GOOGLE ADS

Google AdWords, Google Advertising, or the new Google Ads is an online form of PPC (Pay-Per-Click) advertising that is one of the most effective forms of advertising today.

Ads created in Google Ads appear in the top 4 in search results, as well as in the last. This means that your Google ad is appearing above and below the results of unpaid (organic) searches. However, we know from experience that the first 4 ads receive the most clicks. Their clickthrough rates are usually as follows:

1st position = 30%
2nd position = 14%
3rd position = 9%
4th position = 6%

The CTR values given are for guidance only. It was mainly a matter of pointing out the correlation ad position in search VS ad clickthrough rate.

Benefits of Google Advertising

Effectiveness - You pay only for visitors who click on your ad.
Speed - The campaign can be started or stopped within 3 minutes.
Availability - Because Google doesn't define a minimum credit to buy before the campaign can run, advertising is available to both small and large businesses.
Regulation - the media budget can be regulated according to your needs. Again, no limits.
Ad targeting - by, country, language, time, device, etc.
Ad text - it is possible to change very quickly and react flexibly to the new situation in your business.
Measurability - the ability to very accurately measure the reach of the ad (number of clicks, number of purchases, number of submitted forms, and more)

HOW GOOGLE ADVERTISING WORKS

Because there are many advertisers and limited advertising space, every search on Google searches for an auction with the highest bid. However, the maximum cost-per-click is not the only factor that affects auction results.

Ad position calculation is based on two factors:

The maximum price you're willing to pay if someone clicks on your ad.
Quality Score.

What does Quality Score depend on?

Expected Ad Clickthrough Rate (CTR)
the relevance of the ad (especially the use of keywords in the ad text)
Landing page experience (e.g., landing page bounce rate)

Example of calculating ad rank in Google Ads paid advertising

HOW MUCH WILL THE CLICK COST?

Actual CPC = (Competitor Ad Rank / Quality Score) + € 0.01

However, we can say from practice that in the Slovak market, the price per click, with average competitive terms, ranges from € 0.3 to € 1.00. Highly competitive terms can cost several euros. However, this is especially the case in highly competitive sectors such as insurance or banking.

When to use Google AdWords?

We dare say that there are very few cases where we would not recommend Google AdWords, especially when we talk about search campaigns.

Google AdWords may be the right choice if you need to target your ads to the right people at the right time and in the right place.

The great advantage of this form of advertising is immediate access to current information such as:

number of ad impressions
number of ad clicks
the number of purchases or forms submitted on your site
spent Google credit and more…

If you are interested in this type of advertising, do not hesitate to contact us.

How much does an Google Ads (AdWords) ad cost?

Google is the most used search engine in Slovakia with a share of approximately 99%. So it's no wonder that Google ads called Google AdWords or the new Google Ads are doing very well.

Just for comparison, the second largest search engine (or catalog) is Zoznam.sk and its share in the search is less than 1%.

So most of us come into daily contact with Google. Even in common parlance, the term "google" was used as the equivalent of searching for information. Therefore, there is room to display paid ads, which are among the most relevant in the world. As we know, Google uses the cost-per-click (CPC) model for search campaigns, which means that an advertiser only pays for an ad when someone clicks on it.

Google AdWords Search CPC (Google Ads)

First of all, there is no fixed price list for Google Ads clicks for Google AdWords advertising. CPCs work on an auction basis. They therefore move on different levels. It can be only 0.10 € or 0.8 € per click. Of course, there are exceptions where the cost per click can climb up to € 1 or more. In general, however, the prices of clicks in Slovakia are significantly lower compared to the "West".

How does the Google AdWords auction system work?

What affects the price of Google advertising?

The maximum cost-per-click you set: This may come as a surprise, but first and foremost, it's the maximum cost-per-click that you set yourself. Google favors advertisers who are willing to pay more. If you pay a higher amount of money, your ad is more likely to appear in a higher position. So we come to the next factor.
Quality Score: This is an estimate of the quality of your keywords, ads, and landing pages. Higher Quality Scores can lead to lower cost-per-clicks and higher search positions. Keyword quality is rated on a scale from 1 (lowest SQ) to 10 (highest SQ). Quality Score is affected by several factors:
- Expected Clickthrough Rate (CTR)
- the relevance of the ad,
- experience with the landing page.
Competition that advertises for a given keyword. The more competitors advertise on the same keyword, the higher the cost-per-click for that keyword. CPCs are auctioned by Google Ads, which places advertising in the auction system.
Seasonality: is a very strong factor in search advertising, although it is often forgotten. A typical example is the period before Christmas, when the demand for goods and services is growing. In that case, advertisers try to appear as high as possible in search results in order to gain as many customers as possible. As the number of positions at the top of the page is very limited, the cost-per-click will naturally increase, with the result that the best positions will be filled by advertisers who are willing to pay the most for a click.

Example keywords and cost-per-click:

An example of seasonality in search

See how the search volume for "Travel Insurance" looked like during 2017/2018:

As we can see, the term "travel insurance" has the highest searches on Google during the summer holidays. Therefore, it will be very important for advertisers who sell travel insurance to occupy the highest possible position during this period.

For an advertiser, this means there will be a lot of competition for this term, so the cost-per-click of a Google ad will be higher than the average CPC provided by Google's keyword planner , for example, during the summer months.

We can also include a commission from an online advertising specialist for Google AdWords management

First of all, it is necessary to take into account the price for the initial setup of the campaign (advertising account). This amount is not fixed in most cases. The price is mainly influenced by:

campaign scope
website size
number of advertised products.

The cost is calculated based on the estimated time required to set up your campaign. In Slovakia, the price of the work of an online marketing specialist or digital agency can range from € 25 to € 50 per hour of work. Of course, there are exceptions when more can be charged.

Another item of Google advertising is Google credit, ie the media budget for the campaign, which is usually set on a monthly basis. In most cases, the client charges the credit himself using his credit card (American Express, Mastercard or Visa) or by transfer to a bank account.

The monthly report of the campaigns is also calculated according to the number of hours per month spent on optimization, reporting or consultations, which are necessary for the proper functioning and return on investment of advertising campaigns. The total price of the monthly campaign report is thus again calculated at a fixed rate per hour of work multiplied by the number of prepaid hours and a fixed hourly price of work. In general, the monthly Google Ads report ranges from € 150 to € 250, depending on the scope of work.

Would you like to know how much advertising would cost your business? Request a free consultation .

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