Google AdWords: Removing the ‘huh?’ factor

The world and how we live seems to be constantly changing. It’s hard to imagine that not even a generation ago businesses were producing documents on typewriters and fax machines were considered to be the latest in cutting edge technology.

From the late 1970s we have seen a major shift from industrialised, production-based wealth creation to information-based wealth creation. What does that mean? Basically, you no longer have to be the maker of a product to make money. You can now trade ideas for money. All this has become possible through the popularity of the Internet.

Google is today one of the world’s biggest and most influential companies and has trumped Microsoft in its reach into the lives of us little people. Just look at how this company has infiltrated our language: “Just Google it,” “I’ll Google where you are,” “Google her name,” “Google’ll know that.”

In fact, Google dominates the Internet, and in 2010 alone made $28 Billion. No, you haven’t misread – $28 Billion in one year. Google logs over 2 Billion searches a day, so around 300 Million people around the globe use Google every single day.

If you’re an entrepreneur or in business, you’re probably asking yourself how to tap into the virtual gold mine of the 300 Million people who go through the one website. In fact, that is the very secret to Google’s success – they have monetised this traffic! How? Through advertising.

Google sell advertising space on their search engine website through a system called AdWords. AdWords is actually Google’s main source of revenue. The AdWords program includes local, national, and international distribution, so it appeals to more than just your huge multi-nationals.

Google’s text advertisements are short, and to the point, consisting of just one headline and two additional text lines. Image ads can be one of several different Interactive Advertising Bureau (IAB) standard sizes. AdWords different methods of paying for this advertising space: Pay Per Click, Pay Per 1000 Impressions, and site targeted advertising.

Google’s Ads look like this:

The areas with a pale yellow background are AdWords advertisements. So too are the links below the Google map on the right. People pay different amounts for where their advertisements are placed.

Because the AdWords system is a little complicated, this has resulted in the development of a market for Third Party experts to help business and companies maximise their exposure through Google. AdWords Optimisation makes up part of what my Google AdWords Management agency SponsoredLinX do for our clients.

Becoming very good at AdWords optimisation can deliver amazing results in generating traffic to your web site, which can flow on to increase sales, improve your brand exposure, and improve revenues from selling your own advertising space.

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