What Are Google Ads & How Do They Operate?

 There are 63,000 searches made on Google every second, and most search results pages feature Google adverts. Google advertising, which are purchased by businesses, may be an incredibly successful way to get relevant, qualified traffic to your website precisely when people are looking for the kinds of items or services your organization provides.

You'll discover what Google advertisements are, how they operate, and the benefits of running your own Google ads in this article.

What is Google Ads?

Google sells paid adverts that show up in search results on google.com using Google Ads or on other websites using the Display Network and Google's AdSense program.

Here is an illustration of a Google search results page (SERP). An "Ad" label is used to identify the sponsored results, or advertisements. There are two areas of paid Google ads: one at the bottom of the results page and one above the "natural" or organic results.

On the Google Display Network, Google also provides Display Ads. The Display Network is a huge collection of unaffiliated, external websites that have joined forces with Google and agreed to use Google adverts. Google ads on the Display Network can be targeted differently and come in text, picture, video, or rich media formats. Banner advertisements and remarketing are included in this.

If you were using AdSense, your adverts would show up on a website in the following locations:

Why Do Google Ads Show Up?

The Google Ads auction is centered on keywords; advertisers select a list of keywords to target that are pertinent to their product offerings and the phrases that customers are most likely to type into search engines while looking for their goods. In order to determine how much they are willing to spend for a Google user to click on their ad, they then place bids for these keywords. Which Google ads show on the SERP is determined by this bid along with a Quality Score that Google assigns based on the value of your proposed ad. The advertiser must pay a particular amount (the cost per click, or CPC), which is determined using the method below:

Google's Ads Auction

Visit the most recent article in our series How Does Google Ads Work? to get the full rundown. The Whole, Visual Manual

Every time a user conducts a keyword search, Google Ads conducts an auction.

Infographic illustrating the Google Ads Auction explaining how Google Ads Work

You must maximize your Quality Score and bid amount in order to "win" the Google Ads auctions and have your Google ads show up for relevant keywords. Your ad will appear in a better position the higher your Quality Score is in combination with your bid amount. Your Quality Score is influenced by the following elements, among others:

The correspondence between your Google ad and the search query

The compatibility of your ad group with the Google term

Your advertisement's relevancy to its landing page

The ad's and its ad group's historical click-through rate (CTR)

overall performance of historical accounts

A high quality score has additional general advantages as well:

Cost-saving measures: Google rewards advertisers with good Quality Scores by reducing their cost per click (CPC), which aids in boosting ROI.

Greater exposure - When you have a high Quality Score, your adverts will appear more frequently and in better SERP positions (the top of the page as opposed to the bottom). You can increase clicks and conversions as a result without increasing your bids.