Setting up an AdWords account can be accomplished in 15 to 20 minutes
by following a few simple steps. When preparing to launch a campaign
with AdWords, you first determine where you would like your
ads to appear on Google’s network of Web sites, and which languages
you plan to target with your ads. You can choose to communicate your
ads to the masses, or you can opt to geographically target your ads to
specific locations—even locations within a specific distance from your
business’s physical location. Now that’s targeted advertising!
You then need to design an Ad Group for your campaign.
An Ad Group is a collection of one or more ads that you wish to
display on Google’s network of sites. Each ad consists of a headline and
description that, if designed correctly, relates specifically to the keywords
that are associated with the overall Ad Group. Once each ad in a
given Ad Group is designed, you select targeted keywords that you wish
to be associated with the Ad Group.
Why does an Ad Group contain one or more ads? The AdWords
program is designed to work effectively for advertisers, weeding out ads
that are not generating targeted traffic for them. To illustrate, assume
that a given Ad Group consists of five different ads relating to a specific
topic, each with a unique headline and description. When an advertiser
launches a campaign, AdWords randomly displays each ad in the Ad
Group to the advertiser’s target market. Eventually, certain ads in the
Ad Group perform better than others, generating more click-throughs.
When this happens, AdWords then displays only ads within the Ad Group
that are generating results for the client, and slowly removes the others
from the rotation. This helps to maximize the effectiveness of the overall
ad campaign.
When launching an ad campaign, you are given the opportunity to
set a budget for your campaign. You can set a maximum CPC for each
Ad Group along with a maximum daily budget for your campaigns. By
default AdWords provides advertisers with a recommended maximum
CPC for optimal results with their campaign. The maximum CPC can
range anywhere from US$.05 to US$50.
If you are unsure of what your maximum CPC should be, AdWords
provides an excellent traffic estimation tool that can help you estimate
daily traffic for selected keywords and phrases. The traffic estimation
tool helps you fine-tune what your maximum CPC should be based on
your overall online advertising budget and campaign objectives. By
manipulating the maximum CPC, you are able to determine what your
daily expenditures would be based on traffic patterns associated with
the keywords that you have selected, along with where your ads will be
positioned during the campaign.
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