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AdWords is an online advertising tool that helps businesses connect with their customers. You create your online ad, tell AdWords who you want to reach, and AdWords brings your ads to them. That’s basically it.
If you're working with a monthly advertising budget, you can calculate the average amount you might budget per day by dividing your monthly budget by ** 30.4 ** (the average number of days per month).
Google recommend picking between 5 and 20 keywords. Keywords of 2 or 3 words (a phrase) tend to work most effectively.
When choosing the appropriate match type for a keyword, Google typically recommend starting with broad match to maximize your potential to show your ads on relevant searches.
##Broad match
A keyword setting that allows your ad to show when someone searches for that keyword or a variation of it. The broad match keyword "bicycle bell" can cause your ad to show if someone searches for variations like "bicycle bells," "buy a bell for a bicycle," and "bell reviews for bikes."
Broad match lets a keyword trigger your ad to show whenever someone searches for that phrase, similar phrases, singular or plural forms, misspellings, synonyms, stemmings (such as floor and flooring), related searches, and other relevant variations.
For example, when you add "hats" as a broad match keyword, you tell AdWords to try to show your ad for searches containing that term or a similar one. Your ad might show for searches on "hat," "sun hats," and "caps." Broad match keywords help you reach the widest audience. Broad match is one of the four keyword matching options that help control how closely the keyword needs to match a person's search term in order for your ad to appear. You can choose one or more matching options for a keyword, and broad match will be used by default if you don't specify a particular matching option.
##Ad Formats
######Text ads
The most common kind of Search ad includes a descriptive headline, website URL, and descriptive text like a call-to-action
**Where they can show: ** Search Network Google Display Network
Ad extensions provide additional information to your text ad such as your business’s address or phone number.
**Where they can show: ** Search Network Google Display Network
In addition to an image, shopping ads contain product and pricing information, so users get a strong sense of the product you're selling before they click your ad. They’re ideal if you’re managing a large inventory of products.
**Where they can show: ** Search Network
Image ads capture people's attention as they browse websites in the Google Display Network.
**Where they can show: ** Search Partner Network, Display Network, but not in Google Search Network
Video ads are just what they sound like - a standalone video ad or a video ad that runs inside another streaming video.
**Where they can show: ** Search Partner Network, Display Network, but not in Google Search Network
App promotion ads send your customers to an app store to download your app, or include a deep link directly into your app.
**Where they can show: ** Search Network, Display Network
Call-only ads allow your customers to call your business directly by clicking on your ad. They’re useful for driving phone calls to your business from devices that can make calls.
**Where they can show: ** Search Network
Rich media ads are engaging ad formats that often include animation or other types of motion.
**Where they can show: ** Display Network
ROI = (Revenue - Cost of goods sold) / Cost of goods sold.
Example Let's say you have a product that costs $100 to produce, and sells for $200. You sell 6 of these products as a result of advertising them on AdWords. Your total sales are $1200, and your AdWords costs are $200. Your ROI is ($1200-($600+$200))/($600+$200), or 50%.
Link : https://support.google.com/adwords/answer/14090?hl=en