Purchasing paid ads on Google is an effective method of small business marketing to increase web traffic and drive customers to your site. But Google Adwords campaign can be costly so how do you get the most value out of the dollars spent?
The best way to maximize your search engine marketing dollars is to understand how Google ranks each ad. Here are a few tips to understand and improve your Adwords results.
Understand the Basics First
Let’s start with the basics. There are two ways which your website will show up on a Google search page. It will be listed as a paid ad or as an organic listing. Google Adwords can be found on the top, right side, or bottom of any page.
If you wanted to purchase some online images to add to your website, you might type “royalty free images” into the Google search window. In the screenshot below, you see three Adwords ads listed on the top center column shaded in pink and 7 more ads listed in the narrower right-hand column. Most people never go beyond the first page of any search, so ads on Page 1 are the most likely to be seen.
If you move on to the second page of the search, you will find Adwords ads in the shaded areas at the top and bottom of the page (as shown in the screenshot below).
The best ad placement is at the top of the first page. Your ad rank is determined by the amount you bid for each click at the Adwords auction and your Quality Score.
Ad Rank = Bid x Quality Score
This formula rewards the highest performing ads with incrementally higher positions and prevents companies with deep pockets from dominating Adwords results. High Quality Scores are earned with a high click thru rate (CTR) and a low bounce rate.
- CTR is determined by the actual number of clicks on a given ad divided by the number of times the ad is displayed. The CTR is shown as a percentage.
- Bounce rate is determined by the number of times a website is visited for a short amount of time only on the landing page vs. longer visits and exploration on other pages of the site.
- Use the Google Adwords Keyword Tool to determine the keywords people are using to find your business’s type of products or services. Adjust your Adwords campaign accordingly to ensure maximum exposure.
- Look at your ad performance and make changes as they are needed. Look at what is working and what is not, then modify keywords, ad copy and landing pages to get better marketing results.
Remember, not all keywords are equal. Some keywords are more expensive than others. Taking time to find the keywords that apply to your small business will drive relevant traffic to your site and improve your quality score. Smart search engine marketing can help control and lower your costs while bringing better results.
Have you used Adwords for your small business? Let us know your personal experiences and any tips you have for getting the most out of Google Adwords campaigns.