Users can visit the Google homepage or other Google properties, and enter a search query.

On Google’s search partners, your ads can appear on search results pages, on site directory pages, or on other pages related to the user's search.

In addition to Google’s search partners, the Search Network also includes Google search sites like Google Search, Google Shopping, Google Maps, Google Images, and Google Groups.

Relevance –

One of the biggest benefits AdWords offers is the ability to precisely target ads to users based on their interest, as well as a number of other factors like location, language, and demographic.

The result is that the user sees highly relevant ads, which they are more likely to click on. And because ads on search engines show only in response to a user's query, the user is also more likely to be further along in the buying cycle, and more likely to be ready to convert.

Return on Investment (ROI) –

Online advertising is thoroughly measurable, making it easy to tell whether or not you're meeting your advertising goals. Every user's click is tied to a particular ad, keyword, and search query, all of which you can track and decide to improve whenever you like.

If you spot a trend, you can create, modify, or delete keywords, ads, and campaign targeting selections within seconds. This allows you to be more responsive and more in control when it comes to improving your ROI.

Reach –

Every day, Internet users conduct millions of searches on Google. When you use Google AdWords, you have the opportunity to capture any segment of that broad worldwide audience that's actively looking for products, services, information, and websites.

By giving your products or services a presence during relevant user searches, you're ensuring that you're visible in a crucial point in the customer's buying cycle -- when the user is actively searching for what you're offering.

Keyword creation involves a five-step process:

1. Build a keyword list: Create a list of terms that refer to your business, service, and products, and think of common phrases people may use to think of something similar. You can get additional keyword suggestions from the Keyword Tool within your account.

2. Group your keywords by theme: Grouping your ads and keywords together in their own ad groups by theme can help you get better performance from your ads.

3. Set appropriate match types for each keyword (Search Network): Picking the right variations of your keywords can help reduce costs, or increase traffic while balancing impressions with meaningful clickthroughs or leads.

4. Remove unnecessary keywords: Refining your keyword list can help you save on unnecessary costs in the long run, and help you better target users. Removing irrelevant keywords means the users who are most likely to be interested in your business, service, or product will be more likely to see your ads, more often.

5. Test run the campaign: Keywords need a chance to run before you can really determine how well they're doing. Try to let them run for at least 30 days before evaluating their performance.

AdWords text ad policies fall into the three categories: editorial and format, content, and link. All guidelines are intended to help advertisers create effective ads to meet their advertising goals. Editorial and format: These policies typically apply to the ad text (the first three lines of your ad). For example:

Character limit: Your intended headline, text, and URL must fit within the required limits and not be cut off. Prices, discounts, and free offers: If your ad includes a price, special discount, or "free" offer, it must be clearly and accurately displayed on your website within 1-2 clicks of your ad's landing page. Punctuation and symbols: Among other requirements, ads may only contain a maximum of one exclamation point.

Content: These policies relate to the products and services you advertise, and may apply to ads and the content of your site. For example, advertising is not permitted for the promotion of certain weapons, or for aids to pass drug tests.

Link: These policies relate to the display and destination URLs in your ad. For example, the display URL must be accurate, and links to your website must allow users to enter and exit the landing page easily.

Whenever you create a new campaign in your AdWords account, you choose which languages and locations you want to target. Your options include: Language: Target up to 40 different languages. Location: Target any combination of countries, territories, regions, cities, and customized

areas that you define.

All advertisers must choose a language and location to target, so it's important to understand what's right for you. Here are general guidelines to follow, which are further discussed in the following topics.

Target the language spoken by the audience you're trying to reach. This should also be the language in which your ad is written. Target countries or territories if you want to reach a wide audience across one or more countries.

Target regions and cities if your business serves specific geographic areas or if you want different advertising messages in different regions. Target customized areas to reach specific geographic areas which may not be available in region and city targeting. You can combine these targeting options any way you like within the same campaign.

Depending on your advertising goals and how closely you want to monitor and manage your bids, you can choose one of several different bidding options.

Focus on clicks: Cost-per-click (CPC) bidding In campaigns using this bidding option, you set a CPC bid for each ad group or keyword in your campaign. Your CPC bid refers to the amount you're willing to pay for a click on your ad when the ad appears on Google or one of our partner sites.

With CPC bidding, you pay only when someone clicks on you’re ad. CPC bidding is recommended if you're mostly interested in getting traffic on your site. You have two options for CPC bidding:

Automatic bidding: You set a daily budget, and AdWords works to bring you the most clicks possible within that budget. If you like, you can set a CPC bid limit to ensure the AdWords system doesn't bid more than a particular amount.

Manual bidding: As with automatic bidding, you pay only when someone clicks on your ad. However, this option lets you control your own maximum CPC bids. You can set bids at the ad group level, or for individual keywords or placements.

Through AdWords, you can tailor your ad text and keywords in order to maximize your clicks and drive users to your website. However, getting users to your pages is only part of what you need for a successful website. If your users reach your site, but leave right away, then you're not getting significant return on your investment. To attain a high-quality, highly effective website, you'll need to optimize your website content.

There are three primary elements of quality to keep in mind when optimizing your site:

Relevant and original content: Attracts users and keeps them returning to your site. Transparency: For websites, this means being clear about the nature of your

business, how your site interacts with the user's computer, and how you use a visitor's personal information.

Navigability: Providing an easy path for users to find what they are looking for on your website.

These three elements have an important impact on the user experience of your site. Taking the time to put yourself into a user's mindset when visiting your site is the most important thing you can do to optimize your site

Determining your AdWords ROI can be a very straightforward process if your business is after web-based sales. The net profit for your business can then be calculated based on your company's revenue from sales made via your AdWords advertising, minus the cost of your advertising. Dividing your net profit by the advertising costs will give you your AdWords ROI for that period in time.

In other cases, your ROI may require a different formula. For example, if you're interested in calculating the ROI for a page view or lead, you'll have to estimate the values of each of these actions. For example, a Yellow Pages ad for your business may cost US$1,000 per year and result in 100 leads. Ten of those leads become customers, and each customer provides an average revenue of US$120. The value of each lead is therefore US$12 (US$1200 revenue/100 leads), and your ROI for the Yellow Pages ad is 20% ((US$1200 revenue minus US$1000 spent)/US$1000 advertising cost) x 100.

A simple alternative to estimating values for your leads and page views is to use a cost-per-acquisition (CPA) measurement. This method will allow you to focus primarily on how your advertising costs compare to the number of acquisitions those costs deliver. Using the Yellow Pages example again, your ads may cost US$1,000, resulting in 10 sales: therefore, your CPA for those ads is US$100. Your CPA should not exceed your profit derived from each acquisition. In the case of the Yellow Pages ad, the CPA is 20% less than the revenue the acquisitions provide.

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