), the Ad Rank thresholds, the competitiveness of an auction, the context of the person’s search (for example, the person’s location, device, time of the search, the nature of the search terms, the other ads and search results that show on the page, and other user signals and attributes), and the expected impact of assets and other ad formats.
When estimating the expected impact of assets and ad formats, we consider such factors as the relevance, clickthrough rates, and prominence of the assets or formats on the search results page. So, even if your competition has higher bids than yours, you can still win a higher position at a lower price by using highly relevant keywords and ads.
Your Ad Rank is recalculated each time your ad is eligible to appear and competes in an auction, so your ad position can fluctuate each time depending on your competition, the context of the person's search, and your quality at that moment.
In Performance Max campaigns, if a user’s search query isn’t identical to an eligible Search keyword (including the spell-corrected search term), the campaign or ad with the highest Ad Rank will be selected.
To participate in Google PPC auctions, an advertiser first creates an advertising account on the platform and specifies where and when they want their ads to appear.
For instance, if using Google Ads, the account is divided into multiple campaigns, each containing ad groups with keywords and related ads. To build a successful PPC campaign, it's crucial to define your objectives and develop a budget-friendly strategy that adheres to best practices.
Discover the mechanics behind the Google Ads auction and how it determines which ads appear.
The Essential Factors Behind Ad Placement in Auctions:
Decide on your optimal budget and create a realistic plan:
It's important to approach your budget and goals for your PPC campaign with a logical and realistic mindset. Knowing your budget limitations and distributing your funds wisely is essential for achieving success. By specifying your bid, you indicate the maximum amount you are willing to pay for a click on your ad. However, the actual cost you incur is often lower, and you have the flexibility to modify your bid whenever needed.
For example, if you have a small budget, it may not be feasible to aim for brand awareness through PPC advertising, as this can require a significant investment. Instead, focus on using PPC as a means to drive a specific action, such as offering a time-limited discount for signing up to your newsletter. By setting clear and achievable targets, you'll be able to make the most of your budget and achieve a higher return on investment.
Google Ads evaluates the relevance and usefulness of your ad and the website it directs users to. This assessment is reflected in your Quality Score, which can be monitored and improved within your Google Ads account.
When creating your ad, you have the opportunity to include additional information, such as phone numbers or links to specific pages on your website. These additions, known as ad assets, are considered by Google Ads to estimate their impact on ad performance. This means that even if your competitors have higher bids, you can still secure a superior position at a lower cost by employing highly relevant keywords, ads, and assets.
Maximizing the Impact of Ad Assets:
Enhance your ad by including additional information like phone numbers or specific website links. These ad assets are evaluated by Google Ads to estimate their influence on ad performance. By utilizing highly relevant keywords, ads, and assets, you can secure a competitive position at a lower cost, even if your competitors have higher bids.
Google Ads sets minimum quality thresholds to ensure the display of high-quality ads. Your ad must meet these thresholds to appear in a specific position, emphasizing the importance of maintaining a high-quality ad experience.
Consideration of Ad Context:
The ad auction process takes into account various contextual factors to calculate Ad Rank. This includes the search terms used, the user's location, device type (e.g., mobile or desktop), search timing, the nature of the search terms, other ads and search results displayed on the page, as well as user signals and attributes. Contextual relevance is crucial in determining the position and success of your ads.
Get More Customers with Google Ads (also known as Adwords)
In today's digital age, advertisements are ubiquitous and almost impossible to avoid, popping up in various forms on search engines, social media, mobile apps, and online news platforms.
The online advertising industry is booming. By 2023, the projected ad spending in the Digital Advertising market is expected to reach a substantial US$679.80 billion. Among the different segments, Search Advertising stands out as the largest with a market volume of US$279.30 billion in the same year. When considering global ad spending, the United States takes the lead, generating the highest amount of US$271.20 billion in 2023.
In the In-App Advertising market, the average ad spending per user is projected to be approximately US$58.99 in 2023. Looking ahead to 2027, mobile will dominate the Digital Advertising landscape, accounting for 68.7% of total ad spending.
Leading the way in the online advertising space with a 25% market share is Google. Their online advertising platform, Google Ads (previously known as Google Adwords), has become one of the top choices for small business owners who want to reach billions of internet users with their ads.
Great news! You too can take advantage of Google Ads to promote your business. If you are interested in learning more about this powerful online advertising platform and how to get started, keep reading.
