Google ads (formerly Google Adwords) is a heavily used traditional channel within digital marketing. Since the spending can reach considerable amounts, our clients rightfully ask us many common questions.
That’s why we decided to come up with a Google Ads FAQ! Let us shed some light on the topic, starting with some background on Google Ads, as always.
Google Ads – The Essence
As you know, Google is mainly a search engine. A very trusted one! It works so that when you search for a query, it comes up with search results based on its complex algorithm.
There are ten highly relevant websites listed on each search results page, along with Google My Business listings and Google search ads. Usually, there are three ads spaces placed on top of organic results.
So, when you publish a google search ad for a given keyword, depending on the competition, you start showing up on one of these ads spaces on the Google search results page.
From a consumer perspective, ads are effortless. They look really sharp; the experience is brilliant etc. But from the business owner’s and advertisers’ point of view, things might get complex.
Because let’s face it, business owners won’t be patient, and often they don’t want to spend a fortune on ads. When it comes to advertisers, publishing an ad requires significant theoretical knowledge and experience.
Google advertisers take 3-6 certification courses, prepare for exams and renew their ad certificates. The process takes about a month, even for an experienced advertiser.
Google Ads Most Common Questions
Now that we laid some background on Google ads let’s continue with our Google Ads FAQ!
Questions from our clients or prospects vary from budgeting to the quality of leads and the effectiveness of the ads.
Let us try to answer them right here, right now!
1- How Much Does Google Ads Cost?
To understand how your daily budget is spent, you should also get familiar with at least two terms: CPC and CPM.
CPC is short for cost per click and refers to what you pay each time someone from your target audience clicks on your ad.
Let’s say that you are selling organic cotton t-shirts, and we can set up your ads to maximise clicks to your product page. In this case, you will be paying $0.84 per click as seen in the screenshot. We call this your CPC.
To determine your Google Ads spending, we will have to figure out how many of those clicks will convert into an e-commerce transaction.
Let’s say that 20 clicks bring you one T-shirt sale; you will have to set up a daily budget of around $20.
But if your business goals are more towards the top of the funnel, in other words, you are more awareness oriented; then we can start talking CPM, cost per impression!
CPM shows us how much you pay when your ad makes 1000 impressions, usually in Google’s display or video ads.
In Australia, especially for small businesses $20-30 daily budget for a CPC campaign could be a starting point. But aim to spend around $100 if you want to see results faster.
2- What Are the Different Types of Google Ads?
In Google, there are three simple ad types: search, display and video. And then there are mobile app ads.
Search ads are reactive sorts of ads. They work when someone initiates a search for your given keywords. In return, we show them our ad copy and hopefully, they will click through and visit your webpage.
Display ads are good old banner ads placed on Google’s partner websites. We are talking about content sites in various niches that enabled Google Adsense for advertising income.
With recent developments such as responsive ads, display ads can work brilliantly for your funnel’s top and middle parts.
Video ads or YouTube ads are obviously the ads that you can show when your target audience is watching a video on YouTube.
These ads are very powerful but remember they would require rather professional videos as an ad creative.
3- How Does Google Ads Work?
It’s good to know that Google serves its ads by an auction method. Let’s say that there are ten advertisers bidding for the same keyword; whoever pays the most will serve its ads first.
Can you guarantee the top results in the search ads? Well, Google ads have that kind of option for advertisers, but when all advertisers choose that option, things get complicated.
So, in reality, it’s hard to guarantee the top position within the ads! But if your landing page is relevant along with your ad copy, your ads will be highly visible on Google.
4- Can You Get Quality Leads?
Let’s start answering this question by asking another common question!
Can we acquire good leads by using inbound marketing methods in general? Yes.
When it comes to Google Ads, it’s not so different.
Lead quality is tightly related to targeting. If your targeting is proper, even with a standard ad copy and creative, you can get excellent leads.
Today, Google Ads targeting might be pretty complex if you are a beginner advertiser. But as an expert Google Ads agency, we can laser-target your ideal prospects so you can focus on closing them into customers.
If you intend to manage your ads on your own, we strongly recommend you pay close attention to different targeting options in the Google Ads certification courses. If you get the targeting right, you can get results.
5- Why Do You Have To Pay Service Fee To Your Agency?
This is a must-have question for a Google Ads FAQ!
At Olivetree Marketing, we use a four-step process to run Google Ads:
1- Understanding the core business & research,
2- Coming up with an initial strategy,
3- Setting up the ads & measurement,
4- Ad maintenance and performance-boosting.
For most people, running ads simply refers to step number 3, but that’s the simplest step.
Our team spends enormous time understanding your business and its industry, strategising and performance-boosting.
In return, like every expert digital advertising agency, we are charging a service fee. It’s very cost-effective when you think of our ROAS.
If you have more questions, you can visit Google Ads’ official FAQ here, but don’t hesitate to give us a call at 1300 168 311; we will be happy to help!