Adwords Exam: Fundamentals

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The benefits of AdWords

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Relevance, ROI and Reach

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Keyword

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The keywords you choose are the terms or phrases you want to prompt your ad to appear. For example, if you deliver fresh flowers, you can use "fresh flower delivery" as a keyword in your AdWords campaign. When a Google user enters "fresh flower delivery" in a Google search, your ad could appear next to the search results.

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Placements

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Like keywords, placements are another way for you to control where your ads appear. A placement is usually a website where you'd like your ad to appear. For example, if you select www.example.com/sports as a placement, your ad could appear on that site.

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Image ad

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A graphical ad, which can be static or animated, that runs on the Google Display Network. Also called a display ad.

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Campaign & Ad Group

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AdWords accounts are organized into campaigns and ad groups. You start with one campaign, which has its own daily budget and targeting preferences. You can have multiple campaigns running and might choose to create one campaign for each product or service you want to advertise. Within each campaign, you have one or more ad groups, which are sets of related ads, keywords, and placements.

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Impression (Impr.)

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The number of impressions is the number of times an ad is displayed on Google or the Google Network. Monitor your impressions to see how many people your ad is shown to.

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Click

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If a customer sees your ad and clicks on it to learn more or to do business with you, it is recorded in your account as a click. Monitor your clicks to see how many people choose to enter your website from your ad.

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Click Through Rate (CTR)

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Your clickthrough rate (CTR) is a metric that helps show how your ads are performing. The more relevant your ads are, the more often users will click on them, resulting in a higher CTR. The system calculates your CTR as follows: Number of ad clicks/number of impressions x 100.

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Cost-per-click (CPC)

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Under the cost-per-click (CPC) pricing model, AdWords charges you for each click your ads receive. You won't incur any costs if your ad is displayed and users don't click it. CPC bidding is the default for ads running on Google and the Search Network. Most advertisers also choose it for their campaigns that focus on getting a direct response from their audience, whether a sale, sign-up, or other action.

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Maximum cost-per-click (maximum CPC)

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The highest amount that you are willing to pay for a click on your ad. You can choose to set a maximum CPC for individual keywords or for all the keywords within an ad group.

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Cost-per-thousand impressions (CPM)

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With some campaigns, you can choose to pay for views of your ad rather than clicks. The maximum CPM is the most you're willing to pay for each thousand impressions, or views of your ad. CPM bidding is only available for campaigns that target the Display Network and not Google search or search partner sites.

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Quality Score

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Quality Score is the basis for measuring the quality of your keyword and ad and determining your cost-per-clicks (CPCs). Quality Score is determined by your keyword's clickthrough rate (CTR), relevance of your ad text, historical keyword performance, and other relevancy factors. The higher your Quality Score, the lower the price you'll pay per click.

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First page bid estimates

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Your AdWords account will show a first page bid estimate for each of your keywords. This metric estimates the cost-per-click (CPC) bid needed for your ad to reach the first page of Google search results when the search query exactly matches your keyword. The first page bid estimate is based on the Quality Score and current advertiser competition for that keyword.

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Optimization

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An optimization is the process of creating/editing keywords and ad text (or adjusting other parts of the account) to improve the performance of AdWords ads.

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Destination URL

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The URL address for the page in your website where you'd like people to be sent after they click your ad.

For each ad, you'll specify a display URL (shown to customers with your ad) and a destination URL (used to determine where people are taken when they click your ad). Google's policy is that both URLs be within the same website (meaning that they share the same domain).
Your destination URL isn't visible in the ad, so you can use it to direct people to a specific page within your site without cluttering your ad. For example, an ad could use a clean display URL like example.com to show with the ad, while using a more specific destination URL like example.com/camera_purchase_page.html to link customers to the most relevant page.

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Landing page

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The webpage where customers end up after they click your ad. This page is usually the same as your ad's destination URL.

For each ad, you specify a destination URL to determine where people are taken when they click your ad. Unless your webpage uses a redirect for tracking purposes, your landing page and destination URL will be the same webpage.
Google's policy is that your landing page and display URL (the webpage shown in your ad) must be within the same website, meaning that they share the same domain.
Your landing page experience is one of several factors that helps determine a keyword's Quality Score. The experience of a landing page is represented by such things as the usefulness and relevance of information provided on the page, ease of navigation for the user, how many links are on the page, and more.

