Very few site owners take the time to decide on appropriate landing pages for each of their ads. Most point their ads to their home page. It is just as important to spend time on relevant landing pages as it was on a relevant keyword list that described a unique aspect of your services or products. If the user have to navigate your site to try and find what he was looking for he will leave just as quick as he got there.
Directing your ad to a specific landing page that contains the same contend as described by your ad has proven to be much more effective. In some cases it is even worth while to create a custom landing page that’s not in the normal navigation of your site. This page should then contain the relevant content that the user is looking for. For example it should answering the users question or providing a solution for his problem. It is also a good idea to add relevant links to some of your other products and services that the user might be interested in.
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Customize targeting is for advertiser with an audience in a specific geographical area. Your ad will only appear to people searching for results in the area you define. You can target an entire region or alternatively only a circular region around a point in that region. This is particularly useful when you only want to target a specific distance around your business location. Customize targeting is the third location targeting option under your “target customers by location” options.
With customize targeting you have three options. First you can choose to create a circle around a physical address or secondly you can choose it around a point that you select on a map. The third option is to enter or select multiple longitude and latitude points on a map to form a multi sided shape or polygon that can cover any area you like. It’s important to note that the boundaries of your multi point region may never cross.
Once you have created your customize targeted campaign you can update and make changes at any time and as often as you like.
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Your ads are targeted to reach a certain audience based on your chosen language and location targeting options. Google AdWords will then determine to show your ad based on the users Google domain, query entered, Internet Protocol (IP) address and language preference.
Google have over a hundred country specific domain extensions to which AdWords ads can be shown. The domain is the suffix attached to each web address for example Google.com for users in US, Google.es for users in Spain and Google.fr for users in France etc. Google also uses the location in the search query of the user to determine which ads to show.
Google can sometimes use the user IP address to determine his physical location. The users IP address usually get assigned by his Internet Service Provider (ISP) and are defined for a certain area. For example if a user in France uses the Google.com domain the user might see ads only targeted to France even though his not using the Google domain Google.fr.
The preference setting on the Google search page allows the user to set the language option in which he prefers to search. Google only displays ads targeted to that specific language option. If a user doesn’t specify his language preference, Google determines a default preference depending on the Google domain. For example the Google domain Google.fr will have a default language preference set to French. You must note that Google does not translate ads so if you write an ad in English and you target a Spanish user your ad will still appear in English.
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Your advertising cost on Google AdWords gets controlled through your daily budget and bids. Google also rewards you if you have a high quality account. Making it worthwhile to optimize your account as time goes on.
You can limit the amount you spend in each of your campaigns with your campaigns daily budget. This is the most you are willing to spend per campaign each day. Google provides you with a recommended daily budget to allow you to get the most impressions possible, based on you setting and other statistical data. You can also choose your ad delivery method, standard delivery and accelerated delivery. Standard delivery shows your ad evenly through the day and may not shown your ad at every occasion. Accelerated delivery on the other hand shows your ad as quick as possible till your daily budget is met. If you’re daily budget is low with the accelerated delivery option your ad might just show during a small portion of the day. Google may even “over deliver” your ad up to 20% more than your daily budget allows on a given day, but will never charge you more for the month than you have specified.
Your bid is the highest amount you are willing to pay for a click on your ad (CPC bid) or 1000 impressions (CPM bid). The ad group bid is the default bid that gets applied when no bid is specified for a specific keyword or site. Bids can be applied to ad groups, keywords and sites. In a keyword targeted campaign you can also specify a preferred CPC bid. This bid specifies the average amount you want to pay instead of a maximum amount.
There are two ways in witch Google automatically reduces your cost. Google does this with the AdWords Discounter and “Smart Pricing”. The AdWords Discounter works all the time and reduces your actual CPC cost to be lower than your maximum CPC bid. It calculates the lowest CPC bid to maintain your ad position on a page. “Smart Pricing” also works all the time and reduces the cost of keyword-targeted clicks when you advertise on the content network. If the click is less likely to turn into a conversion, such as a sale or sign up, Google automatically reduces the price you pay for that click.
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Your maximum CPC bid is different form the actual CPC paid per click and Google calculates it for each auction. The next example explains how Google calculates the actual CPC you pay for each click.
|
Advertiser
|
CPC bid
|
Quality score
|
Rank #
|
Position
|
CPC
|
|
A
|
$0.40
|
1.8
|
$0.4 x 1.8 = 0.72
|
1
|
$0.37
|
|
B
|
$0.65
|
1
|
$0.65 x 1 = 0.65
|
2
|
$0.39
|
|
C
|
$0.25
|
1.5
|
$0.25 x 1.5 = 0.38
|
3
|
$0.01
|
The table shows three advertisers running ads on the same page. Each advertiser has a different CPC and Quality score. The Quality score listed here are only for illustration purposes, this number is not visible in your account. The rank number gets calculated by multiplying the CPC bid with the Quality score. Advertiser A has the highest rank number. This means he gets position number one on the page. Next Google calculates how much to charge each advertiser for a click.
The actual CPC is the minimum amount needed to maintain a rank number higher than the next lower ad. This is one cent more than the amount that will result in a rank number that will cause the ad to appear in the next lower position. To calculate this Google divide the rank number of advertiser B with the quality score of advertiser A. The result is the actual CPC that would cause advertiser A’s ad to appear in advertisers B’s position ($0.36). Now Google adds one sent to put advertiser A’s ad in the top position. The same calculation is used to calculate the actual CPC for advertiser B. Notice that Advertiser A pays less that advertiser B for a higher position. This happens because advertiser A has a higher Quality score that advertiser B. Finally advertiser C only pay’s $0.01 because there is no ad appearing below it and Google simply charges the minimum bid for that keyword based on its quality score
If your keyword have a low quality score, Google sets a minimum bid for your keyword to enter the auction and trigger ads. If your CPC bid is lower than the minimum bid your keyword will be set to inactive. This means it won’t trigger any ads. The next example shows how Google calculates the actual CPC for as keyword with a low Quality score.
|
Advertiser
|
CPC bid
|
Quality score
|
Rank #
|
Position
|
CPC
|
|
A
|
$0.40
|
1.8
|
$0.4 x 1.8 = 0.72
|
1
|
$0.37
|
|
B
|
$0.65
|
1
|
$0.65 x 1 = 0.65
|
2
|
$0.14
|
|
C
|
$0.25
|
0.5
|
$0.25 x 0.5 = 0.13
|
3
|
$0.20
|
This example is the same as the previous one except for advertiser C with a low quality score of 0.5. Remember that a low quality score requires a minimum bid before a keyword can participate in the auction. In this case the minimum CPC bid for advertiser C is $0.20. Notice that because the rank number of advertiser C dropped the actual CPC for advertiser B was also been lowered.
To determine the position in witch your ads are likely to appear you can use the traffic estimator tool provided by Google AdWords. This tool only provides an estimate and may not match the actual performance of the ad.
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