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How can targeted advertising help your business? Part 2/2

03 July 2014


In our previous post, we introduced the many different forms of online targeted advertising, and investigated how exactly they work. Here in part two, we will focus on Google AdWords, and delve into its pricing and general effectiveness.
As of spring 2011, Google had over 1.2 million businesses advertising on its network. Three years on, this number can only have gone up. Clearly then, AdWords is an extremely popular platform for all sorts of businesses to advertise and increase their revenues. Part of the reason for this is the pricing model which AdWords relies on, which is a CPC (cost-per-click) based auction. This means that Google will only charge you when your advert is clicked on, rather than for the whole time it is displayed. When first making an account with AdWords, there are several elements of pricing to consider:

The higher your maximum bid, the higher your ad will appear on the search results page and the more interest your ad should generate. You can also move your ad further up the results page by using more highly – targeted keywords, which will improve your ad’s rating.
So now that we have outlined the system, how can you use it to your advantage? Well, there are many important practices which you as a company should stick to in order to make the most of your ad space:

Although these steps may seem a little inconsequential, the AdWords system has been proven to work over the years. A huge amount of facts and statistics support it, such as:

After all that, hopefully we have shown you just how useful advertising systems like AdWords can be. Overall, targeted advertising is extremely valuable to most businesses, and its popularity can only increase.

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