Advertising With Google AdWords
What AdWords is, and why you should use it.
If you’ve used Google to search the web (and who
hasn’t?) you’ve probably seen the “Sponsored
Links” that often appear at the top of and on
the right side of your search results. These are AdWords
advertisements placed by companies like yours that want
to attract people who are searching for specific keywords
to their website. The Google AdWords system allows companies
to buy advertisements on Google search results pages
for specific keywords related to the products or services
that the company is selling. In and of itself this is
a great idea – since you are advertising on specific
keywords, you already know that everyone who sees your
ad is very likely already interested in your product
or service, since that is what they were searching for.
So, now you know that the people you are advertising
to are very likely already interested in your product,
but what if you only do business in Michigan? You don’t
want to pay to advertise to people all over the country,
even if they are interested in your products. This is
where “Geo-targeting” comes in. You can
actually target your ads to specific countries, states,
regions within a state, and even specific cities in
many cases. This ensures that you aren’t paying
to advertise online to customers that you can’t
even serve. So now that we’ve established that
AdWords allows you to easily reach customers who are
actually interested in your product, and that you can
actually serve, the next question inevitably is…
So, what’s this gonna cost me?
First of all, it costs you absolutely nothing to have
Google show your ad. Since AdWords advertisements are
“pay-per-click”, you only have to pay if
somebody actually clicks on your ad and goes to your
website. So, by the time you pay, you already know that
the person is not only interested in the products or
services that your company offers, but that they are
also interested in your company specifically since they
actually clicked on your ad.
Second, how much you pay for a “click through”
on your ad in Google’s search results is also
up to you. You decide how much you are willing to pay
(generally between 50 cents and a dollar or so, depending
on the keywords) and Google decides which ads to show
and what the placement of those ads will be based on
a dynamic auction system. Generally, the advertiser
willing to pay the most for a given keyword gets the
top spot on the page with the second spot going to the
second highest bidder and on down the line until all
the ad spots are filled. When you set up your ad and
decide how much you are willing to pay for a click through,
Google will give you an estimate of how often and at
what placement your ad will likely be shown based on
what other people are bidding for that same keyword.
Obviously, if your bid is significantly lower than your
competitors, your ad probably won’t be shown very
often, but the variety of ad placements and the dynamics
of the bidding system generally allow for a wide range
of bids depending on your budget and how many people
you want to bring in to your website.
Third, how much you want to spend on your ad campaign
is – you guessed it - completely up to you. The
Google AdWords budgeting system allows you to set a
daily budget for your Google ads. Whether you want to
spend $5 per day or $500 per day, Google will automatically
adjust the frequency that your ads are shown based on
your budget to try to show your ads consistently throughout
the day and automatically stop showing your ads for
the day if your budget runs out. It will also “carry
forward” budgeted amounts to the next day if your
ad budget wasn’t used up on a given day.
Clicks are nice, but what I really want are customers.
So how do you know if the people visiting your
website are actually turning into customers?
Google AdWords provides unparalleled tracking and reporting
features that allow you to measure the effectiveness
of your advertising. Using AdWords and Google Analytics
(another free Google tool) you can view statistics about
what the visitors clicking through to your website are
doing. Want to know how many pages on average they view?
Or how many of them immediately leave your website after
clicking on the ad? Google AdWords and Analytics provide
the tools necessary to answer those questions and many
more. You can even set up “goals” for visitors
to your website. Whether the goal is purchasing a product,
filling out a contact form, or signing up for an e-newsletter,
you can set up goals and use the results to adjust the
keywords you advertise for, your ad copy, bidding strategy,
or even the sales copy on your website.
For example, let’s say your company designs websites
and you are advertising on two keywords – “website
design” and “adwords consulting”.
You could see that 2% of the people who searched for
“website design” and clicked through to
your site filled out the contact form, while 13% of
the people who searched for “adwords consulting”
filled out the contact form. When you combine this information
with the amount you are spending on the pay-per-click
advertising, the number of contacts that turn into actual
customers, and the average profitability of those customers,
you can quickly determine whether that advertising is
cost effective for you. You might then decide to drop
the “website design” keyword altogether.
Or maybe you change it to target only web searchers
in your geographic area and see if that helps. Or maybe
you adjust the sales copy on your website and see how
that affects the results. The point is that the information
provided by these tools makes it possible to fine tune
your advertising strategy quickly and easily in a way
that is almost impossible to do with traditional advertising.
If the Yellow Pages worked like Google AdWords…
Maybe the best way to explain why Google AdWords is
such a great advertising option is to compare it to
a traditional advertising medium that everyone is familiar
with - the Yellow Pages. So, if the Yellow Pages worked
like Google AdWords…
- Every time someone opened the yellow pages book,
only the ads for stuff they were actually interested
in would show up.
- Putting an ad in the yellow pages would be completely
free, you would just pay them a small fee if someone
called you after looking at your ad there. And of
course you would tell them how much that fee would
be.
- There would be international, national, state,
regional and city versions of the yellow pages, and
you would be able to put your ad in any or all of
them – at no extra charge.
- You would be able to put as many ads as you wanted
in the yellow pages (again, at no cost), and when
someone called you, you would know which of the ads
they called you from.
- You would be able to add, change or cancel your
ads at any time, as often as you wanted, and the ad
would instantly change in every yellow pages book
in circulation. This service would be free as well
of course.
When you consider the advantages that
online advertising with a product like AdWords
has over something as ubiquitous as
the Yellow Pages, it almost makes traditional
forms of advertising look flat-out silly. Now I’m
not saying you should go out and cancel your Yellow
Pages ad, but when you look at the two side by side,
the advantages of advertising with AdWords certainly
make it worth some very careful consideration.
If you are an Indezyn client, you
spent good money on a great website, a website
that should outshine those of your competitors.
In the yellow pages, no phone number is any “sexier”
or “more professional” than another, but
online, the quality of websites varies
tremendously. The quality of
your website sets you apart
from your competitors while your phone
number in the yellow pages is just another number
in a sea of numbers. So why spend money to show people
your phone number when you could show them your website
instead?
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