How much you pay per 1000 ad impressions. How much you pay when a user clicks on your ad. Marketers have three options for their bids: You’ll never spend more than a specific amount for that ad per day, helping you get a better sense of how much you should budget for your digital ad campaign. The bids you make are “maximum bids” - or the maximum you’re willing to pay for an ad.įor example, if your maximum bid is $4 and Google determines that your cost per click is $2, then you get that ad placement! If they determine that it’s more than $4, you do not get the ad placement.Īlternatively, you can set a maximum daily budget for your ad. That means marketers target a specific keyword on Google and make bids on the keyword - competing with others also targeting the keyword.
Google Ads operates under a pay-per-click (PPC) model. To understand those rankings, let’s take a look at how Google Ads work exactly. After all, you’ll likely have a lot of other marketers competing for the same keyword through Google Ads.
However, purchasing advertising on Google doesn’t necessarily ensure the top spot. This is good for the advertiser because the first results on Google typically get the vast majority of the traffic for search queries.
They also look nearly identical to organic search results save for the bolded “Ad” at the top of the post. You can see that all the advertisements are on the top of the SERP. Those results can include a paid advertisement that targeted that keyword.įor example, here are the results for the term “fitness coach.” The way it works remains essentially the same: When users search a keyword, they get the results of their query on a search engine results page (SERP). Originally called Google Adwords, the search engine company rebranded the service as Google Ads in 2018. Google Ads is a paid online advertising platform offered by Google. Bonus: Get a free social media analytics report template that shows you the most important metrics to track for each network.
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