Why Google AdWords is Not For Everybody (But Great For Many!)

Will your business benefit from AdWords Advertising? Google currently has over 90% share of the search market in Australia and that is why AdWords is often the best place to advertise your business online. Unfortunately not all businesses will have success through PPC (pay per click) advertising – there are a number of factors that should be addressed. Some of these can be done prior to commencing advertising but sometimes it may need to be trailed over a number of days before they can be determined.

Top Search Engines (via Hitwise Jan 2011)
Top Search Engines (via Hitwise Jan 2011)

If you’re wondering if Google AdWords is right for your industry or business, some of the key factors that need to be taken into account are:

  • The demand for product/service There needs to be consumer needs for the product/service offered. If there has been little success promoting offline then it may not help. The keywords used to promote search campaign ads can be analysed to see what sort of search volume they have.
  • What network to Display ads on Google ads can display on 2 different network types: Search and Content. Both campaigns may work well for a product/service but sometimes keywords in search or ads on websites (content) may not be the best way to display your ads. eg. ‘Crystal Light Catchers’ which might be something someone would buy as a gift after seeing images on a website rather than search specifically for that item.
  • Return On Investiment (ROI) Click cost can vary greatly on the keywords that are used in an AdWords campaign. If you clicks are high and your product revenue is comparatively small then your adversing cost may not work with your product/service. Conversion tracking needs to be in place so that a campaign can be quantified to measure it’s success. Eg selling a product like cheap car polish and advertising on keywords ‘luxury car’ (~$3.11 click on first page) would be most unprofitable.
  • AdWords campaign optimisation AdWords campaigns need to be optimised provide the best possible chance of PPC success. This involves the campaign to be structured correctly which includes: suitable keywords, enticive ad copy, CPC (cost per click) pricing, conversion tracking etc. A poorly developed campaign can see the daily budget quickly spent with little returns.

Without doubt AdWords is providing businesses with a way to successfully market their products/services online to a huge targeted market. You only need to perform a random search on Google to see advertisers ads appearing. If profits were not being made from this form of marketing this ads would not appear and Google wouldn’t be as successful as it is today.

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