According to internetlivestats.com ‘Google now processes over 40,000 search queries every second on average, which translates to over 3.5 billion searches per day and 1.2 trillion searches per year worldwide. The chart below shows the number of searches per year throughout Google’s history.’
With such a huge pool of users, paying and bidding on keywords for Google to advertise and promote your content on its search engine results pages (SERPs) is arguably the most widely used and active way of online marketing.
But as digital marketing becomes more and more popular amongst businesses and consumers, the competition for securing the top spots on SERPs is all the fiercer. Often the business with the deepest pockets that can afford a huge price for keyword bidding takes the number one spot. How do you compete in such an environment?
So, stick around and carry on reading this article by Ben Givon to learn the best tips and tricks to optimize the cost of your Google Ads campaigns.
First of all, what is Google Ads?
According to wordstream.com: ‘Google Ads, AKA Google AdWords, is Google’s advertising system in which advertisers bid on certain keywords in order for their clickable ads to appear in Google’s search results. Since advertisers have to pay for these clicks, this is how Google makes money from search. This infographic will help you understand how Google Ads works, detailing the Google Ads auction, bidding process and explaining important factors like Quality Score and cost-per-click.’
What is CPC?
CPC or Cost-per-click is the price you pay every time a user clicks on one of your PPC campaigns. For example, if a user clicks on your PPC ad that appears on Google’s SERPs then you will pay for that click.
What is PPC?
PPC or Pay-Per-Click, is a marketing strategy where advertisers pay a set cost depending on their Google Quality Score, a price for each time their ads are clicked on by Google’s users.
Basically, PPC is a marketing strategy whereas CPC is a marketing metric used to assess the performance of your PPC campaign and whether it is cost-effective.
The mean cost-per-click for Google Display Networks is usually one dollar or less. On the other hand, the average CPC for Google Search Network is around two dollars a month. It is more expensive on the Google Search Network because of the limited number or PPC ads on SERPs and everyone usually wants a piece of that cake.
Choose your keywords carefully…
If you are just beginning your Google Ads marketing campaign you should start conservatively. Pick a handful of relevant keywords and start bidding with a broad match. For instance, let’s say your campaign advertises and promotes Apple Macs, you could come up with a list of keywords that include the following terms “Apple Macs”, “Apple Laptops”, “Buy Apple Mac”. Using a modified broad match is most likely to be more costly compared to an exact match, however, this gives Google more room to display and expose your ads to a wider audience and more general search terms.
Be smart when it comes to setting up your ad campaigns
According to Ben Givon, the best approach to tackling your ad campaigns is to allocate a single keyword to each ad group and a single ad group in each ad campaign. You may be asking yourself ‘but wouldn’t this method be somewhat unorganized? You are right to be asking this question but let me explain why this approach is a good idea.
- When using Google Ads, it is common to set a budget every day at the campaign level, meaning that this type of categorizing gives an advertiser greater flexibility when it comes to his or her ad spend and budget. Google Ads is pretty much an online auction, which means that to gather more impressions and clicks you will eventually need to bid more. So, if you have each keyword assigned to a separate campaign it will make it easier for you to tailor your ad spend and bidding budget according to which keywords are delivering the best results. Whereas if you had all your keywords bunched in the same ad group and the same campaign it would be very difficult to do so.
- Your Google Quality Score relies heavily upon your keywords so having individual ad groups for each keyword is a good idea because it prevents your entire Quality Score being compromised by keywords that aren’t performing well. If you have everything grouped into separate ad groups, it can make it a lot easier to manage.