How to Use Google Ads to Drive Traffic and Increase Conversions
Google Ads utilizes various factors to determine the display time and method for ads in your campaign, including:
The Quality Score is a rating by Google that evaluates the user experience provided by your ads and landing pages when users search for your keyword(s). It is measured on a scale of 1-10, with 1 being the lowest and 10 being the highest. You can assess your Quality Score by reviewing your keywords report.
Quality Score reflects the usefulness of your ads and landing pages to your audience. It is influenced by three key factors:
A. Expected Click-Through Rate (CTR): This measures the likelihood of someone clicking on your ad when it appears for a specific keyword they searched for.
B. Ad Relevance: It assesses the relevance of your ad to the keywords you have targeted. Does your ad align with the search intent of users?
C. Landing Page Experience: This factor evaluates the correlation between your ad and the information presented on the landing page. Is the landing page content consistent with what the ad promises, and does it provide a positive user experience?
These factors collectively contribute to your Quality Score and help determine the effectiveness of your ads in delivering value to your target audience.
Strategies to Improve Your Quality Score
Understanding Expected Click-Through Rate (CTR): Impact on Ad Performance and Improving Keyword Relevance
The expected click-through rate (CTR) is an estimation of the likelihood that someone will click on your ad when it appears for a specific keyword. This estimation assumes an exact match between the search term and your chosen keyword, without considering other factors like the device type.
There are three possible statuses for expected CTR:
● "Average" or "Above Average": Indicates no significant issues with your keyword's expected CTR.
● "Below Average": Indicates a predicted poor performance in terms of CTR for the keyword.
If any of your keywords receive a "Below Average" status, it may be beneficial to modify the associated ad copy. This can involve incorporating the keyword into the ad text more frequently to enhance its relevance.
Creating Effective Ads targeting corporates: Enhancing Click-Through Rates with Relevant Messaging - example 1
Imagine you run an online store specializing in business attire, and a potential business customer searches for "professional suits for meetings." In your ad group, you have keywords like professional suits, business attire, formal wear, meeting outfits, and corporate clothing, which trigger your ad to appear for their search query. However, a poorly written ad might read:
Business Attire Emporium
Ad - Explore a Wide Range of Professional Suits on Our Website. Special Discounts Available!
Notice that this ad doesn't include the relevant keywords, reducing its chances of attracting clicks from business customers.
Now, consider an improved ad:
Business Attire Emporium - Elevate Your Corporate Image
Ad – Discover Our Selection of Professional Suits for Meetings and Business Events. Find Out More!
Visit Business Attire Emporium for Quality Corporate Clothing. Special Discounts Up To 50% Off Is Available!
Crafting Effective Ads: Boosting Click-Through Rates with Relevant Messaging - example 2
Imagine you own an online store specializing in dresses and a potential customer searches for "dress with polka dots." In your ad group, you have keywords like a dress with polka dots, polka dotted dress, teenage dress, fashion dress, and colorful dress, which trigger your ad to appear for their search query. However, a poorly written ad might read:
Jamie's Dress Store - Ad - Discover a Wide Range of Dresses on Our Website. Enjoy 50% Off!
Notice that this ad lacks relevant keywords, making it less likely to attract clicks.
Now, consider an improved ad:
Jamie's Dress Factory - Stylish Dresses with Polka Dots
Ad – Explore Our Website Today to find Dresses with Polka Dots. Get Your Perfect Look!
Visit Jamie's Dress Store for Colorful Dresses Today. Enjoy 50% Off!
2. Advert bid
Google Ads offers various bidding options to cater to your specific goals and priorities as an advertiser. Whether your focus is on clicks, impressions, conversions, or views (in the case of video ads), you have the flexibility to choose the bidding strategy that aligns with your desired outcomes.
As you embark on your Google Ads journey, it's essential to have a clear goal in mind for your advertisements. For instance, if you operate an e-commerce store selling shoes, your objective may be to drive more traffic and increase visits to your online store. On the other hand, if you own an outdoor adventure store, your aim might be to encourage more people to subscribe to your newsletter and stay connected. By defining your desired actions, you can make informed decisions about how to bid effectively.
Understanding the specific purpose you want your ads to serve plays a crucial role in determining the most suitable bidding approach. This knowledge empowers you to optimize your bidding strategy and increase the likelihood of achieving your desired results.
What should we bid for - Clicks, Impressions, Conversions, Views, or Engagements?
