Table Of ContentExam study guides
Fundamentals
Introduction to AdWords
Account management
Campaign and ad group management
Keyword targeting
Language & location targeting
Ad formats
Budgets and bidding
Measurement and optimization
Performance, profitability, and growth
Managing multiple accounts
Fundamentals PDF Download
Introduction to AdWords
Understanding AdWords
Advertising on Google AdWords: an overview
How AdWords works
Build your online advertising vocabulary
How Google search results differ from ads
What to track based on your advertising goals
How costs are calculated in AdWords
Understanding ad position and Ad Rank
Understanding the Google Network
The Google Network
About the Google Search Network
About the Google Display Network
Where ads might appear in the Display Network
About contextual targeting
Advertising on Google AdWords: an
overview
Tip
New to AdWords? Register for our Online Marketing 101 course to maximize your business online.
AdWords, Google's online advertising program, lets you reach new customers and grow your
business.
Choose where your ad appears, set a budget you're comfortable with, and measure the impact of
your ad.
There's no minimum spending commitment. You can pause or stop anytime.
Get started at https://adwords.google.com.
Reach people as they search for words or phrases (which we call keywords) or browse websites with themes
related to your business. Your ad can appear on Google and its partner websites. With cost-per-click (CPC)
bidding, you're charged only when someone clicks your ad.
Your
ads
appear
beside
relevant People
click
on
your
ads And
connect
to
your
business
content
Watch
this
video
What is AdWords?
An introduction to AdWords. Learn how Google's powerful online advertising tool can help you reach new
customers and grow sales. Learn more about setting up your AdWords account at http://goo.gl/xjIDp. Subscribe to
AdWords Help on YouTube http://www.youtube.com/learnwithgoogle
Benefits of advertising with Google AdWords
A few important things set AdWords apart from other kinds of advertising. Using AdWords, you can:
Reach
people
at
the
precise
moment
they’re
searching
for
what
you
offer
Your ad is displayed to people who are already searching for the kinds of
products and services you offer. So those people are more likely to take
action.
You can choose where your ad appears -- on which specific websites and in
which geographical areas (states, towns, or even neighborhoods).
The Google
Display
Network (GDN) alone reaches 80% of Internet users in
the US.
Control
your
budget
With cost-per-click (CPC) bidding, you’re charged only when someone clicks
your ad, not when your ad appears. There are a variety of bidding options you
can choose from.
You decide how much or little you want to spend monthly, and you’ll never be
charged more than that amount.
There’s no minimum spending commitment.
See
exactly
what's
working
in
your
ad,
and
build
on
it
View a report of how your ad is doing -- see how many new customers
connect to your business from your ad, where they’re coming from, and more.
Use AdWords tools to edit and improve your ad, and increase the number of
potential customers who contact your business.
Example
Let's say you run a bicycle repair shop near Boston. Set your ad to appear to customers in just that
location, and when someone living or visiting there searches Google for "bike repair near Boston," they
could see your ad and click it to connect to your business.
It's simple to get started, and it's easy to pause or stop. No strings attached.
How AdWords works
To understand how AdWords works, it's important to familiarize yourself with some key building blocks --
like keywords, placements, Ad Rank, bids, and Quality Score.
How keywords trigger your ad to appear
Keywords are words or phrases you choose that can trigger your ad to show on search and other sites. For
example, if you deliver fresh flowers, you could use "fresh flower delivery" as one keyword in your AdWords
campaign. When someone searches Google using the phrase "fresh flower delivery" or a similar term, your ad
might appear next to Google search results. Your ad can also appear on other websites in the Google
Network
that are related to fresh flower delivery.
Tip
By creating a list of keywords that are relevant to your product or service, and making sure they're
specific rather than general (for example, "fresh flower delivery" rather than simply "flower"), you
typically can show your ad to the people who are most interested in your product or service. This
improves your ad's performance and helps your advertising dollars go further.
Placements: Advertising on non-search websites
Keywords can trigger your ads to appear next to search results on Google and other search sites. But keywords
can also trigger your ads to show on other sites across the Internet -- Google-owned properties like YouTube and
Google's partner sites like NYTimes.com or Families.com, for example. We call these "placements." A placement
can consist of an entire website or just part of a site. And these websites are all part of what we call the Display
Network.
Google can automatically determine where your ads appear by matching your keywords to websites in the Display
Network. Or, if you'd like greater control over where your ads appear, you can pick specific placements yourself.
You can set bids for each and choose the sites where your ads might appear.
Ad Rank: How Google determines which ads appear in which positions
Now let's suppose that multiple advertisers use the same keyword to trigger their ads or want their ads to appear
on the same websites. How does Google determine whose ads will appear and in which order? It's done
automatically, based on what we call Ad
Rank.