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Maximum CPC bid

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A bid that you set to determine the highest amount that you're willing to pay for a click on your ad.

If someone clicks your ad, that click won't cost you more than the maximum cost-per-click bid (or "max CPC") that you set. The actual amount that you pay is called the actual CPC and is shown in your account's "Avg. CPC" column.
A higher bid generally helps your ad show in a higher ad position on the page.
You'll choose between manual bidding (you choose your bid amounts) and automatic bidding (Google chooses bids amount within your budget). With manual bidding, you'll set one maximum CPC bid for an entire ad group, but can also set different bids for individual keywords.

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Maximum CPM bid

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A bid that you set to determine the highest amount that you're willing to pay for 1,000 impressions (times your ads are shown).

CPM stands for cost-per-thousand impressions, so you pay for each set of a thousand showings of your ad rather than paying for the number of clicks that you receive. CPM bidding is best suited for advertisers who are focused on brand awareness rather than sales or website traffic.
You set a maximum CPM bid (or "max CPM") and then won't pay more than that amount for every 1,000 impressions your ads receive.
A higher bid generally helps your ad show higher on a page and show more often.
You can set a maximum CPM bid for an entire ad group and also set different bids for individual placements.

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The 5 levels of targeting

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Country, Regional, City, Customized (radius and set borders) and Language

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Controlling AdWords Costs: Budget

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There's no minimum spending requirement. You set the limit on how much you're willing to spend each day per campaign.

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Controlling AdWords Costs: PPC or Impression

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You can choose to pay only for clicks on your ads or only for impressions your ads receive. You specify how much you're willing to pay per click or per impression.

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Controlling AdWords Costs: Smart Pricing

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Smart Pricing automatically reduces the price advertisers pay for clicks if our data shows that a click from a Content Network page or a Search Network page is less likely to result in a conversion.

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Controlling AdWords Costs: AdWords Discounter

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The AdWords Discounter is a feature that monitors competition and automatically reduces your actual cost-per-click so that you pay the lowest price possible for your ad's position on the page.

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Ad Creation Marketplace

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The Ad Creation Marketplace offers a selection of industry professionals who can provide script writing, editing, production, and voice-over talent at an affordable package cost. You can access the Marketplace from your AdWords account, and it's free to search for and send project bids to specialists. You aren't under any obligation to work with them until you accept a bid.

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Account Preferences

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To view or change your account preferences, go to the My account tab and select Account preferences.

On the account preferences page, you can:

1. Edit your username, password, and display language
2. Decide which notifications you'd like to receive (such as newsletters) and how you'd like to receive them
3. Edit your primary business type.
4. Edit your Google Analytics auto-tagging capability
5. Review the AdWords Terms and Conditions

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The 6 main tabs in an AdWords account

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1. Home
2. Campaigns
3. Opportunities
4. Reporting
5. Billing
6. My Account

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CTR formula

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# of clicks / # of times the ad was displayed as a percentage.

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ad rank

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max cpc * quality score
The ad with the highest ad rank will appear in the first position.

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The 3 categories of policies

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1. Editorial and Format
2. Content
3. Link

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Maximum number of Campaigns in an AdWords account.

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Each AdWords account can have up to 25 different Campaigns.

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Maximum number of ad groups per campaign.

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Up to 2,000 ad groups per campaign.

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Maximum number of display ads per ad group.

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Up to 300 display ads per ad group

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Maximum number of text ads in an ad group.

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Up to 50 text ads in an ad group.

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Maximum number of keywords in an ad group.

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Up to 2,000 keywords in each ad group.

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The cost to activate an AdWords account.

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$5.00

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In which tab do you receive alerts?

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Campaign tab.
You may see an alert box tinted yellow, green, or red. These alerts provide important information about your account and about new AdWords features - such as a declined payment.

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In which tab can you pause, resume, delete or edit campaigns?

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Campaign tab.

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Where can you find the Account tree?

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In the Campaigns tab. Use this menu beside your account pages to switch between campaigns and ad groups.

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Where can you find the Performance Summary Graphs?

