What is Google Ads (previously AdWords) & How it Works




Google AdWords AKA Google ads is an advertising service offered by Google. The objective of the service is to target business wanting to display ads on Google networking sites. In the first place, ads allow business to set a budget for advertising and only pay when people click the ads. Generally, used by advertisers to advertise on the search engine result page (SERP).

Google Ads Definition

Let’s check out the Google AdWord definition on Wikipedia:

Google Adwords (previously Google Ads, before July 24, 2018) is an online advertising platform developed by Google, where advertisers pay to display brief advertisements, service offerings, product listings, video content and generate mobile application installs within the Google ad network to web users.


In particular, the ad service is largely based on keywords. Whereas for auto bidding, your bid is determined based on objectives.


  • Manual Bidding: If you find certain keywords more profitable, you can allocate a budget with manual bidding.
  • Auto Bidding: It is more heavy lifting and requires more guesswork. Although  Automatic bidding is a great way for target marketing.

Understanding Google Ads

Google Ads is one of the most popular online advertising platforms, and for good reason. It allows businesses to target potential customers with ads that are relevant to their search terms. What’s more, Ads is highly effective, with businesses seeing an average return of $2 for every $1 spent on the platform.

However, Ads can also be complex and confusing, especially for those who are new to online marketing. That’s why it’s important to understand how the platform works before you dive in. This guide will give you a brief overview of Ads and how it can help your business grow.

Ads works by bidding on keywords that potential customers are likely to use when searching for products or services like yours. When someone searches for one of your keywords, your ad will appear in theSponsored Results section at the top of the search results page.

If someone clicks on your ad, they will be taken to your website or landing page. The amount you pay for each click is determined by how much you bid on each keyword and how relevant your ad is to the user’s search query.

Ads also offers a number of other features, such as remarketing and dynamic remarketing, that can help you reach even more potential customers.

Whether you’re just getting started with online marketing or you’re looking for ways to improve your existing campaigns, Google Ads can be a valuable tool. By understanding how the platform works and taking advantage of its powerful features, you can drive more traffic to your website and increase sales.

A business that depends on Ads can develop relevant ads using targeted keywords. However, the keywords are based on that people search the web, especially, Google search engine.

To summarize, Google Ads is the top ads that appear under the sponsored links heading. It can be navigated on the right side or above Google search results. Consequently, if the user clicks on the ads, thus, are directed to the website.

How does Google Ads work?

Appearing at the top of search engine results pages is crucial for businesses that want to attract online customers. Google Ads is a pay-per-click advertising service that allows businesses to bid on certain keywords in order to have their ads appear alongside search results.

When a potential customer searches for one of these keywords, your ad will appear at the top of the page, increasing the chance that they will click on it and be taken to your website.

While there is no guarantee that your ad will appear every time someone searches for one of your keywords, bidding on high-traffic keywords can help to ensure that your ad reaches its target audience.

In addition, you can use Ads to target your ads to specific geographical locations, making it an effective way to reach local customers. By understanding how Google Ads works, you can use it to effectively promote your business and attract new customers.

How to use Google Ads

Google Ads is an advertising tool that allows businesses to create and place ads on Google.com and its partner sites. Ads are displayed when users search for keywords that are related to the products or services offered by the business.

When a user clicks on an ad, they are redirected to the advertiser’s website. Google Ads can be a powerful marketing tool, but it is important to use it effectively in order to get the best results.Here are some tips for using Google Ads:

  1. Choose your keywords carefully. Keywords should be relevant to your products or services and target your desired audience.
  2. Write effective ad copy. Ad copy should be clear and concise, and it should include a call to action.
  3. Set a budget. Make sure you know how much you’re willing to spend on your Ads campaign before you start bidding on keywords.
  4. Monitor your results. Keep track of your click-through rate and conversion rate so you can adjust your campaign accordingly.

By following these tips, you can make the most of your Google Ads campaign and achieve success in your online marketing efforts.

Different Types of Google Ads

Google Ads is an effective way to reach a wide audience with your marketing message. But with so many different types of ads available, it can be difficult to know which ones are right for your business. Here is a brief overview of some of the most popular types of Google Ads:

Display ads are eye-catching and can be placed on websites across the web. They come in a variety of sizes and can be animated or static.

