How does Google Ads work?
Google Ads, formerly Google AdWords, is a tool that allows companies to place their ads on the Google search engine and partner sites. Google Ads advertising campaigns are based on the keyword system. That is, companies choose the words for which their ads will be displayed during a Google search.
To understand how Google’s online advertising tool works, there are 4 main aspects to consider:
- Pay per traffic. You pay only for traffic to your website, i.e. for the number of clicks that users make to your ads. This is called cost per click (CPC).
- Competition. Your company competes with other brands that are also advertised on Google using the same keywords.
- Cost control. You have full control over the costs. There is no minimum or maximum budget, but it is recommended to allocate at least 300 UAH daily for positive results.
- Campaign optimization. Continuous campaign optimization allows you to effectively reduce advertising costs. The more accurately ads match the user’s query, the higher the quality of the score, which leads to a lower cost per click and an increased return on investment.
The bids set by the advertiser participate in an auction between other advertisers using the same queries. The ad with the highest bid gets the highest position.
Google takes into account not only the set bids. The system also evaluates the quality of the ad, the resource itself, and the relevance of the page to the key phrase. Therefore, to get a high position in Google search results, it is not enough to simply pay more than your competitor – you need to work on the quality of your website and landing page, and write relevant and attractive texts for your ads.