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In the Campaigns tab.
Use these custom graphs to compare trends on every level of your account. Click the "Change Graph Options" link to see data points like clicks, impressions, and average position or to compare two of these metrics at once.

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Where can you find the Networks tab?

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In the Campaigns tab.
This is where you manage your placements. You'll also see the summary statistics for both your Search and Display Networks.

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Where can you find the Campaign roll-ups?

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In the Campaigns tab.
'Roll-up' views let you see and edit all of a campaign's keywords, placements, or ads in one place, instead of finding and changing them ad group by ad group. You'll find roll-up views on the Keywords tab and Networks tab of your account.

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What does it mean to optimize ad rotation?

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This is the default option. The system will favor ads that have a combination of a high click-through rate (CTR) and Quality Score. These ads will enter the ad auction more often, and your ads will rotate until the ad with the better click-through-rate starts to show more frequently.

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What does the "rotate" ad option mean?

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Each of your ads will enter the ad auction an approximately equal number of times. Since ads with lower CTRs are then able to show more often, choosing this option might lower your average position and result in fewer relevant clicks.

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What is "Frequency Capping"?

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Only on the display network, this setting limits the number of times you ad appears to a unique user.

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Can more than one campaign be edited at the same time? If so, how?

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Yes. In the Campaigns tab, at the top of the table, you'll see a set of buttons and drop-down menus. You can select the campaigns you want to edit and make changes to multiple campaigns.

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What is inline editing?

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Inline editing lets you quickly edit a single campaign's name, status, or budget. Just hover over a table row to highlight it and expose the editable fields. Then, just click on a field to edit it.

Status drop-down: Click on the drop-down menu next to the campaign name. Select "Enabled" or "Paused" to change the status of your campaign.

Name: Click on the pencil icon next to the campaign's name, and you'll be able to edit the name right there. If you click directly on the name, you'll actually navigate into the campaign, so you'll end up on the "Ad groups" tab for that campaign.

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Are demographic options available for campaigns that are only running on the Search network?

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No. Demographic options are only available for campaigns running on display networks.

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What is the process for creating a new AdWords campaign?

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1. Choose key settings: Audience, Networks, Devices, Bidding & Budget.
2. Create ad group: Placements, Keywords, Ads

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Where can you schedule an ad to run at only certain times of the day, or days of the week?

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Campaigns tab > Settings Subtab > scroll all the way down to the "Advanced Settings" section.

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What does "Optimize for clicks" do?

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The ads that have higher CTR will show more often than the ads which have lower CTR.

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What does "Optimize for conversions" do?

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The ads that have higher conversion rates will show more often.

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What does the "Rotate" option do?

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Ads show equally, regardless if one ad shows better or not.

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If ads are set to rotate evenly, but one ad shows more often, what could cause this?

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If one ad has a high quality score and shows on the first page, while the other ad has a low quality score and shows on the second page, and doesn't generate as many views.

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What is "Frequency Capping"?

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This limits the amount of times an ad can be shown on the display network.

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Demographic bidding is only available on which network? *Search *Display *Mobile

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Demographic bidding is only available on the display network.

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What is the maximum file size for an image ad?

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50KB or less

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What is the maximum allowable time length for an animated ad?

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30 seconds or less

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What is a broad match modifier?

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Broad match modifiers use a plus sign (+) directly in front of the keyword you are interested in controlling. That keyword has to appear in the search exactly as targeted or is a very close variant.

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Where is the Keyword tool?

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In the "Reporting and Tools" tab.

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What are the three categories of text ad policies/

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1. Editorial & Format
2. Content
3. Link

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What does the Editorial and Format policies cover?

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* Character Limit
* Prices, discounts and free offers
* Punctuation and symbols

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What do the Content policies cover?

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These policies relate to the products and services you advertise, and may apply to ads and the content of your site. For example, advertising is not permitted for the promotion of certain weapons, or for aids to pass drug tests.

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What do the Link policies cover?

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These policies relate to the display and destination URLs in your ad. For example, the display URL must be accurate, and links to your website must allow users to enter and exit the landing page easily.

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What file format can static image ads be in?

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.gif
.jpg
.png

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Which format can animated ads be in?

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.gif
Flash

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What is the file size limit of an image ad?

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50k