The Importance of Google Pay-Per-Click Advertising

2018-08-13T09:21:41-05:00 August 13th, 2018|ODDS Blogs|

Shelby Thompson

It’s easy to see the benefits that Google Pay-Per-Click (PPC) advertising has in store for companies when sitting at the command hub creating and managing the ads; but what does it really mean to show up at the top of the page in Google’s search results?

In today’s day and age, there’s no denying the ever-progressing shift to digital in every part of our lives – whether we’re shopping for a new vehicle, in the market for a house, or simply trying to hunt down the best of this, that, or whatever else; the tendency to turn to Google is innate. To be precise – over 40,000 search queries every second rendering over 3.5 billion searches per day.

As Google continues its upward trend in attracting search traffic, it has correspondingly upped advertising capability. A short time ago, Google featured one or two ads at the top of the page, and some additional ads in the right-hand column. Today, Google populates three or four ads at the top of the search results page, and cleverly disguises them to look like organic results.

If your only conception of “organic” is the type of food available in the grocery store, then you’re not far off from the actual definition. Organic results are unpaid search results that populate naturally based on relevance and other ranking factors. These results are typically found below the fold where not many of us venture (because that would require scrolling), putting an even greater emphasis on showing up in the top four ad slots.

Google developed a well-oiled algorithm to rank ads based on relevance to the consumer’s search query, which is not only beneficial to the advertiser but also the frightened online-researcher out there who has been taught to avoid ads like the plague. It’s simple – Google wants to provide the user with the most relevant information, and the empowerment of marketing folk to do so with paid ads has made search engine marketing a hot trend that should not be swept under the rug.

Yet, here we are in paragraph six, and the question remains, what does it really mean for a business to show up at the top of the page in Google’s search results? Stripping the explanation to its bare bones – if you aren’t advertising in Google and all your fellow competitors are, there is a strong chance that you are invisible. Simply put.

The amount of technology that we have access to today has inevitably led to the demise of “patience”; we want the most relevant information stat. And, where do we turn when we want that information? Over 90 percent of mobile users in the United States turn to Google for answers, which yet again, captures the importance of advertising in Google.

Picture it like this, every single time somebody gets onto their computer or cell phone and conducts a search in Google, an auction for advertisers occurs within seconds. Just like a real-life auction, advertisers around the world bid on keywords they believe will give them the best chance to show their ad in Google’s top four search results. However, the next part of the auction differs greatly from bidding on that antique Benjamin clock you just have to have versus bidding on keywords in Google:

Bidding for that antique Benjamin clock depends solely on who’s willing to pay the most for it, whereas bidding on keywords not only relies on how much you’re willing to pay for a click but how relevant both your keywords and associated ads are to what an individual searched for in Google.

Furthermore, the determination of where your ad shows up on Google’s search results page depends on a more complex system than merely how much money you’re willing to pay. If Google PPC advertising solely depended on budget, then only the companies who could afford massive budgets would be showing ads in Google, which would correspondingly neglect relevance to the consumer.

To avoid this, Google created a system in which your ad’s position on the search results page is the product of both the maximum bid you’re willing to pay for a keyword, and quality score, a rating that gauges both relevance and usefulness to the consumer. Google helps the consumer by providing the best answer to their search query with the most relevant ads, and simultaneously caters to the advertiser by giving them a chance to rank based on more than just budget.

So, why the long explanation and what does it mean? Google grants advertisers a fair chance to show ads when potential customers are searching for their business and the product or service. So, if you’re not running ads on the most utilized search engine in an increasingly-digitized society, then where are you? Yes, of course you could be showing up in the organic results, which is great! But, let’s pretend your industry is extremely competitive; if all four ad slots on the search results page are your competitors, then how effective is it to be only showing up in the organic results, beneath the fold? Probably not nearly as effective as your competitors in the top four ad slots.

Google Ads has far more working parts than discussed in this article, but the point here is to convey the importance of being there for your potential customers when they go searching for you in the most popular search engine. Take advantage of Google catering to you, the advertiser, and give your business its best chance to stand out in the market.

ODDS Marketing is a full service digital marketing agency that has the experience to get the results you need. Contact us to learn more about our paid advertising services.