Google Ads - Lesson 1 - What is Google Ads?

Google Ads is Google’s online advertising platform that allows businesses and individuals to create and display ads to reach potential customers. It operates on a pay-per-click (PPC) model, meaning advertisers pay when someone clicks their ad.

Lesson Outline:

How Google Ads Works (PPC, Ad Auction, Ad Placement)
Why Use Google Ads? (Benefits for businesses)
Why Learn How To Do Google Ads? (Benefits for digital marketers, VAs and freelancers)

How Google Ads Works

sample preview of ads on SERP — Image: Ad on Google Search Results Page

Google Ads operates on a real-time auction system using three key mechanisms:

Pay-Per-Click (PPC) Model - Advertisers only pay when someone clicks their ad. This ensures that you're not just paying for visibility, but for real user interest.
Ad Auction System - Google Ads doesn't just show ads randomly-there is an auction system that determine which ads appear and in what order.

It's important to understand that Google's ad auction is a complex, real-time process. However, here's a breakdown of how the auction works and the relative importance factors.
1. User Search - a user enters a search query on Google
2. Auction Trigger - Google's system checks if there are any ads that are eligible to appear for that search query
3. Ad Rank Calculations
  1. For each eligible ad, Google calculates the Ad Rank. This is a crucial step that determines ad position.
  2. Ad Rank is primarily determined by:
    1. Bid - maximum amount an advertiser is willing to pay for a click.
    2. Quality Score - Google's assessment of the ads' relevance and user experience.

Auction Outcome
1. The ads are ranked based on their Ad Rank (see above for what determines Ad Rank)
2. The ads with the highest Ad Ranks appear in the top positions on the search results page.
3. The advertiser typically pays 0.01 cents more than the next highest Ad Rank competitor (example, the 2nd in Ad Rank maximum bid is $2.00, you will pay $2.01 for the click).

Auction and Ad Rank Factors and Their Relative Importance

It's difficult to provide a strict order of importance for the different factors that influences the Auction but here's the general idea.

Quality Score - probably the most important. Google prioritises user experience. A high Quality Score can lead to higher ad positions, reduce cost-per-click (CPC). The Quality Score is made of the following:
1. Ad Relevance - how well your ad matches the user's search query
2. Landing Page Experience - how relevant and user-friendly your landing page is
3. Expected Click-Through Rate - how likely users are to click your ad
Bid - still a significant fact but it cannot guarantee top positions. If you have a high budget but your ads are not ranking well, check your Quality Score.
Ad Rank -result of the bid and quality score, this is what Google uses to determine placement. If you want to have high Ad Rank, optimise your Bid and your Quality Score.

Why Use Google Ads? (Benefits for Business)

Google Ads is a powerful business platform. It can reach potential customers and achieve various marketing goals.

Key Benefits:

Targeted Reach - allows for highly specific targeting based on keywords, demographics, location, and user interests. This ensures that ads are shown to people who are most likely to be interested in a business' products or services.
Measurable Results - provides detailed analytics and tracking, enabling businesses to monitor the performance of their campaigns. This allows for data-driven optimisation and a clear understanding of ROI.
Control Over Budget - Business set their own budgets and adjust them at any time. This flexibility is crucial for businesses of all sizes, from startups to large corporations.
Increased Brand Awareness - Even if users don't click on an ad, repeated exposure can increase brand recognition and familiarity. Search result placement, and display network ads, can greatly increase a brands visibility.
Immediate Results - Unlike SEO, which can take months to produce results, Google Ads can drive traffic to a website or landing page almost immediately. This makes it ideal for time-sensitive promotions or launching new products.
Flexibility and Adaptability - Google Ads campaigns can be easily adjusted and optimized based on performance data. Businesses can quickly adapt to changing market conditions or customer behavior. Ads can be paused, edited, or completely changed at any time.
Reach a Wide Audience - Google has the largest search engine market share, providing access to a massive audience of potential customers. The Google Display Network extends reach to millions of websites, apps, and YouTube.
Local and Global Targeting: Google Ads allows businesses to target specific geographic locations, from local neighborhoods to global markets. This is essential for businesses with physical locations or those targeting specific regions.

Why Learn How To Do Google Ads? (Benefits for digital marketers, VAs and freelancers)

Learning Google Ads can significantly boost the career prospects of digital marketers, virtual assistants (VAs), and freelancers. Here's a breakdown of the key benefits:

For Digital Marketers:

Enhanced Skillset:
- Google Ads is a fundamental tool in digital marketing. Proficiency demonstrates a well-rounded understanding of online advertising.
- It allows for the creation and management of targeted campaigns, a crucial skill for driving traffic and conversions.
Increased Employability:
- Employers highly value Google Ads expertise. It opens doors to more job opportunities and higher salaries.
- Being Google Ads certified further validates your skills and enhances your credibility.
Improved Campaign Performance:
- Learning advanced Google Ads techniques enables you to optimize campaigns for maximum ROI.
- Data-driven decision-making becomes easier with a deep understanding of Google Ads analytics.
Staying Relevant:
- The digital marketing landscape is constantly evolving. Google Ads is a core platform that consistently updates, so continuous learning is essential for staying competitive.

For Virtual Assistants (VAs) and Freelancers:

Expanded Service Offerings:
- Offering Google Ads management services increases your value to clients.
- It allows you to provide a more comprehensive suite of digital marketing solutions.
Higher Earning Potential:
- Google Ads management is a specialized skill that commands higher rates.
- You can attract higher-paying clients who need expert assistance with their online advertising.
Increased Client Acquisition:
- Businesses of all sizes need help with Google Ads, creating a large pool of potential clients.
- Being proficient in Google Ads makes you stand out from other VAs and freelancers.
Flexibility and Independence:
- Google Ads management can be done remotely, offering flexibility and independence.
- It also allows for the ability to work with a wide range of clients, from many different industries.
Demonstrable results:
- Google ads allows for very clear reporting of results. This allows a freelancer to very clearly show their clients the value they bring to a business.