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Google AdWords

Google's Pay Per Click (PPC) platform allows advertisers to select and bid on keywords in a specific geography with custom ads that points to their website. An advertiser must be willing to bid enough to have their ad served. That amount is set in real time by a live auction.

What is Google AdWords Management?

Google AdWords Management is a strategy which allows advertisers to place their ad atop the first page of Google's search results for their key terms, as long as the advertiser is willing to pay for the click. The advertiser specifies how much they’re willing to pay for a click in a specific geography for specific keywords.

Advertisers choose their selected geographies, the keywords they want, the keywords they don’t and where they want to show up. For example, the image below is a screenshot of what happened when ‘personal injury lawyer Toronto’ was typed into Google.

  Google AdWords Results

Notice the great variation in the way that these ads are positioned, the information and the amount of information that is shown. Take a look at the ads and notice how different these firms are advertising.

Neinstein, in this instance is in the top position because they are the highest bidder (bid position is also impact by quality score).

Diamond and Diamond has the best written ad out of the group with call out extension, and site link extensions being present.

Preszler is using two phone number instead of just one and using that space to better advertise.

There is great diversity in the way that these ads are being managed by the different AdWords practitioners.

Why It's Important

Google AdWords Management allows you to buy space on the first page for your most important keywords with unparalleled control. You can choose what your ads say and change them any time. You can choose the areas you want to advertise in down to the postal code. You can specify the most you would pay for a click on one keyword versus another. You can change your budget at any time and much more…

You could have the best site, or the worst site and you can show on Google for almost any term you can think of as long as you’re willing to pay for it.

Measurable and Scaleable 

With Google AdWords you’ll understand:

  • Cost per click
  • Cost per conversion
  • Click through rate
  • Conversion rate

… and a lot more.

All of the metrics are important, but let me end with focussing on cost-per-conversion. If you can generate a cost-per-conversion that serves as an acceptable cost to acquire the sale or the lead, you have yourself a profitable campaign. Proper Google AdWords Management means minimizing the cost of the conversion and maximizing the opportunity that exists.

Many advertisers when starting out will make the mistake of saying something like “I’ll do Google AdWords for now until my SEO gets going and then I’ll pull back”. The reason that’s a mistake is that if AdWords is profitable, why stop it? Even if another medium for advertising brings in more, why stop anything that’s generating a positive return on investment?

A Simpler Explanation

Google AdWords Management is a live auction between you and your competitors for the interest and attention of your prospective customers. Essentially, you’re buying your way to the top of Google and being charged when you get the click. That’s why it is important to outline the specific words you want to receive clicks from in the right geography.

For example, let’s assume that you’re a personal injury lawyer from Toronto and you want to drum up local business. You want to make sure that when people look for your services, but don’t know who you are, they become familiar with you and your services. So what are some of the words someone in need of a personal injury lawyer may search for? It’s important to put yourself in the shoes of the searcher. They could be looking for a “personal injury lawyer”, “car accident lawyer”, “injury lawyer”, “Don’t pay until I win lawyer”, “Toronto personal injury law firm”, etc.

There are hundreds and thousands of keywords that may apply for a single business. Different keywords will have different bids from competitors and usually, it’s the more popular searches that cost the most.

At this point I’ll note that the auction for a personal injury lawyer in Toronto will be a lot different than the same auction in Winnipeg, or Regina. Toronto is North America’s 4th largest city and with that comes a lot of opportunity and a lot of competition. Also note that the bids and the bidders in the auction are a lot different industry to industry. A good rule of thumb to remember is that wherever there is the most to be gained is where you will find the most expensive clicks. A family lawyer makes less on a per client basis than a personal injury lawyer so their bids for a click for someone looking for their services will vary greatly!

Just because everyone is bidding aggressively doesn’t mean you have to. As an advertiser you can specify the most you’re willing to pay for a click, however if your bid is not high enough you may not make it to the first page of Google. Remember, it’s an auction and if you want to come away with some clicks, you have to bid in the ballpark of your competition to win some of those clicks. If you’re thinking that your marketing budget is too small compared to the competition, here are some tips to win with small AdWords budgets. There are some smart ways to get the right clicks at the right price.

Keep in mind that when you do receive the click, whether it’s someone looking to reach out and contact you because they have a serious claim, or a student doing research for a class assignment, the click will cost what it costs. That’s why keyword selection is incredibly important as well as the conversion rate of your website asset.

What To Keep In Mind

In general, Google AdWords Management continues to become a more expensive marketing strategy. As more advertisers become wise to online, more bidders will enter the live keyword auction, which will in turn drive up the cost for every click, also driving up the cost for every conversion (customer).

In light of this, while Google Adwords continues to remain one of the most effective pay-per-click type marketing strategies, it's essential that experts who understand all the nuances and intricacies of this advertising platform are overseeing your program with ongoing analysis and adjustment, that will continue to improve your ROI from this type of investment overtime.

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