What exactly are Google AdWords? If you’re still asking this question, then you’re probably new to the online marketing and advertising gig. People are usually oblivious to how these AdWords work and what they really are. They’re inconspicuous enough not to be noticed but they do wonders for marketing and advertising purposes. They’re subtle, yet effective, the perfect combination of how advertising and marketing should be. So what exactly are they? Well Google AdWords are actually an advertising tool devised by Google themselves.

Think of search engines such as Google as a place that gets a lot of traffic. It’s very common that people go to sites like Google to begin searching the Internet, which is why they receive a lot of hits. Google gives businesses the chance to advertise on their sites for them to get more exposure on the Internet. Whenever someone enters a keyword on the search engine; the related ad that directs to Google’s clients shows up separately from the search results. They are different from the search results themselves because the search results appear based on their relevance to the keyword and not because they’re paid to appear first. Google has a sort of integrity code about their search results, which is why they separate AdWords from their search results.

So how does Google gain from all this? Why, it’s actually one of their main sources of income! You see, AdWords run on the Pay Per Click business model, or simply PPC. Let’s explore how they work so you can better understand and pick up some PPC tips along the way – if ever you’re planning to advertise on the Google that is. The way this works is very simple; Google lets possible clients bid on keywords that may direct possible interested customer to their website. For example, let’s say, I’m a manufacturer of dress shirts. Whenever someone types in the keywords dress shirts, shirt, formal shirt etc. or anything remotely related to the term “dress shirt” then Google will run my ad alongside their search results for dress shirts. It’s a simple but great way to get noticed online, especially if you’re just a startup business. But it isn’t all that easy though. People or businesses that want to advertise still have to bid for keywords that they want to be “related” to.

Bidding could be a long and expensive process but it really pays off once visitors start coming into the website. Google also offers a couple of different options for would be advertisers to customize the way Google runs their ads. They give people the option of selecting when or which time of day their ads run, giving people a better way to target their potential customers. The best part is, this not only targets more potential customers, and it also reduces the cost to run the ad. Another option is Google can target the location of where the ad is run. Google can detect the user’s location through their IP addresses. This means Google can run ads relative to the location of the advertiser and their potential customer.


John Rampton is a PPC Entrepreneur, Author, Founder at Due a finance company helping small business owners. Follow me on Twitter @johnrampton

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