Workshop

Marketing on the Internet

FE257 – The Paul Merage School of Business, UC Irvine

Saurabh Bhambry - Jan 25, 2013

MBA Class of 2013 | sbhambry@uci.edu
 Agenda
• Google AdWords - Overview
• Google AdWords In action
– In Practice (use cases)
– Fundamentals
• Advanced Concepts
• Google AdWords – Hands-on
• Q&A
 Major Ad networks
Google AdWords Microsoft Ad Center Facebook Ads
Yahoo

3.5% 1.8% Google Sites

Microsoft
12.2% Sites

Sep’2012 Yahoo Sites

15.9%
% Search Share
66.7% Ask Network
Source: ComScore.com
AOL, Inc.

Google Adwords –
Overview Adwords In Action Advanced Concepts Q& A
Hands-on
 What is AdWords ?
Its Google’s online advertising platform that can
help you drive interested people who are searching
on Google for specific information, service or
product to your Website.

AdWords is for Advertisers

AdSense is for Publishers
Google Adwords –
Overview Adwords In Action Advanced Concepts Q& A
Hands-on
 Google Ad Formats
Search Ads Display Ads

Text Ads Image Ads Video Ads

Its advisable to start with Search Ads

Google Adwords –
Overview Adwords In Action Advanced Concepts Q& A
Hands-on
 How Google ADwords works?

Product/Service Advertisement Landing Page

Keywords

Shoes for men

Running Shoes
Men’s Formal Shoes
Women’s Shoes

Google Adwords –
Overview Adwords In Action Advanced Concepts Q& A
Hands-on
 Benefits
• No Minimum budget
• Extremely Targeted
• Highly Flexible – Start & Stop at will
• Can be measured/monitored

Google Adwords –
Overview Adwords In Action Advanced Concepts Q& A
Hands-on
 AdWords – In Practice

Google AdWords –
Overview AdWords In Action Advanced Concepts Q& A
Hands-on
 Google AdWords - Fundamentals
Anatomy of Search Engine Results Page (SERP)

Text Ads

Ads – shaded
area

Organic Search
Result

Google Adwords –
Overview Adwords In Action Advanced Concepts Q& A
Hands-on
 Text Ad Components
Advertise with Google Headline
adwords.google.com Display URL
Want fast results? Description
Create your ad campaign today!

• Headline – Consider including keywords, Can’t be more 25 characters long

• Display URL – Can be different from the destination URL

Can be enhanced with website links

• Long Display URL – Limit of 35 characters

• Description – Can’t be more than 35 characters long

Google Adwords –
Overview Adwords In Action Advanced Concepts Q& A
Hands-on
 Ad Positions

Based on Ad Rank in auction

Ad Rank depends on
1. Bid
2. Quality Score

Google Adwords –
Overview Adwords In Action Advanced Concepts Q& A
Hands-on
 Keyword targeting
Selecting the right Keywords
#1 Two-three words long
Strike the balance between too generic & too specific

#2 Use Negative keywords for improved ROI

Negative Keywords – keywords for which you don’t want to show ads

#3 Remember – Google assigns ads Quality Scores

Low Quality Score may result in poor ad placement and high price

Google Adwords –
Overview Adwords In Action Advanced Concepts Q& A
Hands-on
 Keyword targeting
Keywords matching options
Use this match With this To trigger your ad Example
type... punctuation... on...
broad match none synonyms, related adopt kittens chicago
searches, and other
relevant variations

broad match +keyword close variations but +adopt +kittens

modifier not synonyms or +chicago
related searches

phrase match "keyword" a phrase and close "adopt kittens"

variations of that chicago
phrase
exact match [keyword] an exact term and [adopt kittens
close variations of chicago]
that exact term
negative match -keyword searches without the -puppies
term

Google Adwords –
Overview Adwords In Action Advanced Concepts Q& A
Hands-on
 Budgets & Bidding
Define the advertising Goal:
• Clicks
• Impression
• Conversion

Bidding Options:
1) Clicks – CPC bidding (Automatic & Manual)
2) Impressions – CPM bidding
3) Conversions – CPA bidding

Google Adwords –
Overview Adwords In Action Advanced Concepts Q& A
Hands-on
 Budgets & Bidding
The concept of Ad Auction
1. The search:
Joe searches for
"pizza delivery,"
stomach growling in
the background
4. Ads are ordered:
The remaining ads are
shown, ordered on the
page based on a
combination of bid
amount and quality (we
call that formula Ad
Rank).
Images Source: Google AdWords website
Overview Adwords In Action
2. Ads are whittled
down:
The AdWords system
finds all ads whose
keywords match that
phrase "pizza delivery"
closely enough.
5. Ads appear!
Joe sees relevant ads
appear and orders
the pizza of his
dreams.
Advanced Concepts
3. Ads whittled even more:
From that set of matching
ads, the system ignores any
that aren't eligible, like ads
that target a different
country or are disapproved.
6. Repeat the process:
Every time someone hankers for a
pizza and does a search, the
whole auction process starts again
with potentially different results
each time, depending on the
competition at that moment.
Google Adwords –
Q& A
Hands-on
 Monitoring Ads
What to measure ?
Impressions, Clicks and Click Through Rate (CTR)

CTR = Clicks/Impressions

CTR > 1% is good

Keep an Eye on Keywords to achieve it.

Google Adwords –
Overview Adwords In Action Advanced Concepts Q& A
Hands-on
 Campaign ROI
How to decide which ad campaign is performing
better?
Measuring ROI = Profit/ Cost
Campaigns Impressions Clicks CTR Avg. Max CPC Cost
#1 Running 10,0000 250 2.5% $1 $ 250
Shoes
#2 Tennis 10,000 500 5% $ 0.5 $ 250
Shoes

Conversions Conversion Cost per Profit per ROI

Rate Conversion Conversion
10 4% $ 25 $ 50 200%
30 6% $ 8.3 $ 10 120%
Google Adwords –
Overview Adwords In Action Advanced Concepts Q& A
Hands-on
 Google AdWords Tools
Keyword External Tool
Tool for choosing effective keywords

Google Adwords –
Overview Adwords In Action Advanced Concepts Q& A
Hands-on
 Setting up an Ad campaign
Choosing Ad Campaign type:
#1 Choose network on which you want to display the Ad
Search & Display
Search Only
Display Only

# 2 Choose sub-campaign type

Search & Display Network – Standard & All Features
Search Only – Standard, Product Listing Ads, All features
Display Only – All Features, Mobile Apps, Remarketing
Google Adwords –
Overview Adwords In Action Advanced Concepts Q& A
Hands-on
 Campaign Structure

Images Source: Google AdWords website

Google Adwords –
Overview Adwords In Action Advanced Concepts Q& A
Hands-on
 Workshop Overview
Hands-On demo :
a) New Campaign set-up
b) Ad groups set-up
c) Creating text-ad
d) Ad approvals
e) Campaign settings

Google Adwords –
Overview Adwords In Action Advanced Concepts Q& A
Hands-on
 Thank You

Questions ?

Google Adwords –
Overview Adwords In Action Advanced Concepts Q& A
Hands-on