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What is Google Ads and How Does it Work

Brandon Lincoln Hendricks



Brandon Lincoln Hendricks - What is Google Ads and How Does it Work

Believe it or not, using Google for advertising probably is the best way to benefit your business. Google owns about 75% of search engine share in the marketplace. Every day, people use the platform to search for whatever they need 3.5 billion times, which means that there are about 2.5 million searches occurring every second. It goes without saying that by using Google for advertising, you get lots of opportunities for your brand to be in front of people, such as increasing web traffic, conversions, leads, and sales.

What is Google Ads?

It, originally called Google AdWords, is the online advertising platform developed and provided by Google, where the advertisers pay to display their brief advertisements, product listings, service offerings, and video content. They could be placed in both the Google Search Network as well as the Google Display Network. For example, when the users search a keyword by Google, they get the results of their query displayed on the search engine results page, simply called SERP, which could include a paid advertisement targeting the keyword.

How does Google Ads work?

Google uses a pay-per-click advertising model, simply called PPC. PPC lets the marketers place their ads on a platform for advertising, and the marketers pay the host of the platform every time when their ad is clicked by the viewers. The aim of PPC ads is to lead the viewers by clicking it to the marketers’ website or their app where the visitors could perform a valuable action, like purchasing a product or service. The search engine of Google is an incredibly popular advertising platform, and Google operates its advertising service with real-time bidding, by which the advertising inventory is sold via a private automated auction by using real-time data.

Bidding & setting daily budget

The advertisers who target a specific keyword make the bids on the keyword to compete with each other. The bid you make is called the “maximum bid”. If the maximum bid that you have placed is more than what Google determines for the cost of per click, you will get the ad placement; otherwise, you will not get it. Alternatively, you could set the maximum daily budget for the ad, and you will not spend more than the amount set for the ad per day. In general, there are three options for the marketers to make their bids as following:

Cost-per-click; how much the marketer pays when a viewer clicks on the ad.
Cost-per-engagement; how much the marketer pays when a viewer completes a specific action on the ad, such as signs up for something, watch a video, or others.
Cost-per-mille; how much the marketer pays for per 1,000 ad impressions
Quality Score

Google takes the bid amount to pair it with the assessment to your ad, which is called a Quality Score. Higher Quality Score could lead to lower prices as well as better ad positions, according to Google. The number of Quality Score is between 1 – 10, and the higher, the better.

Ad Rank

As a rule of thumb, your Quality Score and your bid amount together create your Ad Rank, which determines the position where your ad will appear on the search results page. It goes without saying that the more users see your ad, the more possibly your ad gets clicked, and the more your ad gets clicked, the more possibly you could achieve your goal of advertising, such as making a purchase.

Types of Google Ads

Google provides a variety of campaigns for you to choose for your ads, but all of them fall in two category:

Search Network

The ad in Search Network comes out as a text ad on the results page brought by the keyword. These ads are the most common ads that you have seen. They come out in the search result page usually with the green symbol of “Ad” on it. Besides in the Search Network, you could also get your ads in Google Shopping. The benefit to use both is that Google Shopping ads could get qualified leads to showcase the product to customers directly.

Display Network

Google’s Display Network leverages its vast website partners to place your ad on various websites throughout the entire Internet with a wide variety of ways that they could appear. For example, your ad could come out on third-party websites; you could have a video ad coming out as a pre-roll with YouTube videos; also, Google let you advertise the ad on Google’s email platform, Gmail; and you could even have your ad coming out in the third-party apps that are on Google’s app network. The benefits of using Google’s Display Network is its wide reach.

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How to Target Google Ads audiences based on predicted purchase and churn metrics in Google Analytics

Brandon Lincoln Hendricks



Brandon Lincoln Hendricks - How to Target Google Ads audiences based on predicted purchase and churn metrics in Google Analytics
Most of your customers online are flooded continuously with numerous competing priorities at any given time. It is crucial then that you ensure that your advertisements are informative and customized to meet your target audience’s specific needs. It will help if you put as much emphasis on attracting traffic to your business and retain your customers through repeat sales.

