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Understanding The Basics Of Google Adwords

Updated on June 24, 2013

What is Google AdWords

Google AdWords is a PPC (pay per click) advertising product of the Google INC.

It is said to be the primary source of revenue to the company.

Basically PPC is an internet advertising model that is mostly used by various firms that advertise their products on the internet.

The host is the site where the ads are placed. The advertiser pays the hosts' per click.

The most popular PPC providers are Google AdWords, Microsoft adCenter, Yahoo Search Marketing.

The idea was originally conceived by Billy Gross from the Idealabs. Google intended to buy the idea but just couldn't get the deal thru. The idea was slightly modified by Google and they started Google AdWords in the year 2000.

Billy gross originally borrowed the idea from Yellow Pages. This action of Google resulted in a legal tussle between Billy Gross and Google. But it was sorted out by Idealabs.

Basically the ads are either placed on the popular Google search engine or either of its national or local servers (such as their regional sites, under the banner sponsored links. Whenever a user or a prospective customer clicks on the link the company has to pay Google AdWords per click.

The ad can be anything from a two line text ad, or an image ad, banner ads or even an in page video ad. The costs vary depending on the type of ads.

Now-a-days this affair of placing and maintaining the ads has become very complicated, thanks to the severe competition that exists in the market. To overcome this complexity many companies hire a search engine marketing agent or even agencies that do the jobs for them.

Google has also started the Google advertising professional (GAP), which is a certification to the agencies that help companies do search engine marketing. Along with this Google AdWords provides users with software to manage AdWords accounts.

It is called the AdWords editor.

Initially MySQL technology was used to implement the service. But later Google shifted to professional database Oracle. But thanks to the speed they have shifted back to the MySQL database.

Initially Google AdWords had to face many complaints, suits, etc., for this service they even had to settle a US $90mn suit for click fraud. So following all these legal hassles Google has implemented strict measures in advertising so that they many not run into trouble.

One cannot place an ad that contains a trademarked name or symbol. Any reference cited to illegal activities, or gambling, hacking etc are strictly prohibited. This feature of banning adverts of trademarked stuff was implemented in 2004.

One also cannot advertise student essay services. This was banned in 2007 much to the delight of many universities. Google AdWords used to allow the link to land or be redirected to another landing page. But as of April 2008 Google has stopped this process.

Till date Google AdWords is the leading PPC advertising product in the market, as Google is the leading search engine. Google enjoys almost 70% of market share, way ahead of Microsoft's live search and Yahoo search. In 2012 Google INC. Earned billions from this service alone.

Here Are The Basics To Google Adwords

As far as online marketing tools go, Google Adwords, is certainly among the more powerful and innovative ones.

While it isn't the only one, it seems to be creating waves with its host of features that allows its users to customize an effective marketing campaign according to their needs. More and more people are realizing the benefits of using Google Adwords and it is fast becoming the most preferred internet marketing service for pay per click advertising.

Getting Started With Adwords

Getting a Google Adwords account is as easy as setting up an e-mail account.

Directions are provided for beginners and they are very simple and easy to understand. If you already have an e-mail with Google, you can use that to access Google Adwords.


After that you choose your advertising program. You can either go in for a 'Starter' or 'Standard Edition'. Select your language preference, input your credit card details for future billing, pay the initial fee of $5, and you are now ready to create an ad with Google Adwords.

Making Ads on Google Adwords

When making ads on Google Adwords, you begin by typing the headline. The headline should grab the attention of your target audience and fit within a maximum of 35 characters. This is followed by a brief description of your products and services. And when we say brief, we mean brief.

You have only 25 characters and you have to put them to the best possible use. Then, you have the last line of the ad. It has to be something that draws visitors to your website, the URL of which will be added at the end of the ad.

Selecting Appropriate Keywords

When you make an ad on Google Adwords, you are allowed to target certain keywords and key phrases. Normally, one has to invest some time into researching the precise keywords that are best suited for your business.

Google Adwords has an option that also allows you to control the extent to which you want your keywords matched to the ones entered in search engines. For e.g. if your keyword is 'garden soil', you can make it match to phrases like 'buy garden soil' or 'good quality garden soil' too.