Search ads are triggered when someone searches for a relevant keyword or phrase on Google.com. They appear above or below the search results, and you only pay when someone clicks on your ad.

Video ads are a great way to reach potential customers who are engaged in watching video content. They can appear before, during, or after YouTube videos, and on other websites and apps that partner with Google.

You only pay when someone watches your ad all the way through, or for a minimum of 30 seconds (or whichever is shorter).

Shopping ads allow you to showcase your products in Google search results, complete with photos, prices, and other relevant information. They appear above organic search results and can help you drive traffic to your website or online store. You only pay when someone clicks on your ad and goes to your site to make a purchase.

With so many different types of Google Ads available, there’s sure to be one that’s a good fit for your business. Experiment with different types of ads to find what works best for you and your budget.

Google Ads Extensions

Google Ads Extensions are a powerful tool that can help advertisers to achieve their marketing goals. By enabling advertisers to include additional information in their ads, Extensions provide a way to stand out from the competition and improve click-through rates.

Furthermore, Extensions can be used to target specific groups of users, such as those who are likely to convert or those who have previously engaged with the advertiser’s site. As a result, Extensions offer a versatile and cost-effective way to improve the performance of Google Ads campaigns.

Google Ads Expanded Text Ads

Google’s new expanded text ads are a great way to improve your click-through rate and get more leads. With up to 50% more text, you can include more information about your product or service and persuade potential customers to click on your ad. You can also include additional imagery to help your ad stand out.

Expanded text ads are available on all devices, so you can reach potential customers no matter where they are. And with Google’s new responsive search ads, your ad will automatically adjust to fit the available space on the screen.

Google’s expanded text ads are the perfect way to get more leads and sales from your online advertising campaign. So why wait? Get started today and see the results for yourself!

Dynamic Remarketing

Google’s dynamic remarketing is a powerful tool that allows businesses to show highly customized ads to users who have visited their website or used their mobile app. By tracking user behavior, businesses can create ads that are relevant to each individual, increasing the chances that they will click on the ad and make a purchase.

In addition, dynamic remarketing can be used to target users who have abandoned their shopping carts, providing a reminder and an incentive to complete the purchase. For businesses that are looking to increase online sales, dynamic remarketing is an essential tool.

Broad Match

As any online marketer knows, Google Ads can be a powerful tool for reaching potential customers. However, many businesses make the mistake of using only broad match keywords. While broad match keywords are certainly important, they should only be one part of a larger keyword strategy.

By using a combination of broad match, phrase match, and exact match keywords, businesses can reach a wider range of potential customers while still targeting their ads effectively.

In addition, businesses should take advantage of negative keywords to ensure that their ads are not shown to people who are not interested in their products or services. By using a well-planned keyword strategy, businesses can get the most out of their Google Ads campaigns.

Attribution Model

Google Ads is a powerful tool for businesses of all sizes. By allowing businesses to target ads to specific audiences, Google Ads can help to generate leads and drive sales.

However, one of the challenges with Google Ads is attribution. In other words, it can be difficult to determine which ad led to a particular sale or conversion.

To address this challenge, Google has developed an attribution model for Google Ads. This model allows businesses to see which ads are most effective in driving sales and conversions.

As a result, businesses can adjust their campaigns accordingly, ensuring that they are getting the most out of their Google Ads spend.utilizing the attribution model will allow you to get the most out of your google ads campaign, as it will help you to better understand which ads are most effective in driving sales and conversions.

As a result, you’ll be able to adjust your campaigns accordingly, ensuring that you’re getting the most out of your Google Ads spend.

Bidding Strategies

There are a lot of different google ad bidding strategies out there, and it can be tough to know which one is right for your business. That’s why we’ve put together this guide to the most popular bidding strategies. Whether you’re looking to maximize clicks or conversions, there’s a strategy on this list that will suit your needs.

First, let’s take a look at the CPC bidding strategy. With this strategy, you’ll pay a set amount each time someone clicks on your ad. This is a great option if you’re looking to get as many clicks as possible, and it’s also relatively low-risk since you’re only paying when someone actually interacts with your ad.

