What Is Google Ads - Former Google Adwords | Reflect Digital

Google Ads

Google Ads, formally known as Google AdWords, is a paid advertising service that operates across the internet


Google Ads Google Adwords

What is Google Ads?

Google Ads, formally known as Google AdWords, is the world’s most popular paid online advertising service and is brought to us by the world’s most popular search engine, Google.

Google Ads allows advertisers to create text, image and video ads to be displayed across the Google Search and Display Networks. For the majority of ads, advertisers pay on a pay per click (PPC)/cost per click (CPC) model. This means you only pay when a user clicks on your ad.

Google Ads determines how and where your adverts are shown through looking at a wide variety of criteria, including:

  • The keywords, or search terms, you want to appear for.
  • The user interests you want to target.
  • The user demographics you want to target.
  • The websites you want to appear on.

Where do Google Ads adverts appear?

Adverts paid for through Google Ads appear in different locations on the Google Search and Display Networks, depending on which type of advert they are.

In addition to this there are several different varieties of adverts. These fall into two broad categories:

Text Adverts

Text ads usually appear in search engine results. These adverts are designed to reach users who are currently searching for the services offered by the advertiser. Advertisers can choose where their adverts appear by specifying keywords they would like to appear for.

At a basic level, text adverts usually consist of headlines, descriptive text and the URL of the website. They can also be enhanced through the addition of extensions such as phone numbers and other descriptive information.

Display adverts

Display ads are primarily image and video-based adverts that appear on websites that are part of the Google Display Network. According to Google, this consists of over 2 million websites. These adverts can alsotext-basedased but tend to be more media-rich, often taking the form of videos, images and GIFs.

How does Google determine which adverts appear?

Every time a user makes a search query or clicks on a link to a website, Google executes processes which allow it to decide how adverts should be shown to the user.

An advert auction is used to determine which adverts to show and where they are shown across both the search and display networks. With the search network, Google uses Ad Rank to determine where the ad is positioned. It looks at factors including:

  • Your bid
  • Your advert quality
  • The context of the user’s search
  • Ad Rank thresholds
  • Expected impact of extensions and other ad formats

The Google Display Network differs slightly in how it calculates the impact of bid on your page position and may charge an additional fee for the use of audience targeting.

How much do Google Ads cost?

The amount that an advertiser pays for an advert is extremely varied and dependent on a huge number of factors. Google Ads allows you to set budgets at the campaign and ad group levels, along with a maximum cost per click you are willing to pay. This ensures you do not exceed your allocated budget.

There are several different bidding types that advertisers can use to tailor their bidding to specific marketing goals. Some of the most important ones are shown below.

Metric Purpose
CPC – Cost Per Click – Pay every time someone clicks on your advert. Generate clicks to a website
CPM – Cost Per Thousand – Pay for every 1000 impressions your advert receives. Generate brand awareness
CPA – Cost Per Acquisition – Pay per click, but Google will set your bids to try and get as many conversions possible at the CPA that you set (how much you are willing to pay for a conversion). Generate cost-effective conversions
CPV – Cost Per View – Video adverts only, pay for views and other video interactions. Measure user video engagement


Useful Resources

https://support.google.com/Google Ads/answer/6146252?hl=en-GB

https://blog.hubspot.com/marketing/google-Google Ads-ppc

https://www.disruptiveadvertising.com/Google Ads/Google Ads-guide/

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