This guide is for business owners who, just like us, believe that chasing the ever-changing digital marketing trends is the key to creating successful digital marketing strategies.

Statista claims that 90% of searches happen right on the Google Search engine, which has been a market leader since its debut in 1997. Hence, there has never been a better time to explore the Google Ads trend, because (honestly) – you are already late!

It is not all fun and games, however. The concept of advertising your product on Google can go from thrilling to agonizing really quickly. Use it right, and get ready for some serious business upgrades. Use it wrong, and you will waste hundreds of dollars before you can even pronounce “pay-per-click advertising strategy”. So let’s explore this topic some more, and get acquainted with PPC marketing, Google Ads, and Google AdWords.

Google Ads or Google AdWords?

Both! Google Ads and Google AdWords are essentially the same concept, one older than the other. With time, mobile Internet traffic has been significantly increasing, accounting for around half of all online traffic worldwide, according to Statista data. Google kept its marketing dominance by keeping up with the trends. That’s how Google Ads was born, as an upgraded, more efficient, and more versatile version of advertising within Google services. 

Google Ads now provides more automated campaign development features, which enable users to create desired content without much platform knowledge. The rebranding also contributed to a fuller range of campaign formats across Search, Display, Video, App, and more. All of these changes arrived along with handy progress-tracking tools within the Google Ads dashboard.

Advertising accounts for almost 96% of Google’s total income, according to Curvearro stats. All ad networks, including Adsense and YouTube advertising, are now under the control of Google Ads, contributing to the 40% increase in revenue in the 3rd quarter of 2021 (Statista). Talking about following the trends!

Google Ads is also a pay-per-click (PPC) advertising platform. The PPC concept is widespread and works well on other platforms such as Instagram and Facebook. However, Google Ads is still the leader when it comes to PPC ad campaigns, with over 80% of businesses relying on it, according to TechJury data. No wonder there is such hype around paying for clicks. Let’s dive deeper into this topic!

Top PPC Sites According to the Research


 What Is PPC?

PPC (pay-per-click) is a digital marketing model where advertisers pay for published advertisements only when the users click on them. It is essentially a method of buying website traffic rather than attempting to “earn” it organically. The sole purpose of PPC ads is to direct users to where you want them to be. Primarily to your website or app, from where the users might perform some of the desirable activities, such as contacting the enterprise, subscribing to the services, or purchasing the products.

According to Valve+Matter statistics, PPC marketing can dramatically increase brand awareness by 80%. This means that buying your way into the search results leads to more conversions, and consequentially — more profit. It is a method especially useful for small businesses intending to break through the market. Realistically speaking, unless you are a mega-famous brand like Nike or Sephora, you can’t possibly generate enough organic traffic to your website without paying for clicks.

PPC is not the easiest concept in the world, and it does take quite some time to get a hang of it. The fact that it is omnipresent in the Internet world, all over social media portals, and SERPs, might make you feel more confident about it. And the fact that 75% of Internet users claim that paid search ads actually make it easier to find what they are looking for, might just make it all worthwhile (Clutch).

Top Reasons Why People Like Paid Ads

Source:  Clutch

The Mechanism Behind PPC Marketing

PPC mechanism is one complex, AI-driven, digital auction that uses keywords as the most valuable asset. Advertising portals, such as Google Ads, use the so-called real-time bidding (RTB) system, where advertising inventory is sold in a private automated auction, using real-time data. This automated system tends to display advertisements to relevant queries only, using matching keywords that have been previously “won” on a bid by advertisers. 

Basically, every time a user initiates a query on the search engine, it triggers a background auction process where advertisers automatically compete for a spot on the top of the SERP. The ads that display on the top of the page are PPC “auction winners.”

Paid Ads VS Organic Results

Source: WebFX

This bidding process is what makes PPC as complex as it can get, with keywords being the main characters in the story. You can start with setting up your account on Google Ads where you will be able to customize your campaigns based on location, product type, services, etc. Campaigns are then subdivided into groups, which include keywords and relevant ad content. The next important step would be to set a budget at a campaign level, and bids at the ad group or keyword level.

Budget, bids, and keyword auctions are not the only features that determine the faith of your ad positioning. Google, for example, considers ad relevance, and ad quality as equally important factors. So it is not all about the money! Your ad needs to relate exactly to the user’s query. It is all about making that click worthwhile for the sake of your budget, your potential customer’s time, and Google’s reputation.

Google Ads and Quality Score

According to Internet Live Stats, there are approximately 6.9 billion searches happening on Google every day. There must be a reason why this particular browser accounts for so much attention on a daily basis. Accessibility and reliability of Google search results are all part of the equation, and Google works hard to maintain them. Why? Well because maintaining users’ trust means maintaining users’ attention, and if you have advertisers to back that up, you are in for a serious profit!

