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# Monday, October 27, 2008

Save money and slash your Google Adwords costs while driving more traffic.

The golden rule of Google Adwords is relevance. Google will grant you low minimum bids if you master the science of relevance. Without relevance you'll be paying too much per click and your competition will beat you in the market.

The google search engine is the undisputed search engine leader. Google beat out Yahoo, Altavista and MSN in the search engine market by building a better mousetrap. Google's search engine algorithm is a complex formula using many variables to return pages highly relevant to the search term used. The Google search engine is the best search for pages relevant to the search term. That's how they beat their competition. Relevance.

Google uses the same principal with Adwords. Advertisers with a message relevant to the search term are rewarded. Advertisers who are not relevant are allowed to compete, but they pay much higher rates per click.



Google determines relevance by two primary methods. The first is by examining each of you keywords and ads. Google checks the keyword, the ad headline and text, and the landing page to determine how relevant they are to each other. An automated program, or robot if you prefer, will crawl your landing page and determine if your page is relevant to the search term. A relevant page may only need to bid five or ten cents per click. A page not relevant will have to pay ten dollars in a competitive market.

The second method Google uses to measure relevance is the ads click through rate (CTR). Every time Adwords shows your ad to consumers, Google records that it gave our ad an impression. Every time a consumer click on the ad, Google records the clicks. The CTR is the number of clicks divided by the impressions. Adwords will assume that if consumers are clicking your ad frequently then the ad is relevant to the search term and will adjust the quality score upwards. Adwords will adjust the quality score down if the ad is not getting clicks. There will be more information on the CTR later.

You can verify the keyword, ad and landing page relevance for yourself with an experiment. Take a competitive keyword and create an Adwords ad for it. For example, try adwords marketing as your competitive keyword. Go and create an Adwords ad for it and set the landing page to some website that is not about adwords marketing. Any website will do, as long as it's not about internet marketing. What did Google set the first page bid at, five dollars, ten dollars or more?

Adwords will tell you why you got such a high first page bid. The magnifying glass icon next to you keyword will give you diagnostic information. Adwords will tell you your quality score on a scale of one to ten. The quality score is how Google has scored the relevance of you keyword, ad and landing page. In this experiment, and in the example on the right, you have a poor quality score.

Adwords will event provide details of your quality score. Click on the details and recommendation link. Google will tell you your landing page is not relevant, and perhaps identify other problems.

You have just created poor ad. Go ahead and delete the ad group and campaign. You are not about to pay that much per click.

Start another Adwords experiment. Create a new campaign and a new ad group for adwords marketing. Use only that keyword as a phrase match. You can also add an exact match for the same keyword. Do not use the broad match. Do not use any other keywords except the phrase and exact match.

This time, use the keyword adwords marketing in the ad headline, and only this keyword. As you'll see later, having the keyword in the ad itself boost the quality score.

Use the landing page http://www.adwords-marketing-tool.com/adwords-marketing/adwords-marketing.aspx as the destination URL. The URL is complex, and for a specific reason, but more on that later. This is a customized landing page on this website, tailored for the keywords adwords marketing.


The landing page is now highly relevant to the keyword. Adwords rewards you with a lower minimum bid. The same keyword went from ten dollars per click to much lower. Stop and pick your jaw off the floor.

You may not get the same low first page bid or a 7 out of 10 quality score as in the screenshot. First, you are probably not using all the proper techniques in your ad. You'll learn all of those techniques in just a moment. Second, the campaign in the screenshot has an established CTR, which assists the quality score. The ad you just created doesn't have any impressions or CTR.

You'll notice in the screen capture that you don't even have a good or great quality score. The quality score is just ok. The keyword adwords marketing is extremely competitive. There are many existing pages on the web about adwords marketing with established traffic and backlinks. These pages have good and great quality scores. You are not going to rise above these pages on day one. The keyword is simply too broad and too competitive. That's why the quality score is only ok. Build a solid Adwords click through rate (CTR), develop organic traffic and get some backinks and you can achieve a good or great quality score for competitive keywords. Alternatively, select a more specific and targeted keyword. You can become a good or great quality website for targeted keywords.

You are now spending much less than you were with a poor ad. A reduction from ten dollars to ten cents is like paying one dollar for what you used to pay a hundred dollars for. The savings are amazing.

There are three main components to any Google Adwords ad. You'll want to examine each part of the ad. The parts of the ad are listed below.

  1. The keyword or phrase that triggers the ad to appear
  2. The landing page the ad will send the consumer to
  3. The actual text of the ad, or sales copy if you prefer

The key to the strategy is get all three parts of the ad working in harmony. A good keyword, a focused ad and a highly relevant landing page will get you a good or great quality score. A good quality score will allow you to bid very little for your keywords. You will be able to get traffic at a fraction of the cost for an uneducated advertiser.

You are now ready to proceed with the Free Adwords Strategy.

 


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