Focus on Clicks
If your goal is to prompt customers to engage in a specific action on your website or increase traffic to your website
Search and Display ads
Focus on impressions
Increase Brand Awareness
Search Network - Target Impression Share
Display Network - paying by the click and/or cost-per-thousand viewable impressions (vCPM) bidding
Focus on conversions
With Smart Bidding
Search and Display ads
Focus on views
increase views or interactions, product or brand consideration with your ads
video ads only - cost-per-view (CPV) bidding or cost-per-thousand impressions (CPM) bidding
Following the quality score, another factor that Google Ads considers is your ad bid. This is the maximum amount you're willing to pay for each interaction that a potential customer has with your ad. The type of interaction varies depending on the type of ad, and it also determines the focus of your bidding strategy.
The following are the primary types of interactions for which you can choose to bid:
● Clicks: This aims to have users click on your ad to visit a website or landing page. To achieve this, you can use a bidding model known as pay-per-click (PPC) or cost-per-click (CPC).
● Impressions: An impression-based campaign focuses on the number of times an ad is displayed to users, and because the numbers can be much higher, the bidding strategy is based on the cost per thousand viewable impressions (vCPM).
● Conversions: The bidding strategy for this type of campaign is based on cost-per-action (CPA), where you pay for a specific action a user takes after interacting with your ad. This could include completing a signup form or any other activity that you specify as the desired action.
● Views: Video ads in Google Ads are focused on views, and the bidding model is measured in cost-per-view (CPV).
You have the option to establish a CPV (Cost Per View) bid. The CPV bid represents the maximum amount you are willing to pay for a single view of your video. Referred to as the "max CPV," This bid is set at the campaign level. Additionally, you have the flexibility to define CPV bids for each specific ad format within your campaign.
Smart Bidding: Increase Conversions and Optimize Results with Intelligent Bid Strategies
Smart Bidding is an automated bid strategy that uses machine learning to optimize for conversions or conversion value in each auction. It incorporates various auction-time signals, such as device, location, time of day, language, and operating system, to tailor bids to the unique context of each search. By analyzing historical data and making bid adjustments, Smart Bidding continually refines bidding strategies, driving improved performance and achieving campaign goals. It streamlines the bid management process, leveraging the power of machine learning to maximize conversions and deliver better results.
The Five Smart Bidding Strategies to Optimize Your Campaign Performance
● Target Cost per Action (CPA): Boost conversions while achieving a specific cost per action (CPA) using Target CPA bidding. Learn more about optimizing with Target CPA.
● Target Return on Ad Spend (ROAS): Enhance conversion value while aiming for a specific return on ad spend (ROAS) using Target ROAS bidding. Learn more about optimizing with Target ROAS.
● Maximize Conversions: Optimize for conversions by maximizing your entire budget, without targeting a specific CPA. Explore the potential of Maximize Conversions bidding. Learn more about Maximize Conversions.
● Maximize Conversion Value: Drive higher conversion value by utilizing your entire budget, without targeting a specific ROAS. Unleash the power of Maximize Conversion Value bidding. Learn more about Maximize Conversion Value.
● Enhanced Cost per Click (ECPC): Automatically adjust your manual bids to maximize conversions with ECPC, an optional feature for Manual CPC bidding. Learn more about ECPC and its advantages.
Improve Your Campaign Performance with CPC Bidding
● Maximize Clicks: Streamline Your Clicks with Automated Bidding:
Discover the simplest way to bid for clicks with Maximize Clicks. By setting an average daily budget, the Google Ads system optimizes your bids to maximize clicks within your specified budget. Learn more about the power of Maximize Clicks bidding.
● Manual CPC Bidding: Empower Your Click Management:
Take control of your maximum cost-per-click (CPC) bids with Manual CPC bidding. Customize bids for each ad group, keyword, or placement, allowing you to allocate more budget to the most profitable keywords or placements. Unleash the potential of Manual CPC bidding to enhance your click performance.
Are you ready to maximize your Quality Score and ad bids for greater success?
We hope that this guide has provided you with valuable insights and strategies to improve your Quality Score and optimize your ad bids in Google Ads. By implementing these techniques, you can enhance the effectiveness of your campaigns and drive better results for your business.
Remember to regularly monitor and analyze your performance, make data-driven adjustments, and stay up to date with the latest industry trends. If you have any further questions or need additional assistance, don't hesitate to reach out. Now, armed with this knowledge, it's time to take action and elevate your Google Ads game.
Try Doba today, risk-free, without missing out on a quality experience!