Google paid search terminology can seem confusing for beginners.
Knowing the terms used in paid search campaigns is crucial for understanding how they work.
We explore 10 key Google paid search terms below to help you better understand how PPC campaigns work!
Google paid search is a vital component of any digital marketing campaign. However, much like SEO, it can often feel like a foreign language for those unfamiliar with it!
Don’t panic though. Before diving right into launching a paid search campaign, it’s important to first understand the basics terms for paid Google ads. Here, we take a quick yet detailed look at 10 Google paid search terms to help you better understand how it all works.
1. Cost Per Click (CPC)
CPC refers to the amount an advertiser pays a search engine for one click.
2. Cost Per Acquisition (CPA)
This metric measures the cumulative cost of acquiring one paying customer in a marketing campaign.
3. Click Through Rate (CTR)
CTR is a metric that measures the number of people who clicked on an ad divided by the number of people who saw it, another metric known as impressions. CTR is one of the most important metrics to watch in any Google paid search campaign.
Conversions are the desired action taken by users who click on paid search ads, such as purchasing a product or signing up for an email newsletter. Notably, most search engines track visitors for up to 30 days, so an actual conversion may not happen until a subsequent visit days or even weeks later.
5. Quality Score
Quality Score is a ranking system on a scale of 1-10 used by Google to decide an ad’s rank. It estimates the quality of the ad itself, plus keywords used and the landing page the advertisement takes users to. Ads with higher Quality Scores often enjoy lower prices and better ad positions.
6. Return on Ad Spend (ROAS)
This refers to the ratio of money gained or lost in an investment relative to the amount of advertising money invested. It’s determined by dividing the profit from an advertising campaign by the cost of the ad campaign.
A critical part of any Google paid ads campaign, keywords are words or phrases used by advertisers to target and display their ads on search results pages. Each landing page should be optimized with the goal of drawing in and converting users who have searched for specific keywords.
8. Ad Copy
Ad copy is the content within your ad designed to prompt users to click on it and ultimately convert.
9. Ad Position
This refers to the order in which your Google paid search ad appears on a page in relation to other paid ads. For example, an ad position of “one” means that your ad is the first displayed on a search results page.
10. Match Type
Match Type is a matching option that advertisers can choose which control when their ad is shown to users. They include exact match, phrase match, broad match, and modified broad match.