Your Ad Rank is based on a combination of your bid (how much you're willing to spend) and your Quality
Score (a
measurement of the quality of your ads, keywords, and website). Depending on where your ad shows and the type
of targeting that you use, the formula for Ad Rank can vary a bit, but it always incorporates bid and Quality Score.
We'll go into more detail about Quality Score below; the important thing to know here is that the quality and
relevance of your keywords, landing pages, and your ad are every bit as important to your ad's rank as the amount
you're willing to spend.
A bit about bidding and Quality Score
Your bid and Quality Score can work slightly differently across different campaigns types. Here are a couple of
examples to help illustrate.
With a keyword-targeted ad on Google and its search partners, your bid would be your maximum cost-per-click
bid -- the maximum amount you're willing to pay for each click on your ad. Your Quality Score is based on the
relevance of your keywords, the quality of your landing page, your ad's clickthrough
rate
(CTR), adjusted for its
position on the page, and a few other factors.
In the case of a placement-targeted ad on the Google Display Network using Cost-per-thousand
impressions
(CPM)
bidding bidding, your Quality Score is simply based on the quality of your landing page.
There are a number of variations, but the general themes are the same.
At the end of the day, what you pay
You'll always pay the lowest amount possible for the best position you can get given your Quality Score and bid.
To find this amount, Google looks at the Ad Rank of the ad showing in the next position (for example, for ads
appearing on a Google search page, this would be the position just beneath your ad), and only charges you the
lowest bid amount that would have beaten that ad's Ad Rank, rounding up to the nearest cent. So regardless of
your bid amount, you'll only pay the minimum that's needed to beat the advertiser below you.
Build your online advertising vocabulary
New to online advertising? Before you start advertising with AdWords, you’ll want to build your online
vocabulary. We’ve teased out 6 essential terms for new advertisers like you. Since the terms here build on
one another, try to read them in order. When you’re done, you’ll see the terms put into context with a
fictional kayak rental company in California.
This illustration gives an example overview of how AdWords works. Match the numbers in the picture to the terms
below to learn more about them.
1. Search
phrases:
Words or phrases that people use when searching online. The essence of the information, products, or services
they want to find. Also
referred
to
as:
search
terms
and
search
queries.
2. Campaigns:
Your plan to get your ads to the people who are most likely to want your offerings. Campaigns combine the
following elements to help your ads show to the right people at the right time:
Keywords: Search phrases you think your customers may use when searching for something related to your
offerings.
Ads: Your unique messages about your goods, products, or services. It can be text, image, or video so long as
you describe your offering, include the key selling points, and tell customers how to respond.
Targeting methods: Conditions for when to show your ads such as location, language, and so much more.
3. Organic
vs
ads:
Google splits search results into two types of lists:
Organic: List of websites that match someone’s search phrase. No one can pay to have their website show up
in these results.
Ads: List of ads that match someone’s search phrase. Advertisers can pay to have their ads show based on
the keywords and targeting methods they’ve chosen and the ads they’ve created. Ads
are
also
referred
to
as:
paid
results.
4. Impressions:
Number of appearances your ad makes on a website, mobile app, or anywhere else the ad happens to show. It’s a
unit of measurement, like magazine advertising has numbers of copies sold. Also
referred
to
as:
ad
impressions
5. Avg.
CPC
or
average
cost-per-click:
The average price you pay each time someone clicks on your ad. Avg. CPC is useful when you want to compare
the performance of different keywords, campaigns, ads, etc. Also
referred
to
as:
pay-per-click.
[ Avg. CPC ] = [ Cost ] / [ Clicks ]
6. Landing
pages:
A web page where you send customers after they've clicked on your ads. It should include the same details,
selling points, and promotional information as your ads.
How Google search results differ from
ads
When people search on Google for something they want, they find two types of results: search results and
AdWords ads. Search results appear as links on search results pages and aren't part of Google's
advertising programs. AdWords ads appear under an "Ads" label and may be placed in several locations
around the free search results.
1. AdWords
ads
Where
they
appear: Typically along the edge of the page (like the top, side, or bottom)
How
they’re
matched: Google matches ads to a person’s search based on how closely the search matches
your keywords and campaign settings
How
they’re
ordered: Ads are ordered based on a combination of cost-per-click (CPC) bid and relevance
If you're not already an AdWords advertiser but would like to show ads here, you can sign up on the AdWords
homepage.
2. Search
results
Where
they
appear: Usually on the middle of the page
How
they’re
matched: Google matches sites to a person’s search using information like text on the page and
Description:AdWords, Google's online advertising program, lets you reach new customers and .. Sign in to your AdWords account at http://adwords.google.com.
