New mediadl adwords_intro

AdWords Overview

Google Confidential and Proprietary

Definitions Soup
Inventory available page slots for ads

Keywords terms entered in a search

Impression showing ad to a user

Creative – the text/image that is shown

CPM Cost Per Mille (1,000 impressions)

CPC Cost Per Click

CTR Click Through Rate (= Clicks/Impressions)
Google Confidential and Proprietary 2

98% Revenue – „Sponsored Links”

Queries Ads Clicks Revenue
Revenue = Users * * * *
User Query Ads Click


AdWords
AdWords Ads


Google Advertising Auction

Speed
Not an auction that closes in 7 to 10 days –
Google auctions close almost instantaneously

Scale
A live auction is run for every single query –
every user, everywhere around the world

Quality
In addition to price, there s a consumer
component – critical for usefulness


How the Ad Auction Works
Ad Position is determined by...

Relevance Willingness to pay
Ad rank …
Quality Score X Max CPC = which denotes
ad position

Quality Score is Max CPC is the highest $
determined by a amount an advertiser is
combination of factors, willing to pay for one click
including: on their ad

•  Click-through-rate on •  Maximum CPC bids are
Google.com (clicks used as an upper limit
divided by
impressions) •  Each advertiser pays
only the minimum amount
•  Keyword and ad text
required to maintain their
relevance
position
•  Landing page quality

Targeting: Sharpen Your Focus
Region City Radius Set Borders

Country, Regional, and City-level Targeting
•  Reach customers searching for results in geographic areas you choose

Customized Targeting
•  Reach customers searching for results in an area you define

Language Targeting
•  Reach users searching in a specific language, wherever they are*

*Marketer is responsible for translating ads into selected languages. Google Confidential and Proprietary 7

Practical Steps


Step 1
What do you want to achieve?


What Do You Want To Achieve?

Goals Metrics
•  Increase brand awareness •  Increase in sales
•  Educate a market •  Increase in page views
•  Gather market data •  Free trial of product
•  Influence decision makers •  Downloads of whitepapers
•  Capture qualified leads •  Webcast registrations
•  Sell product •  Event participation


Google Confidential

What Action Do You Want Your Visitor To
Perform?
•  New customer •  Email address opt-in
•  Subscriber •  Contest entries, downloads
•  Whitepaper downloads •  Shop locator PVs
•  Webinar, conference •  Coupon downloads; in-store
registration redemptions of online promo
•  Newsletter registrations


Google Confidential

What Value Do You Place On Those Actions?

•  Positive return on advertising spend (aka ROI)
•  Cost per customer acquisition
•  Lifetime customer value
•  Cost per call
•  Cost per Action

Value of Action % of visitors sent by
to you X AdWords that = CPC
perform action

$24 x 1.0% = $0.24


Google Confidential

Step 2
How to Achieve your Goals


Four Steps To A Successful Search Campaign

Identify your Select relevant

1 target user
2 keywords and
group by goals

Measure results Test messaging
4 and costs
3 and keywords


Google Confidential

Step 1 Identify Your Target User

15
Google Confidential

Step 2 Keyword Selection

•  Jet ski
•  Jet ski break
jet ski holiday •  Jet ski breaks
•  Jet ski holiday
•  Jet ski holidays
•  Barbados jet ski
•  Water sports
•  Caribbean water sports
•  Fun activity break
•  Water sports course
•  Water motor sport
•  etc…

16
Google Confidential


jet ski chamonix
jet water ski pic
ski
naked jet ski movie
james bond jet ski
used jet ski
abrasive water jet
water sports
water sports vacation
negative keywords
water activity
jet ski fast water sport
jet ski break motorboat fun
learn to jet ski barbados activity break
jet ski course
water sports jet ski


Google Confidential


Other Ideas

•  Product names
jet ski holiday, water sports course, learn to jet ski

•  Pluralize/Singularise
jet ski holidays

•  Spelling Variations
jetski, jet ski vacs, watersports


Google Confidential


Use the AdWords Keyword Suggestion tool

•  Look over the suggestions carefully
•  Pull out any irrelevant words
•  Look for negative keywords

Google Confidential

Step 3 Get The Right Ad For Your Keywords

jet ski holiday


Google Confidential


JET SKI: WATER SPORT: BARBADOS:
jet ski water sports barbados holiday
jet ski break water sports vacation barbados vacation
learn to jet ski water activity barbados breaks
jet ski course water sports break activity barbados
water sports jet ski water sports activity caribbean water


Google Confidential


Adopt Landing Page testing

Landing Pages Affect Conversions
•  Aim for a smooth landing
•  Land on a page specific to the product
•  Use similar language to your ad text
•  Make it easy for the user to act or purchase


Google Confidential

Step 4 Results & Costs

You control your budget in two ways:

1.  Select a maximum cost per click (max CPC) for your keywords
–  Never pay more per click than your maximum CPC

–  The minimum CPC for any keyword starts at £0.04p

2.  Manage your spending by setting a daily budget
–  AdWords controls how frequently your ad appears to keep you at or
below your desired budget


Google Confidential

Step 4 Results & Costs: Relevancy Matters

•  Ranking/Bidding
–  Ad Rank = Max CPC * Quality Score
–  Quality Score = Keyword CTR, Ad Text relevance, historical
performance plus other relevance factors

•  Improve your rank
–  Check the min bids for your keywords constantly
–  Always adjust min bids per keyword, not per campaign/ad group
–  Could you increase your bid or QS?


Google Confidential

Step 4 Results and Costs: AdWords Discounter

The AdWords Discounter minimises your costs by setting your CPC as
low as possible:
•  You pay only $0.01p more than the minimum necessary to maintain
your position on the page

Example Max CPC Advertiser Pays
*

Advertiser 1: $ 1.00 $ 0.76

Advertiser 2: $ 0.75 $ 0.51

Advertiser 3: $ 0.50 $ 0.11

Advertiser 4: $ 0.10 $ 0.04
min £0.04
* Assuming each advertiser has the same QS


Google Confidential

Step 3
How do I know it s working?


Measure Results & Revise Campaigns

•  Conversion tracking lets you see exactly what works
•  Customise by tracking multiple types of conversions: purchases,
sign-ups, leads, page views
•  No cost – free tool


Google Confidential

Questions?

mlorenc@google.com


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