Add Negative Keywords

You should also add negative keywords, so that your ad does not comes up in search results when someone types that word. For instance, you do not want people looking for 'discounted garden soil' or 'free garden soil' to land at your site.

Therefore, you include the negative keywords 'discounted' and 'free' in your specifications so that anybody looking for discounts or freebies on garden soil does not chance upon your ad.

These are but the basics of Google Adwords, and as time goes on, you are bound to learn more and more about making the best Google Adwords campaign for your business. It is definitely not easy and there is a learning curve involved.

But once you have learned the tricks of the trade, you will be able to derive maximum benefit from this service.


Google Adwords the Good and the Bad

Of all the pay per click services offered on the internet, Google Adwords is, by far, the most popular and effective.

The popularity of Google Adwords comes from the search engine, Google, being so popular.

If you have a business, you can use Google Adwords to your advantage.

Very soon you will discover why it has earned the distinction of being the best pay per click advertising campaign in the world.

Your business can benefit in several ways if you make use of Google Adwords. To begin with, you can generate almost instantaneous traffic with it. This is one of the main reasons why people all over the world prefer Google Adwords over other services.

Once everything else in place, you can soar to the top rankings on major search engines in a matter of minutes.

Your Traffic Is Already Qualified

In addition to this, the traffic that is diverted by the Google Adwords campaign is already qualified. The Adwords campaign targets specific keywords and only people who are interested in these keywords will click on your ad.

They are interested in the products and services you have to offer either directly or indirectly. So, the traffic that comes your way is relevant traffic and there are higher chances that you may be able to convert them to customers faster.

Flexible Control Over Your Marketing Budget

Google Adwords also gives you great control over your budget, and you can make sure that they do not spiral out of control. Once you have decided on a budget and the maximum amount you are ready to for each click, you can take steps to make sure that you do not overspend or exceed it in any manner. Therefore, you are able to exploit the potential of your existing budget.

As with everything in this world, there is also a flip-side to using Google Adwords. You need to understand these so that you are able to utilize the campaign well and tap into the strengths without being too disappointed with its drawbacks.

You Need A Good Understanding Of Adwords To Get Results

In order for the Google Adwords campaign to be successful, you need to have some understanding of the service and be trained to use it well. It will not do if you try to execute the campaign with half baked theories and ideas. If you do so, Google Adwords will not be able to generate any profit for you.

In fact, you may end up spending far more that you will be able to recover. When using Google Adwords, be prepared to put in effort and a lot of patience into the success of the campaign.

Many Online Users Are Now Blind To These Ads

The paid ads are usually displayed at the top or right-hand side of the search engine result pages. The disadvantage in this is that most internet users hardly glance at these sponsored links and focus more on the organic search results featured in the middle of the page.

A lot of your potential visitors may never even think of glancing at your paid ad.

In spite of these drawbacks, Google Adwords remains an excellent pay per click service which can take your business to the next level.

It helps you tap into the great potential of search engines and use it in the best possible way to benefit you.

Have You Had A Good Experience Using Google Adwords, If So Let Us Know.

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    • sam.azgor profile image

      Sam Azgor 

      5 years ago from Bangladesh

      i did not try adwords yet :) but now i've been thinking about it

    • CarNoobz profile image


      5 years ago from USA

      Cool. I'll be looking forward to it.

    • matryx profile imageAUTHOR

      Ron Cripps 

      5 years ago from Australia

      Hi CarNoobz

      Another way you might consider when using adwords is to use the image ads only many people still pass them by making it a much cheaper alternative than the text based advertising.

      I have a video I will be posting on my main site very soon it is over an hour in length and will step you through the process of using image ads on Google.

    • CarNoobz profile image


      5 years ago from USA

      right, like by choosing low competition keywords, you can end up with a pretty low CPC. That's a good tip. Thanks

    • matryx profile imageAUTHOR

      Ron Cripps 

      5 years ago from Australia

      Yes you need to ensure you allocate enough funds to use Adwords correctly. Also keep an eye on what you are bidding sometimes you can get away with a lot lessas you do not always have to be the first ad seen.

    • CarNoobz profile image


      5 years ago from USA

      I mostly just use Adwords for the free keyword tool, but I've been thinking about running some ads to drive traffic to one of my blogs later this year (when I have the money lol).

      Thanks for an insightful intro hub.


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