To do this, you need critical information on your customer’s purchasing habits, interests, and general search intentions. This would not have been an easy fit in the past, but luckily, you have tools within your reach to help you achieve this and convert website visits into valuable leads. Google Analytics is one of the most popular analytics software that offers you information and resources that you can utilize to reach your target audiences and help predict future spending habits. Below are ways in which you can use it to grow your business:

Anticipate Your Client’s Needs

Google Analytics automatically takes digital records of your clients’ behavior while on your website. You get information on traffic into not only your site but also other habits such as how long they spent on each page and whether they made a purchase. This is a brilliant way of using previous behavior to predict future purchasing habits or lack thereof.

Repeat purchase ratio, for instance, is an excellent metric that informs you of the loyalty your clients have for your brand. It measures the number of customers who have come back to buy the same product or service and provides you with an opportunity to design your Google Ad campaign to meet their specific needs. You stand a better chance of converting visits to sales by targeting loyal customers with specific offers and discounts that reward this loyalty.

Geo-location Targeting

Targeting your clients based on their location about your business is one of the most effective ways to run your Google Ads to maximize sales conversion. Since you are spending money on advertising, it is in the best interest of your business to run your advertising campaigns. Identify locations where you are most likely to get the right clients, by studying the reports on where the clients who visited your site in the previous months or weeks live.

Determine who among them ended up buying from you; this will help inform your decision on which location to choose when designing your ad campaigns. You can achieve favorable results by advertising your products locally if that is where most of your clientele is as opposed to advertising overseas without a direct result in sales or return on investments.

Audience Targeting

Analyzing information on who among your site visitors is more likely to buy your product or service will enable you to target a specific audience through your advertising and increase your conversion rate to actual sales. These analytics offers you previous purchasing habits of your potential clients, which you can utilize to come up with Google Ads tailored to specific audiences.

Information on people searching similar products to yours and that of people who have interacted with your businesses before can help. You can decide on how to carry out re-marketing campaigns to ensure you achieve repeat sales and improve customer loyalty.

Device-based Targeting

It is essential to know which devices are used mostly by your past and potential clients to customize your website to be more responsive to these particular devices. The shift in recent times has been towards mobile devices as most of Google searches are done on smartphones and tablets. It is critical to creating a clear and easily accessible user interface on the devices that bring you the most traffic instead of being limited to the desktop.

Similarly, clients are more likely to make repeat purchases on your brand if you have made it easy for them to interact with your business. Given this information, customize your Google adverts to enable clients to make an order or call for more info only by a single click.

For example, analytics on the churn rate, which is simply the rate at which customers stop doing business with you, can offer great insight into the areas in your business that need improvement. If upon calling your business, for instance, the calls go unanswered or are dropped continuously, there are high chances that you may lose those clients. It is advisable to have a dedicated team to attend to clients’ calls resulting from advertising to ensure customer satisfaction and retention.

Demand-based Targeting

Apart from offering you information on your clients’ general purchasing habits, these Analytics are quite useful in determining the time between purchases. You will find gainful details regarding how long it takes, on average, for a specific client to buy from you again.

You can then utilize this information to roll out your ad campaigns periodically, depending on when a particular audience is most likely to spend money on your product or service. This has been proven useful, especially on recurring expenditures such as those that are subscription-based because you can aim to run your ads when your customers are most likely to make a purchase.

Demographic-based Targeting

Beyond your potential clients’ age and location, you can tailor-make your Ads campaigns based on a combination of two or more demographic attributes. In case your purchase metrics are high among a younger demographic using smartphones but show a decline among the older generation that mostly use desktops, you can make separate Google Ads based on products that meet these unique combinations of attributes. Churn metrics will also advise you on whether there is a need to improve or change your products to meet the needs of your targeted demographics.


