How to Use Google Ads to Grow Your Business
Every day, people worldwide conduct over an estimated 8.5 billion Google searches for products, services, information, advice—pretty much anything they need. Health-related searches, for instance, average around 70,000 per minute, according to Google. And money-related topics consistently rank among Google’s most-searched subjects.
In many Google searches, the first results you see are ads (labeled as “Sponsored”). Sometimes those ads are for national brands. But more often, they’re for local businesses. How does this happen? What determines the ranking order? And how much does it cost?
The Google effect
Ranking at or near the top of a Google search for your business’s key products or services is critical. One way to achieve that is “organically.” That means getting top rankings in Google’s regular (unpaid) search results. High organic rankings are definitely possible—and preferable. But getting there takes time and ongoing SEO work.
Google Ads, Google’s proprietary online advertising service, levels the playing field. It gives businesses of all sizes and budgets the opportunity to compete for customers in the world’s biggest marketplace—on Google search results pages, as well as on websites and mobile apps that are part of the Google Display Network.
If you’re not yet using Google Ads, you may want to give this tool a closer look.
How does the Google Ads platform work?
First, let's talk about the basics of Google Ads. When you create a campaign on Google Ads, you'll choose the keywords you want your ad to show up for, the geographic location you want to target, and the amount you're willing to pay for each click on your ad. Then, when someone searches on Google for one of your chosen keywords and is located in your target area, your ad has a chance to show up at the top of the search results page.
Now, let's take a closer look at each of these elements.
Keywords: Keywords are the words or phrases that people type into Google when they're looking for something. When you create a Google Ads campaign, you'll choose the keywords you want your ad to show up for. It's important to choose keywords that are relevant to your business and that people actually use to search for what you sell. Google Ads provides a keyword research tool that can help you find the best keywords for your campaign.
Location: You'll also choose the geographic location you want to target. This can be a city, a region, a country, or even a specific radius around your business. By targeting specific locations, you can ensure that your ads are only shown to people who are actually in your target area.
Bidding: With Google search ads, you only pay when someone clicks on your ad (to go to your website), not every time the ad is shown. Google uses keyword bids (among other things) to determine where each ad appears in their search results. The higher the bid, the more likely your ad is to show up at the top of the first search results page. Fortunately, Google can automatically manage your bids for optimal traffic (while staying within your budget) if you’re not sure how much to bid manually.
Ad format: Google offers a variety of ad formats, including text ads, image ads, and video ads. It can even mix-and-match text and images for optimal results. This can be done automatically or manually.
The Google Ads auction
So, how does Google decide which ads to show on the search results page? It all comes down to an auction. When someone searches on Google for a keyword you're targeting, Google looks at all the ads that are eligible to show up for that keyword. It then calculates an “ad rank” for each ad based on the bid amount, the quality of the ad and website, and the expected impact of extensions and other ad formats. The ad with the highest ad rank is the one that will be shown at the top of the search results page.
It's important to note that even if your bid is higher than your competitors', you may not win the auction if your ad and website quality aren't up to par. This means that creating high-quality ads and landing pages is essential to a successful Google Ads campaign.
Measuring performance and tracking results
One of the benefits of Google Ads is that you can track the performance of your ads in real-time. You'll be able to see how many clicks and impressions your ads get, as well as how much you're spending on each click. You can use this information to adjust your bids and your ad messaging to improve your results. This is also known as “optimizing” your campaign.
Another advantage is that you may be able to track “conversions.” A conversion is a specific action that you want someone to take after clicking on your ad—such as requesting an appointment, making a purchase, filling out a form, or calling your business. By placing some code on certain pages of your website (or tracking phone calls), you’ll be able to see how many people clicked on one of your Google ads and ended up taking the action you want them to do.
By tracking conversions and assigning a value to each one, you can see the return on investment (ROI) of your campaign and compare it to other marketing channels. This can help you make informed decisions about where to allocate your marketing budget and how to achieve your business goals.
How much does it cost to use Google Ads?
The cost of a Google Ads campaign can vary widely depending on a number of factors, such as your industry, location, competition, and bidding strategy. There is no one-size-fits-all answer to how much a Google Ads campaign costs, but it's important to understand the different pricing models and factors that can impact your costs.
As mentioned earlier, Google Ads uses a pay-per-click (PPC) model, which means you only pay when someone clicks on your ad. The cost per click (CPC) can range from less than $1 to $10 or more, depending on the competitiveness of your keywords and the quality of your ads and website. (Don’t worry…you’ll also set a budget for your campaign so you can control how much you spend.)
To get a sense of how much you might spend on a Google Ads campaign, you can use Google's Keyword Planner tool to see estimated CPCs for different keywords in your industry. You can also look at industry benchmarks and competitor data to get a sense of what others in your industry are spending on Google Ads.
Your goals and the size of the geographic area you target will also determine how much to budget for Google Ads.
If you only need to bring in a handful of new leads or customers each month from just one metropolitan area, your budget could be lower—around $1,000-$1,500 per month.
If you’re in a highly competitive business and need to bring in lots of new leads/customers each month—but your service area is within one metro area—your Google Ads budget should probably be in the $3,000 - $5,000/month range.
If you’re in a highly competitive field AND need to target multiple cities or regions, plan on a five-figure budget.
More Google Ads tips
To get the most out of your Google Ads campaigns, here are a few tips to keep in mind:
Choose the right keywords: Take the time to research the keywords that are most relevant to your business and that people are actually searching for. Don't just go for the most popular keywords—focus on the ones that will bring you the most qualified traffic.
Write compelling ad copy: Your ads should be attention-getting, with a clear call to action. Make sure your ad copy is relevant to the keywords you're targeting and speaks to the needs and interests of your target audience.
Create landing pages that convert: When someone clicks on your ad, they should be taken to a landing page on your website that's optimized for conversions. This means the page should be relevant to the ad they clicked on, with a clear call to action and a design that's easy to navigate.
Monitor your campaigns regularly: Keep an eye on your campaigns to see how they're performing and make adjustments as needed. This might mean tweaking your bids, adjusting your ad copy, or targeting different keywords or audiences. Monitoring should be done daily, at least at first, for optimal campaign performance.
Test and iterate: Don't be afraid to experiment with different ad formats, targeting options, and landing pages. By testing different approaches and analyzing the results, you can find the strategies that work best for your business.
Ready to give it a try?
Setting up and managing campaigns can be complex, but the rewards are worth it. If you’d like to use Google Ads for your business, Bloom Marketing can help. Contact us today.
