Is AdWords Positive for Your Company?

by / Friday, 08 December 2017 / Published in Uncategorized

Did your business advertise in the Yellow Pages?

One of the most revealing indicators that your business might benefit from Adwords Search is whether your business bought (or would have bought) an ad in the Yellow Pages 20 years ago. That means local and regional businesses like plumbers, accountants, landscapers, etc.

Google search results have since taken the place of the Yellow Pages, essentially becoming a more dynamic and complete version of them. So, if you were or could have been a Yellow Page advertiser there is a very good chance AdWords search is good for you now.

Are your customers searching for you or your product or service?

Keyword research is essential to ensuring your prospects are indeed using search to discover your products/services and to hone in all variations in search syntax. If folks aren’t searching what you’re selling, there is obviously no point in buying placement in search results.

Google’s Keyword Planner Tool is your best friend during AdWords search campaign creation as it give you the ability to check and compare search volumes, create budget estimates, find additional keywords and more.

Pay very close attention to search volumes, if you’re seeing that all your relevant searches have very low volumes, say 0 – 10, it’s a good indication that your customers are not seeking your service/product via search. On the flip side, thousands of monthly searches for your keywords is a great indicator that AdWords search is a very good fit for your business.

What Do the Numbers Say?

Google’s Keyword Planner Tool provides estimates on the cost-per-click for each keyword. With this information, you can estimate how much money you’ll need to spend to gain a new customer and whether that expense is affordable. For example, let’s say you’re an accountant and each new customer is worth about $1000 to you. In your area, the average cost-per-click is $5 and for every 100 clicks, you get about 2 new customers… a 2% conversion rate. That means, for every 100 clicks you spend $500 but you bring in $2000.

On the flip side, let’s imagine a business where the cost-per-click remains $5, the conversion rate remains 2%, but a new customer is only worth $100. For every 100 clicks, you’re spending $500 and only bringing in $200. The best the campaign can hope for is to break even.

Not knowing your numbers in advance is a very common mistake for small business owners and often leads to a lot of wasted money. Beware!

Do You Have The Budget?

The issue with everything above is that it’s based on Google’s estimates over long periods of time. You will need enough budget to test everything and optimize. Often, this means running campaigns which could initially lose money but then make money as the AdWords campaigns play out over multiple months, not days or weeks.

Any business considering Adwords needs to have some extra runway, so to speak, to test out the effectiveness of search campaigns.


AdWords Search campaigns are a remarkable tool for a lot of small-to-medium size businesses, local, regional and international. Ask yourself these fours questions and you’ll be on the road to building profitable AdWords campaigns.