The Complexity Of Google Adwords Marketing


Google Adwords is similar to Rubik’s cube, a simple combination puzzle with high complexity. To assist businesses to access the tools, Google support team has provided an expert consultation, videos guide and documentation. The question, is the tool easy to handle? Where does complexity come from?

To start a campaign, the following agendas should be put into consideration:

1. Budget – The budget you willing to spend for a day and the entire Adwords campaign.

2. Type of campaign – You have to decide which campaign is aligned with your business need, either go for a search, display or video ads.

3. Type of bidding:-

a) Cost per click (CPC), the bidding focuses on business engagement, you expect visitors to click, visit and purchase at your website. Adwords bills you when someone clicks your ads.

b) Cost-Per-Thousand Impressions (CPM), this type of bidding is similar to TV or Radio ads, the campaign solely target to build public awareness, regardless if audience takes action to purchase or not. You can be expected more audiences to see your ads because CPM cost is much lower than CPC.

c) Cost-per-acquisition (CPA), the budget you willing to spend for every successful conversion. The conversion can be a new member sign up, successful purchase order, or an enquiry.

Example calculation: Kent Chua spends RM100 equally for CPC, CPM and CPA campaign. At the end of the campaign, he is guaranteed to get minimum 100 clicks, 100,000 impression and 2 conversions.

Campaign CPC CPM CPA
Budget you willing to spend RM100 RM100 RM100
Cost for different bidding type RM1 per click RM1 per 1000 impression RM50 per conversion
Guarantee return of investment 100 clicks 100,000 impressions 2 conversions

4. Type of audiences – Either new or returning audiences. Targeting on new visitors helps to extend new market, while targeting on return visitors also known as remarketing, the ads re-target audience browser cookies. Remarketing ads will remind customers to repeat order or approach user who visited the website but never purchase.

5. Demographics – The ads is targeted according to audiences by gender, age group and parental status e.g. beauty product store more likely to target female audiences, Childcare center more suitable to target parental status.

6. Audience interest – Ads targeting based on users hobbies e.g. movies lover, air travel, junkies news.

7. Geographical – Targeting on specific region or state e.g Malaysia, Singapore, Cheras, Penang Bayan Lepas

8. Devices – mobile, tablet or desktop

9. Schedule – Campaign period, specific day and hour e.g. Flower during valentine, gift set for Christmas festival.

10. Ads placement – Ads placement on the specific website or let it auto pick by Adwords. Suitable for those advertisers have identified their niche market, only deliver the ads to a specific blog, forum or website.

Which strategy suit you? The mix and match bidding option is complex, to optimize every Ringgit, ongoing analyse is important.