The complete guide for Google Advertising [2023]

What would you say is the most challenging part about managing your own company's marketing efforts as a small business owner? Some claim that it’s the lack of resources to execute a marketing plan, while others claim that they struggle to measure the effectiveness of their campaigns. However, what most small business owners can agree on, is that it takes constant effort to stand out in web searches.  

It is so important for businesses to be on the first page of search results in today's digital world. According to Google, 94% of their clicks happen on the first page of result pages. Google Advertising allows you to advertise and promote your products and services when users search relevant keywords. Using Google Advertising might be the best decision you make for your business to increase visibility, brand awareness, and conversions.

What is Google Advertising?

Google Ads (formerly known as Google Adwords), is an online advertising platform developed and launched by Google in 2000, where businesses and advertisers can create and display ads on search engines like Google search, mobile apps, videos, and Google search partner sites under a pay-per-click (PPC) pricing model. 

Using Google Advertising for your business, you can effectively reach people already interested in your products and services. You can choose your specific Google Ads goal: 

• generate more leads and conversions

• boost online or in-store sales

• raise brand awareness,

• promote your app and find new users

It allows you to create and change your ad campaign anytime, with no minimum spending commitment. Over time, Google Ads will also help you analyze and optimize your ads to reach more target audiences.

How does Google Advertising work?

Google Advertising remains one of the most popular and effective forms of online advertising. Google Ad Manager is Google’s service that allows advertisers to manage their Google Ad campaigns, they can create or edit their campaigns and ad groups, set up automated rules for ad placement, and so on. Here's how Google Advertising generally works:

1. Keyword targeting & bidding

Advertisers research and select specific keywords that are related to the products or services they want to promote. They decide how much they're willing to spend for each click (CPC) or a certain action (CPA) and then set a budget for their ads in Google Ad Manager.

2. Ad creation

Advertisers choose a campaign goal, campaign type, target audience and set up a budget in Google Ad Manager. If it is a text-based ad, it must include a headline, description lines, and a URL. Depending on the ad type, they can also include images, videos, or interactive elements.

3. Ad auction & display

When a potential customer searches for a keyword, Google's algorithm determines which ads to display based on bid amount, ad quality, relevance, and other metrics. Ads can be displayed at the top or bottom of the search results page, on various websites and apps within Google's Display Network, YouTube, Gmail, and other Google properties.

4. Performance tracking

Advertisers can track and analyze ad performance through the Google Ad Manager dashboard, which provides insights into metrics like link clicks, impressions, click-through rates (CTR), conversions, cost per action (CTA), and more.

Benefits of Google Advertising to business

Businesses and advertisers who wish to promote their products or services online or want to get noticed among competitors can benefit from using Google Advertising. Here are some significant benefits of Google Advertising:

Wide and precise target reach

Google Advertising allows you to target your ads to specific demographics, locations, languages, devices, and even specific times of day through its vast advertising network including search engines, partner websites, mobile apps, YouTube, and Gmail. This precision helps you connect and reach the right audience, and increase your conversion rate.  

Flexible budget with full control over your ads

Advertisers can set a budget for Google Ads campaigns, and only pay when someone clicks on your ad (pay-per-click). This ad pricing model is suitable for both small businesses and large enterprises. You have full control over your campaigns, from targeted keywords to the ad creatives you use, this allows you to optimize your campaigns effectively whenever needed.

Increase brand recognition and awareness

It becomes so important to have a presence on the world’s most popular search engine. By promoting your website on Google Ads, even if users don't click on your ads, they can still see your brand name and message, contributing to brand awareness and recognition organically.

This exposure and recognition are key to generating more leads and increasing conversions.

Maximize return on investment (ROI)

Google Advertising provides significant ROI for businesses, you can narrow down your target audience to only those who are most likely to visit your site and break down campaign costs to determine whether your ads are effective. You can also track and outperform your competitors’ ads, this allows you to analyze their strategies and adjust yours accordingly. 

Google Advertising vs. Facebook Advertising comparison

It can be difficult to decide between Google Advertising and Facebook Advertising. Deciding which one is the best for your business will rely on factors such as campaign goal, target audience, budget, and resources you have to handle the ad campaigns. 

In order to help you make an informed decision on how to grow your business using these advertising platforms, this table below explains the difference between Google Advertising and Facebook Advertising—the goals you can achieve on each platform, the average cost of ads, and the advantages of each in growing your business.

Types of Google Advertising Campaigns

Google Advertising offers various campaign types and ad formats, including search ads, display ads, shopping ads, app ads, and responsive ads. You can select one of five campaign types to set up and launch on Google Ad Manager.

1. Google Search Ads

Google Search campaign Ads are text-based ads that appear on Google's search results pages when users search for relevant keywords. They appear on the search result page with the black “Ad” symbol next to the URL.

2. Google Display Ads

Google Display Ads are visual ads (images, banners, videos) that appear on websites within the Google Display Network. They can reach more than 90% of all internet users to help ensure your ad gets in front of the most eyes as possible.

3. Google Video Ads

Google Video Ads appear on YouTube and other video-related properties. Video campaign ads come in a variety of different forms, such as pre-rolls, skippable video ads, unskippable ads, and discovery ads which you can find on the search results page through specific keywords.

4. Google Shopping Ads

Google Shopping Ads are product-based ads that display detailed information and images for specific products and allow you to showcase your products directly to customers, which helps drive purchase intent and generate qualified leads.

5. Google App Ads 

Google App Ads promote mobile apps and encourage users to download and install them through an ad displayed on Google Search Network, YouTube, Google Play, Google Display Network, and more.