If you’re more interested in generating actual sales or leads, though, you’ll want to consider a CPA bidding strategy. With CPA bidding, you’ll pay a set amount each time someone completes a desired action, such as making a purchase or signing up for your email list. This is a great way to ensure that you’re only spending money on ads that are actually resulting in conversions.

Finally, there’s the vCPM bidding strategy, which stands for “viewable cost-per-thousand impressions.” With vCPM bidding, you’ll pay a set amount for every 1,000 times your ad is seen by someone. This is a good option if you want to make sure that your ad is being seen by as many people as possible.

No matter what your goals are, there’s a google ad bidding strategy that will suit your needs. So don’t wait any longer – start testing out some of these strategies today and see how they can help grow your business!

Google Ads Enhanced Conversions

Google Ads Enhanced Conversions is a feature that allows you to track and optimize your conversion rate by comparing it to your cost per acquisition (CPA).

This comparison helps you to determine whether your campaigns are efficient and profitable. In order to use this feature, you will need to set up conversion tracking in Google Ads.

This involves adding a piece of code to your website that will allow Google to track when a user completes a desired action (such as make a purchase or sign up for a newsletter).

Once you have set up conversion tracking, you can then enable Enhanced Conversions in your campaign settings. Enhanced Conversions will automatically optimize your campaigns for the highest conversion rate possible, based on your CPA goals.

As a result, you can be confident that your campaigns are delivering the most ROI possible.

Eligible Learning Google Ads

Google Ads can be a great way to learn about online marketing and advertising. However, not everyone is eligible to participate in the program.

In order to be eligible, you must be at least 18 years old and have a valid credit card. You also need to have a Gmail account. If you meet these requirements, you can sign up for Google Ads and start learning about how to create and manage effective online campaigns.

The program offers a variety of resources, including tutorials, videos, and online support from Google professionals. With the help of these tools, you can quickly learn how to create and optimize ads that reach your target audience.

Google Ads can be an invaluable resource for anyone interested in learning about online marketing and advertising.

Advantages of Google Ads

Google Ads is one of the most effective advertising platforms available today. Here are just a few of the advantages of using Google Ads:

  • You can target your ads to a specific audience, ensuring that your message reaches the people who are most likely to be interested in what you have to offer.
  • Ads is highly flexible, allowing you to adjust your budget and your ad campaigns at any time.
  • Google Ads is extremely effective, with a click-through rate that is significantly higher than other forms of online advertising.

If you are looking for a way to reach more customers and increase sales, Google Ads is a great option to consider. With its many benefits, it’s no wonder that Ads is one of the most popular advertising platforms available today.

Google Ads Agency

As the world’s largest search engine, Google receives over 63,000 searches every second. That’s over 5.6 billion searches per day!

With such a huge volume of traffic, it’s no wonder that businesses are eager to get their products and services in front of potential customers through Google ads.

However, with so many businesses competing for attention, it can be difficult to know where to start.

That’s where a Google ads agency can help. An experienced agency will work with you to identify your target audience and create an effective campaign that reaches them where they are searching.

In addition, a good agency will provide ongoing support and management of your campaign, making sure that your ads are performing at their best. With the help of a Google ads agency, you can reach your target customers and grow your business.

Google Ads Best Practices

Google Ads is a powerful advertising tool that can help businesses reach a wider audience and generate more leads. However, it’s important to use Google Ads correctly in order to get the most out of it. Here are some best practices to keep in mind:

  1. Use keyword-rich ad text. This will help ensure that your ad is relevant to the user’s search query and will improve your chances of being clicked on.
  2. Use negative keywords. Negative keywords help you filter out unqualified traffic so that you’re not paying for clicks from users who are not interested in your product or service.
  3. Target your ads specifically. You can target your ads by location, time of day, or even specific demographics like age or gender.
  4. Use call-to-actions. Call-to-actions are essential for getting users to take the desired action, whether it’s clicking on your ad or making a purchase.
  5. Test, test, test. Always be testing different versions of your ads to see what performs best.

These are just a few of the many things you can do to get the most out of Google Ads. By following these best practices, you can maximize your chances of success with this powerful advertising platform.

