Will AdWords be successful for your small business?
Written by Soren
So you're a small business owner looking for new ways to increase the amount of traffic to your website and generate more sales. You've heard good and bad things about Google AdWords and you're hesitant about whether trying it out will do wonders for your business or ultimately be a waste of money.
According to the Google Economic Impact Report Google AdWords should be working positively for the majority of companies, with businesses in the US making an average of $2 for every $1 spent with AdWords, a figure which is likely to grow owing to the increase in click-through-rates which have risen by 25% in 2014.
Large companies such as Amazon spend thousands of pounds on their AdWord's campaigns and so some feel small businesses don't have a chance. These AdWord cynics, mainly criticise it for the three reasons below but we at Pople Media disagree with these and here's why:
- You're not guaranteed success. You're not guaranteed success with any type of marketing. Online marketing including pay-per-click has a 54% success rate and where this may not sound overly promising, in comparison to other marketing techniques such as local TV advertising which is only 1% successful, it is.
- That google-users don't click on paid advertisements, so it is more useful to invest in organic SEO. Not true, 64.6% of clicks are actually AdWords links. Where it is still important to concentrate on SEO as much as you can, for some searches it is impossible to get your site on the first page because of high competition, so paid advertising is necessary especially if your competitors are also using it.
- You'll waste money. You have to pay for all sources of marketing but rather than putting thousands of pounds into one campaign and crossing your fingers it pays off, with AdWords you can set several campaigns that you can measure and those that aren't so effective you can stop and those that are more successful you can put more money into.
The reality is that some companies have lost money by investing in AdWords, but setting up a couple of campaigns and hoping that it will work is probably not going to be effective. In order for your business to prosper with AdWords without wasting any money, you need to make sure you do the following 5 things:
1. Choose your keywords carefully: Use Google's Keywords Tool and make keywords more focused to include locations. For example if your company designs websites, the large website design companies will be paying lots of money to be first on google for the term 'web design,' instead of just web design you'll need to try web design in East Sussex and website design in Brighton, the more niche, the cheaper it will be.
2. Use negative keywords: As soon as someone clicks on your page through a paid link, you'll be charged, so use negative keywords so people who are searching for something similarly worded but not your product does not go on your website. For example if you're a bike shop that only sells brand new children's bikes, a couple of your negative keywords could be 'adult bikes' and 'second hand' to stop anyone who is looking for that type of bike clicking on then off of your site.
3. Use multiple campaigns: You can run up to 25 keyword campaigns at once on AdWords so it's important to create a lot of adverts aimed at different audiences and using different keywords. For example, if your business sells jewellery you could run one ad for necklaces aimed at women in their twenties and one for watches aimed at middle-aged men.
4. Monitor your results and adapt your campaigns accordingly: Make sure you check your AdWords account and your Google Analytics account everyday. This way you can see who is clicking on your ads and how many conversions you are getting. You can then react accordingly so if you're not getting enough clicks you'll need to change your keywords and if you're not getting enough conversions you'll need to work on your landing pages.
5. Use Goals and measurement tools: Set goals so you can see how many clicks turn into sales. Your goals should be the things you want to aim for, such as an increase in website traffic, an increase in sales or more email sign ups. You'll need to establish a realistic target to reach using the statistics, for example the average conversion rate is 1%, so depending on the industry this should be your conversion goal for your website.
As long as you set up top quality campaigns, monitor these daily and react accordingly, AdWords will be beneficial to any business. We work with our clients to get them on the first page of search engines using SEO and by running AdWords campaigns. If you want to speak to a member of our team about it, you can find our number on our Get In Touch page.