Your businesses’ growth depends on your ability to attract customers and ensure that they come back again and again. Therefore, you need to stay visible and relevant so that you remain a constant topic of conversation among your clients. This way, they are more likely to refer you to their friends and acquaintances. Google Adverts makes it easier to reach them. At the same time, Google Analytics will enable you to predict your customer’s future spending habits and customize your products or services to be ready for change.

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The 10 Most Important Google Ads PPC KPIs to Focus On

Brandon Lincoln Hendricks



Brandon Lincoln Hendricks - The 10 Most Important Google Ads PPC KPIs to Focus On
Among the many benefits of pay-per-click advertising (PPC) is the provision for measuring ad performance over time. Through Google Ads, for instance, users can access various metrics called key performance indicators (KPIs) to analyze the success of their ads.

Having the right information often determines the success or failure of a marketing campaign. While the best metrics to use will depend on your marketing campaign, the following KPIs are among the most important for achieving success with Google Ads.


1. Impressions

For any ad to succeed, its target audience must first see it. Impressions refer to every time an ad renders on a viewer’s screen. While this KPI is not necessarily an indicator of how well an ad is performing, it reveals how many people view it. Since ads cannot succeed unless people view them, you should pay attention to your ads impressions, e.g. daily, weekly or monthly.


2. Clicks

This metric reveals the number of people who click on your ad. Since all conversions begin with a click, clicks can give early insight into the performance of an ad campaign. While it is not advisable to gauge the success of your campaign solely through clicks, you can use them to determine when to pause poor-performing ads or place more bids on well-performing ads.


3. Click-through Rate (CTR)

When people view your Google Ads, they decide whether to click on it or not. This metric only counts the people engaged by your ad, i.e. those who click on it and go to your website. A high CTR is a good indicator of a well-performing ad.

When measuring CTR, look out for ads with high CTR’s and outstanding calls to action or search terms to refine your marketing strategy for an even higher CTR.


4. Cost Per Click (CPC)

CPC is the amount advertisers pay each time their ads get clicked. Some factors that determine this cost include:

  • Quality score
  • Your maximum bid
  • The rank of other ads bidding for “your” keywords

Average CPC typically varies by business type and industry. For instance, competitive industries and businesses with higher-priced conversions have a higher cost per click. Always check your CPC to control your ad spend and traffic quality; otherwise, you may have a negative Return On Investment (ROI).


5. Cost Per Acquisition/Conversion (CPA)

Like CPC, you set your CPA when setting up your Google Ads campaign. CPA shows you how much you spend for each conversion you earn. While this cost should remain as low as possible, not all ad viewers convert after clicking, so the cost could be higher than anticipated.

Ideally, you want your payoff from each conversion to cover each ad’s cost, and have some money left over as profit. If the payoffs from the average conversion are not enough to cover your cost per ad, then your PPC campaign needs some serious adjustments.


6. Conversion Rate

When people click on your ad, they are redirected to a landing page where they are encouraged to perform specific actions, e.g. entering their email, making a purchase, completing a survey etc. Your conversion rate comprises of people who click on your ad, get to the landing page and complete a specific action.

Essentially, conversion rate measures the number of people who become customers after clicking on your ad. This metric is a good ROI indicator because the more your ads convert, the more money you make.


7. Average Position

This metric shows the typical ranking of your ad against other ads. Ad ranking determines the order in which ads appear on a page during a web search. To consistently get your ad on the first page of search results, ensure your ad ranks eighth place or higher.

While it is challenging to have your ad at position 1.0 all the time, averaging position 1-4 will secure your ad a place in the top half of the first page. Averaging position 7.5, on the other hand, will often show your ad at the bottom of the page.

Naturally, ads that rank higher have better chances of getting more clicks. However, do not despair if your ad averages seventh or eighth position, since you may still receive enough traffic and have a conversion rate decent enough to justify your ad campaign. Just do not expect your ad to receive as much traffic as first or second place ads.