Maintaining a good quality score on Google Ads implies a lower cost per click rate (CPC) and better ad rankings and placements within the SERP. By maximizing the quality score, you may swiftly reduce the advertising expenses and boost ROI (return on investment). Quality really pays off in the Google world!

If you plan to embark on the PPC journey (as you should), think about these three main factors that Google applies while estimating ad quality score:

  • Expected clickthrough rate (CTR): Ad click probability when displayed
  • Ad relevance: The degree to which the ad fits the users’ search intent 
  • Landing page experience: The relevance and usefulness of the ad’s landing page to the users that clicked on it.

All things considered, you must not forget that Google doesn’t pay your bills, customers do! So put their needs first! Ask yourself some of the essential questions before you kick-start your campaign:

  • What is your client profile?
  • What are their weak spots?
  • How does your product solve clients’ problems?
  • What makes your clients go from click to close?

The Three Main Factors that Determine Quality Score, According to Google

Source: Stay Update Online

 How Remarketing Works in Adwords?

According to the stats from BloggingX, remarketing ads have an approximate 10x higher click-through rate than typical display ads. Stalking your customers just makes so much more sense now! It is a great way to convert bouncing rates into conversions, reinforce the brand’s reliability, gain more exposure, and earn clients’ trust. Remarketing strategy could also be implemented in your PPC campaign as a powerful ally.

Remarketing mechanisms utilize cookies to implement a special tracking code into the browsers of the website visitors. The code will be used later on in the process to retarget the same visitors via Display and Search Networks. For Google Ads specifically, this code is commonly known as tag or pixel, and all you would need to do is upload it to your site, choose your retargeting parameters, and let the algorithm do its magic. Previous visitors will then be able to stumble upon your ads via other sites while watching YouTube videos, or reading news, for example. This will keep your brand at the forefront of their minds and motivate them to return for more.

The “creepiness” of remarketing is a common concept. Numbers on the other side prove that they are just not creepy enough since stats claim that more than 60% of the customers find them interesting, as they are relevant and appeal to them personally (BloggingX). You do the math!

Remarketing Steps

Source: WordStream


Your Google Ads Budget Basics

Bear in mind that building a business is, after all, an investment. You have to spend money to make money. According to the stats from PowerTraffick, businesses gain an average of $3 in revenue for every $1.60 they spend on AdWords. Almost a double! Let’s talk details!

A budget for Google Ads campaigns refers to the amount of money you spend daily for a period of 30.4 days (basically a month). While your daily budget may alter, the total amount you spend will never exceed your overall monthly budget.

When it comes to bids and keywords, Google Ads Keyword Planner is all that you need in order to select the right keywords for your campaign. This tool has all the info you need to know about the relevant keywords: average monthly searches, competition strength, and suggested bid amounts. When it comes to choosing the right ones, stay close to the suggested bid amount, and consider your product cost to estimate your possible conversion rate. Running test campaigns is the best advice for rookies!

Google Ads Keyword Planner Results for Web Design Campaign

Source: WebFX

It might be difficult to predict how changes in your budget will affect your overall performance (it always is), but we will tell you a little secret – Google Ads Traffic Estimator. Simple as that! This tool is always a few steps ahead as it can estimate how many clicks you can approximately generate with relevant budget plans.

Google Ads Traffic Estimator Dashboard

Source: WordStream

How Much Do My Competitors Spend on Ads?

It is hard to get exact numbers, but a close estimation will do. PPC mechanism is still auction-driven, which makes your competitors’ budget equally important. 

You can spy on them with the Google Ads Auction Insights report. This report will show you how you stack up against other advertisers across your whole account, a single campaign, or an ad group. Stalking your opponents can give you an insight into how much traffic they receive, and what is their overall success rate. Comparing your results can give you a rough estimation of how much they might spend on ads. You are welcome!

Google Ads Auction Insights Report

Source: Store Growers

The Bottom Line

If you are not on Google, you practically don’t exist! On average, people use Google search at least 3 to 4 times a day, according to Single Grain. The complexity of Google’s practices can discourage just about anyone but bear in mind that Google is growing and improving every day. This constant urge for evolution has welcomed so many practical and easy-to-master tools to the market. But if this pace is too fast for you, slow down and invest your money in test trials. It is better to be safe than sorry. Or just get in touch with our PPC professionals at GWM. We will be happy to help!

Oh, and don’t forget about your audience! They are the ones that keep all algorithms moving. Check where they hang out, and make their clicks memorable.

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