Hello People!

Today I will write about an amazingly effective advertising tool where you pay only when people actually see your website. In this issue I will concentrate on Google Adwords as Google has majority in the search industry these days.

What is it all about?

To support and enhance your SEO, the three biggest search engines offer an opportunity of pay-per-click advertising. This is a special form of online campaigns where you pay just when people click on your ad so that they are directed to your webpage. Your ads will be shown always your campaign keywords are looked for in the search engine, however, you do not pay for these impressions, you pay just for the clicks your ads receive.Google Adwords Fundamentals

Launched in 1998, the Google Adwords Program is now the leader in the pay-per-click search engine industry. Contrary to its competitors, Google doesn’t list ads by only considering your bid or Cost-Per-Click (CPC). Google also checks if your clickthrough rate (CTR) is high:

Number of clicks your ad received
CTR =
Number of times your ad is shown (impressions)

High CTR = 1/20 = 5.50 %

Low CTR = 1/2000 = 0.05 %

It means that with traditional pay-per-click search engines, you have to bid more than your competitors if you want to get ranked first. With Google, you also have to get a higher CTR as your position is determined by multiplying your CTR by your CPC: Position = CTR × CPC.In few words, it doesn’t matter how often your ad appears and how much you pay. The key thing is that people have to click on your ad. Therefore your key phrase or keywords have to be relevant to the search. If your keywords achieve at least 1.5 % CTR, it means that they are relevant.

Google Account StructureIt is important to understand the structure of your Google Adwords account when creating particular Google Adwords campaigns. Namely there are three levels in your account, as you can see here:

Your Account – Campaign – Ad Group Ad(s) KeywordsThe first one, Your Account – there you have set your email address, password and billing information. Within each Campaign, there are particular settings common for all its Ad Groups, such as the daily budget, geographic and language targetting, distribution preferences and end dates. On the third level you create ad variations and keyword groups which are stated just for that Ad Group.

Other Google Adwords fundamentals you need to know to run your campaign successfully:

1. Only the top 8 ads are shown on the first page.

2. You must achieve at least a 0.5% CRT to maintain your campaign active.

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