Weighing the Pros and Cons of Google AdWords

Closeup of a cellphone screen on Google

Did you know that Google sees an average of 3.8 million searches every minute? That comes out to a worldwide total of 2 trillion searches every year!

Google’s incredible popularity makes it a valuable marketing tool for business owners, who can use Google’s AdWords tool to promote their products or services. If you’re thinking about launching a Google AdWords campaign for your company, here is what you need to know.

How Google AdWords Works

When a business uses Google AdWords, they pay to display information about their business or brand at the top of a Google search results page. This means that when customers type in a specific query, they’ll get an ad that is relevant to them. For example, if someone searches for “best insurance agents near me,” they will see Google AdWords results for local insurance agents.

Google AdWords revolves around specific keywords, so only relevant businesses show up within a search. This allows businesses to target new customers who may already be interested or have a need for their services. Google AdWords is a particularly powerful marketing tool in this regard, since it immediately captures the attention of a new customer and directs them straight to a webpage that addresses their needs.

What is the Cost of Google AdWords?

While its specific targeting is great for attracting customers, the need for specific keywords can also make Google AdWords very expensive. Businesses bid on each keyword, and those with the highest bid will receive the most prominent spot in the Google search for results. For businesses in competitive fields, this means a hefty budget may be required to make a Google AdWords campaign worth the commitment.

To save money while still getting a prime spot, many businesses choose to use very specific keywords. A broad keyword like “insurance agent” might be very crowded with local competitors, but focusing on a specific aspect cuts down the competition and helps business owners reach potential customers who really need them.

Google AdWords are also based on a “pay-per-click” system. This means that if someone clicks on a link but quickly decides they’re not interested, the business still has to pay for that click, even though it didn’t yield positive results.

Weighting the Pros and Cons

Like other marketing tools, Google AdWords has plenty of pros and cons. To decide if a Google AdWords campaign is the best marketing fit for them, business owners should consider factors like budget, time commitment, and local competition.

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