Advertising on Google AdWords sure does look like a fast, easy way to get customers to your landing page, doesn’t it? It seems that all you have to do is find some great keywords, write a few ads, place bids, and voila…you make sales.

It would be wonderful if it really worked that way. But the truth is, advertising on Google AdWords is whole lot more complicated than that. And it can be a very expensive proposition more expensive than most people realize.

If you’re thinking about taking the plunge and spending your hard-earned money on Google AdWords advertising, you’ll want to make sure take these five steps:

  • Research Your Keywords, Competition, and CPC :

It used to be easy to find keywords with low competition and cost-per-click (CPC). But those days are mostly gone; you might be able to find those keywords, but it’s not easy. Use Google’s keyword finder tool to do your research. Google now gives you actual search numbers, so that will give you a head start. Then you can check the CPC with their Traffic Estimator. You just plug in your bid and they’ll estimate your ad’s position. This is only an estimate, though, and a lot will depend on your quality score. So use this information with a grain of salt. But I guarantee that you will waste a lot of money if you don’t do this research at all.

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  • Make Your Landing Page Relevant to Your Keywords :

You can find the best keywords for your niche, but if your landing page doesn’t contain them, or is focused on other keywords or topics, Google will reduce your quality score and force you to increase your bids for those keywords. That’s bad enough. But you’ll have another problem too. If customers click through from those keywords and find that the landing page doesn’t meet their needs, they won’t buy your product. So now you’ve spent a lot of money for absolutely nothing.

  • Set Up Separate Themed Ad Groups :

Many people set up a campaign, then take all of their keywords and put them into one ad group and run the same ad for all the keywords. There are a number of problems with this method. First, there’s no way to place all your keywords in the ad you run, and if you don’t have the keyword in the ad, you’re quality score will go down, and you’ll end up paying more to stay in a high position. Next, even if you increase your bid, you might get more impressions, but you’ll probably get fewer clicks. Customers won’t click on your ad unless it’s offering what they’re looking for. Finally, this will all become a vicious circle, as you keep increasing your costs and get fewer and fewer clicks and sales.

  • Track The Profitability of Your AdWords Campaign :

An AdWords campaign is no different from any other advertising campaign. You have to carefully track the cost-per-click and profitability results often. If you just let the campaign run without tracking, you’ll end up spending a lot more than you anticipated. Make sure your daily spending limit is within your budget too.

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