Need more ad ideas? Explore click-to-WhatsApp ads for your Facebook campaign.

Google Advertising terms you should know

Before you get started with the Google Ads setting, there are some essential terms for Google Ads that you should be familiar with. These terms provide a foundation for understanding Google Ads and how to run your campaigns successfully.

1. Campaign type: The top-level structure in Google Ads where you set your advertising objective, budget, and targeting settings. Google will direct you to a suitable campaign type based on the goal you choose and what would work best for you. Google Ads campaign types include:

• Search: Text ads on search results

• Display: Image ads on websites

• Video: Video ads on YouTube

• Shopping: Product listings on Google

• Discovery: Advertise within online feeds

• App: Promote your app on many channels

• Local: Promote your locations on many channels

• Smart: Simplify your campaigns

• Performance Max: Find high-value customers across all channels

2. Display network: A vast collection of websites, mobile apps, and video content where advertisers can display their ads through various formats, including images, videos, and interactive media. 

3. Conversion rate: The percentage of visitors to your website that complete a desired goal after clicking on an advertisement, such as making a purchase, subscribing to a newsletter, or completing a contact form. 

4. Keywords: A word or phrase that advertisers use to make their ads appear when people search for those terms. 

5. Ad extensions: The extra details added to your ads, such as phone numbers, links to certain web pages, addresses, offers, apps, and more.

6. Bidding strategies: The method you use to set your bids, such as manual bidding, automated bidding, or target CPA bidding.

7. Negative keywords: A list of keyword terms that advertisers use to avoid their ads appearing when people search for those terms. 

8. Impressions: The number of times your ad is shown to users.

9. Click-Through-Rate (CTR): The number of clicks that your ad receives divided by the number of times your ad is shown. It measures the effectiveness of your ad's ability to generate clicks. 

10. Cost-Per-Click (CPC): The amount you pay for each click on your ad.

11. Ad rank: The position of your ad on the search results page,  determined by factors like bid amount, ad quality, and ad extensions. The higher the value, the better you’ll rank.

12. Quality score: A metric that Google uses to measure the relevance and quality of your keywords, ads, landing pages, and past performance in the Search Engine Results Page (SERP). A higher quality score can lead to lower costs and better ad positions. 

Quick steps to set up a Google Advertising Campaign

Step 1: Create a Google Ads account

Go to the Google Ads website and click on "Start Now." Sign in with your Google account or create a new one if you don't have an account.

Step 2: Set up your Google Advertising goal

Selecting the activity you want users to perform when they see your ad. Choose the primary goal for your campaign, such as website traffic, sales, leads, or brand awareness.

Step 3: Create your Google Advertisement

Choose the campaign type that aligns with your goal, common options include Search, Display, Video, Shopping, or App. Complete the ad’s contents including the headline, the description, and the call to action. Write compelling ad copy that highlights your product or service's benefits.

Step 4: Choose your Google Advertising keywords

Your keywords are the foundation for how Google determines who sees your ads. Google compares the terms in your keywords to its users’ search results and search history. 

Step 5: Select the location for your advertisement

Choose the geographic location you want to target. You can specify the location where you want your ads to be displayed. That helps tailor the reach of your ad campaign and makes it more likely to reach your audience.

Step 6: Set your campaign budget

This is how you determine the average daily spend for your campaign. Set your campaign budget (daily or total budget for the campaign). Choose your bidding strategy (manual or automated) and set up the start and end dates for your campaign.

Step 7: Publish your campaign

Once you’ve set everything up, review your campaign settings, ad group settings, ad creatives, and keywords. If everything looks good, click the "Save" or "Launch" button to activate your campaign.

Best practices for an effective Google Advertising Campaign

1. Optimize your landing page 

Optimizing your landing page is crucial to ensure that users who click on your Google Ads have a positive experience and are more likely to convert. If you want visitors to sign up for your newsletter, you can make sure the sign-up box is front and center. If you want to drive more sales, you may include a few testimonials and call-to-action links to purchase your products/services.

2. Focus on ad content that showcases your uniqueness

Creating ad content that showcases your uniqueness can help you stand out from competitors and attract the attention of your target audience. Clearly state the Unique Value Proposition (UVP) of your products and services on your advert headings and descriptions. Address pain points or challenges that your target audience commonly faces and show how your offering uniquely provides a solution.

3. Research your keywords

Keyword research is a critical step in creating effective Google Ads campaigns and optimizing your website for search engines. Using the right keywords can help place your ads in front of the perfect audience. Use keyword research tools such as Google's Keyword Planner, SEMrush, Ahrefs, and Moz to expand your list and discover related keywords.

4. Re-engage your customers with Google Ads retargeting campaigns 

Remarketing is a powerful strategy in Google Advertising that allows you to re-engage users who have previously interacted with your website or ads. You can apply remarketing techniques to users who have previously opened our emails or simply visited our website. By tailoring your ads to their interests and behaviors, you increase the likelihood of conversions and ultimately improve your return on investment (ROI).

5. Measure your ad performance 

Measuring the performance of your Google Ads campaigns is essential for understanding how well your ads are performing and whether they are achieving your desired goals. If you’re using Google Advertising to drive sales or leads to your website or online store, then you should install and customize Google Analytics on your site to track conversions as well as other metrics like demographics and traffic sources.

Creating a successful Google Advertising campaign requires ongoing optimization and improvement. Analyze the results of your campaigns regularly and adjust your strategy to better meet your objectives. If you're new to Google Advertising, it might also be helpful to consult Google's official guides or seek assistance from experienced marketers.