Marketing expertise.

Adwords: The Good, Bad and Poor


The concept behind Google Adwords is nothing short of stellar. When buyers are actively searching for products you offer, that’s the ideal time to present them with your ad. But Adwords goes one even better  --  you don't pay if the potential buyer doesn't find your ad enticing (doesn't click on it).

If you're not already excited, you should be. You can write your own ads, select the specific keywords that represent your product, and define the location of your buyer (such as a 10 mile radius around your business).  And you can set a budget that will not be exceeded -- eliminating the risk of overspending.

So what’s the problem?

The underlying issue is that you can spend all of your allocated Google Adwords budget and get nothing in return. But how is that possible?

  1. Most Adwords ads direct potential buyers to home pages or non-existent pages. This is a travesty. It's like directing someone interested in a pair of furry boots to the front entrance of Macy’s rather than the shoe department -- yet alone to the Uggs display.
  2. Most Adwords campaigns are not actively monitored to determine the Cost per Action -- or CPA (such as cost per sign up, cost per customer, etc.). And given most business owners would rather do something rather than nothing, they keep spending believing they are making a good investment -- but many are not.
  3. Depending upon your product or service, Adwords may just not work. Some products/services simply cannot be effectively conveyed in 95 total characters -- or your buyer doesn’t use Adwords to find potential vendors.
  4. Your competitors see your ads and drain your budget by clicking.
From our experience, we recommend that Adwords campaigns be monitored weekly using a defined metric -- such as cost per sign up or cost per purchase -- but definitely not cost per click.

If the metric is not met, halt the campaign. Change the ad. Change the keywords. Change the landing page. Contact your ad representative. Don't be afraid to consider other methods to reach your target audience -- such as email lists.

Challenge the effectiveness of Adwords every month and you'll get the most from it. If you don't you'll surely wind up on the losing end wondering where all of your money went. And we all want to avoid the BOHICA (Bend Over, Here It Comes Again) moment!