Used effectively Pay-per-click (PPC) advertising can be a critical component of a highly successful marketing strategy. AdWords, the "Sponsored Links" that appear to the right of the main search results on Google, offer small businesses in particular a relatively low cost and flexible way to pitch their wares and generate traffic to their web site.
Find out how Google AdWords work and determine if they are right for your company:
Essentially, the Google AdWords pay-per-click (PPC) advertising service allows users to create their own ads, after paying a small account set-up fee. The ads then run in the "Sponsored Links" column alongside regular search results. Businesses pay when someone clicks the ad and gets directed to their Web site.
In addition to charging for clicks, Google has adopted a bidding process, which allows customers to allocate funds for, or "bid" on, the keywords that they want to trigger their ad - much like bidding for an item on an online auction site such as EBay. The more funds allocated to a particular batch of keywords (or in Google language, "the higher the bid"), the more likely the ad will appear at the top of the sponsored links column. Users can control spending by setting a spend limit per day.
Once up and running, the ads will only appear when someone searches for the specific keywords or phrases that have been selected to be associated with the ad. Google AdWords offers a Keyword Tool that can help choose and assess the relevance and popularity of the chosen keywords. The more specific and targeted the choice of keywords is to the particular niche of the business, the more relevance the ad will have.
Local businesses can also "geo-target" by selecting to have ads appear only in certain metro areas, regions or countries - which can help keep the cost-per-click low.
Google Adwords can be very effective but as with any marketing tool the devil is in the details. Businesses need to monitor their metrics and make changes as they go. Keep refining the keywords and monitor the results. Google provides performance reporting that includes data on where the ads appeared, conversion rates, cost, and so on.
This data is every small businesses best friend because it lets them see who their ads run up against, what searches they are appearing in, and whether they are really getting your money's worth from those clicks. This takes a lot of guess work out of the process but does require dedicated monitoring.
Are Google Adwords right for your company?
Google AdWords and other PPC advertising services are not right for everyone. For example, if you offer a product or invention that is relatively new to market - consider whether potential consumers would even know to search for it?
But for most businesses - the sky is the limit when it comes to PPC advertising and when monitored and optimised regularly it really can complement any online marketing activities.
If you want to get started with Google AdWords, sign up an account with them at www.google.com.au/adwords and conduct an extensive keyword research related to your business. Good luck!
Top of page