Google AdWords is an internet marketing platform developed by Google, in which advertisers bid for placement of short ads, service offers, product lists, or video clips to online visitors. It may place ads both on the top results of major search engines such as Google, Search and over other sites, on mobile applications, and web videos. The cost per click on Google AdWords is less than the cost per thousand impressions (CPM) on TV ads. Google AdWords program has two phases: Display and Content Network. The displayed advertisements appear at the end of the sponsored links on the right side of the Google search results.
Google AdWords uses two main ad groups: Pay-per-click (PPC) and pay-per-impression (PIM). In pay-per-click program, advertisers only pay when someone clicks on the advertised text, while PIM program allows advertisers to decide what part of their ad shows up based on relevancy, popularity, and other parameters. Pay-per-click keywords or key phrases play a greater role in search engine results rankings, while PIM keywords are often less competitive, but still can generate substantial revenue for a website.
Google AdWords also uses two types of match types: static and dynamic. A static match is a one-time direct connection between your selected search term and your chosen Google AdWords ad group. With dynamic keyword insertion, the ads to display based on the search term entered by the user. Ads that are displayed using this technique have been carefully evaluated to best match the users’ search queries. In addition to competing against other advertisers, you must effectively target your customers to obtain high search engine placements.