8. Quality Score

This metric reveals your reliability in providing people with relevant information. For instance, if a person searching for running shoes clicks on your ad, and lands on a page about flip-flops, your quality score reduces.

However, if a person searches for running shoes, then lands on a page about sneakers after clicking on your ad, then your quality score will increase. A good quality score improves your chances of getting new customers, not to mention receiving discounts on ad costs from Google Ads because of your reliability as a quality source of information.

A good quality score can reduce your Cost Per Acquisition and boost your ROI. Quality score is represented on a scale of 1-10, and five is considered an average quality score.


9. Budget Attainment

This metric shows how close you were to achieving your predetermined budget. Despite the useful information this metric provides on the management of a campaign, most marketers hardly use it. Most marketers never spend within their budget allocations for each campaign because of inconsistent bidding and fluctuations in PPC auctions.


10. Lifetime Value (LTV)

LTV is a projection of the revenue specific customers will generate throughout their lifetime. This metric is a useful indicator of your marketing strategy’s overall health and can provide important information to take your marketing a notch higher.

Using Google Analytics, you can assess various LTV metrics like session duration, page views, revenue and transaction completion per user. The metrics you choose to assess should depend on your specific marketing and business goals. For instance, if you aim to drive more traffic, then you can track page views LTV.

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How Coworking Spaces Can Benefit from Using Google Ads

Brandon Lincoln Hendricks



Brandon Lincoln Hendricks - How Coworking Spaces Can Benefit from Using Google Ads

CoWorking space is fast becoming an essential aspect of most company’s cultures. It’s the practice in which different people assemble in a neutral space to work independently on diverse projects.

Even though coworking spaces offer the same amenities you would find in a traditional office, it gives entrepreneur flexibility. In other words, it eliminates the need to sign a long-term lease.

Since the concept of coworking is relatively strange to some people, several questions have been asked. One such question is​ how coworking spaces can benefit from using Google ads?

Google ads are one of the most effective forms of paid advertising. According to Wordstream, about 65% of all clicks from users who intend to make a purchase come from Google ads. Similarly, 46% of clicks from a particular keyword are from the top 3 paid advertising spots.

From the statistics above, it’s obvious that Google ads could be a game-changing advertising strategy for your business. When implemented correctly, it will increase sales, your online presence, and brand awareness.

Here are the 5 ways Coworking spaces can benefit from using Google ads…

#1. Help to Reach New Customers in Your Target Audience

The beauty of Google ads is that it puts your business in front of people passionately searching for what you offer. With your target keywords, Google ads can position you as a top search engine result ahead of your competitors.

For instance, if you are targeting coworking space-related keywords like “coworking in Texas,” Palo Alto meeting room,” “Seattle event space,” etc. Google ads will display your ad results for searchers looking for your designated keywords.

#2. Converts Customers

Irrespective of the number of traffic a paid ad drives to your website, the advertising effort is as good as useless if there are no conversions.

However, Google ads enable you to convert your website visitors into leads. From leads, you can then schedule a tour with them to close, from then into paying members of your working space.

Be sure that your Google Ads takes the searcher’s click to a landing page and not your website. Your landing page will encourage people to take the necessary next actionable step by way of your Call to Action button and lead generation form. The CTA depends on the particular ad’s objective, it could be booking a meeting room, schedule a tour, etc.

#3. Google Ads Enables you to Get Started Immediately

The fastest and arguably, the most efficient way to gain online presence is through Google ads. Once you can strategically set up your campaign, your brand will be visible to your target audience immediately.

#4. Grow Your Business Using Keywords

You can grow your business through Google ads using keywords. With this paid advertising strategy, you can easily educate your target audience about coworking and how it can help their businesses.

#5. It Gives You Control Over Your Budget and Target

Google ads enable you to set your budget limit. You can bid manually and set your maximum bid price. You can target individuals locally 10-20 miles out from your Coworking Office.

If you want to create awareness about your coworking space or get more people to become community members, Google advertising is one of the better approaches.

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