Google Ads Alternatives

As the world of online advertising continues to evolve, businesses are increasingly looking for alternatives to Google Ads. While Ads remains the largest and most popular platform, it is not always the best fit for every business. Here are three reasons to consider other options:

First, Ads can be very expensive, particularly for small businesses with limited marketing budgets. There are many other platforms that offer more affordable pricing models.

Second, Ads can be complex and time-consuming to manage effectively. If you don’t have the staff or expertise to devote toAds management, you may be better off with a simpler platform.

Finally, Ads is not always the best platform for reaching your target audience. If your customers are not active users of Google, you may be better off targeting them through other channels.

When it comes to online advertising, Google Ads is often the first choice for businesses. However, Ads can be expensive, and there are several alternatives that can be just as effective.

One option is to use social media platforms such as Facebook and Twitter to promote your business. These sites have millions of users, and they allow you to target your ads to a specific audience. You can also use pay-per-click advertising on search engines such as Bing and Yahoo.

This type of advertising can be more affordable than Ads, and it can still reach a large number of potential customers. There are many other options for online advertising, so be sure to explore all of your options before you decide which one is right for your business.

Difference Between Google Ads and Google Adsense

Google Ads and Google AdSense are two very different products offered by the world’s largest search engine. Google Ads is a paid advertising service that allows businesses to place ads on Google’s search engine results pages (SERPs).

Google AdSense, on the other hand, is a program that allows website owners to place ads on their own site and earn money when visitors click on those ads.

While both programs can be effective in driving traffic and generating revenue, they each have their own distinct advantages and disadvantages.

Google Ads is typically more expensive than Google AdSense, but it also offers more control over where your ads appear and how they look.

With AdSense, you simply provide Google with your website’s URL and allow them to serve up relevant ads. With Ads, however, you can specify exactly which keywords you want your ad to appear for, as well as customize the ad’s appearance.

This can be a great way to ensure that your ad is seen by people who are actually interested in what you have to offer, but it also means that you may end up paying for clicks from people who would never have converted into customers.

Google AdSense is a much easier program to get started with, and it can be a great way to generate some extra income with little effort.

However, the revenue potential is typically much lower than with Ads, so it may not be worth your while if you’re looking to generate serious income from your website.

Ultimately, the best way to determine whether Google Ads or Google AdSense is right for you is to experiment with both and see which one generates the most leads or sales for your business.

Difference Between Google Ads and SEO Ranking

When it comes to marketing your business online, there are a few different options to choose from. Two of the most popular are Google Ads and SEO ranking. Both have their own benefits, but which one is right for you? Here’s a closer look at the difference between Google Ads and SEO ranking.

With Google Ads, you can create ads that will appear in search results when people enter specific keywords. For example, if you sell hiking gear, your ad could appear when someone searches for “hiking gear.”

You only pay when someone clicks on your ad, so it’s a cost-effective way to reach potential customers. The downside is that you need to constantly monitor your keywords and bid amounts to make sure your ad is appearing in the right place.

SEO ranking refers to how high your website appears in search results. The higher your ranking, the more likely people are to see your site. Unlike Google Ads, you don’t have to pay for SEO ranking.

However, it can take longer to achieve a high ranking, and it requires ongoing effort to maintain your position. But once you’re at the top, you can enjoy a steady stream of organic traffic.

Both Google Ads and SEO ranking have their own advantages and disadvantages. It’s important to consider your goals and budget when deciding which one is right for you.

So, now you know basic of Google Ads. Check our next blogs on What is Google Ads and Types of Google!

About the author, Team Digital Shiksha

Digital Shiksha is the leading online and interactive digital marketing training institute in India. We offer professional certification courses in Digital Marketing, which will help you create effective digital marketing strategies. Our students have access to the latest tools and techniques used in online marketing, including social networking, mobile marketing, online communities, viral marketing, wikis, and blogs. With a career in online, interactive, and digital marketing, you can progress into roles such as campaign planning and brand development. At Digital Shiksha we are committed to supporting and educating our students to reach their full potential in the field of digital marketing.

{"email":"Email address invalid","url":"Website address invalid","required":"Required field missing"}

Learn more about [your subject]. Start Now!

E-book 01
E-book 02