Maximizing the Potential of Google AdWords

Understanding Google AdWords Pricing and Positioning

Google AdWords pricing is determined by the position in which your ad is displayed. However, there is no minimum amount required to open an account. Google positions your ad based on its click-through rate over time. Current rates range from $15-$10 per thousand ads shown for positions 1-3, and $8 per thousand for positions 4-8.

According to Google, AdWords text ads have an average click-through rate 4-5 times higher than banner ads. With the right strategies, you can achieve click-through rates as high as 36%.

Effective Strategies for Google AdWords

When promoting products, it's advisable to choose keywords or search terms that are very specific to generate highly qualified prospects. This approach may result in fewer searches, but it often leads to a higher click-through rate.

For instance, instead of using the keyword 'printer' for an ad about printers, use the exact model of the printer, such as 'Lexmark Z11' or 'Lexmark printer'. Also, include the search term in the title section. This simple trick can significantly increase your click-through rates.

Here are some additional guidelines:

• Avoid overly general keywords. Since ads are paid for on a CPM basis, you are likely to spend money quickly with vague keywords. Avoid general keywords like 'business' or 'free'. Tailor each keyword to your offer and use relevant terms in both the title and the ad body.

• Provide a compelling reason for users to click on your ad link. The easiest way to do this is to offer something of value for free.

• Use a different ad for each keyword or search term. This increases relevance and the likelihood that Google users will click on it.

• Test and monitor your ads. Refine and fine-tune your ad to maximize click-throughs. With Google, you can do this in real time!

Google AdWords has become increasingly popular, prompting Google to increase the number of ad displays per keyword search from 3 to 8. You can open an account and test this service by visiting Google AdWords.