How Google AdWords became Google Ads
Google has rebranded google AdWords as Google Ads and consolidated its other advertising products into Google Marketing Platform and Google Ad Manager.
The change intended to make it easier for small business to advertise across all PPC channels, according to Google, and for enterprise-level advertisers to take advantage of advanced forecasting and intelligence technologies.
The Change From Google AdWords to Google Ads
In 2018 Google consolidated its digital advertising programs, which up until that point had been operating separately from one another. DoubleClick and Google Analytics 360 were combined into Google Marketing Platform. DoubleClick for Publishers and DoubleClick Ad Exchange were merged into Google Ad Manager. And AdWords rebranded into the Google Ads that we know today.
The revamped Google Ads featured an intuitive new interface that seamlessly integrated artificial intelligence for the automatic optimization of digital advertisements. Digital marketers could now customize the dashboard to have their most relevant data fields in easy-to-reach configurations and the AI input on a recommended course of action.
Why Did Google Make the Change?
Google made the change to make it easier for small businesses to reach their target audiences with a more streamlined and intuitive toolset that non-experts could use. Enterprise-level advertisers now had access to the latest technological advancements in digital marketing. Giving them a better footing against competitors.
Another driving factor in the transition to Google Ads was how customers began interacting in the online space. When Google AdWords started. It was advertising mainly on its search functions at the top and right-hand side of the search result screen. This strategy targeted the desktop user audience that was predominant at the time. Today, people interact in various ways, including video content, social media, apps, and other visual content.
Google believed that the name AdWords no longer accurately encapsulated the actual spectrum of digital advertising possibilities. And wanted to make a streamlined system for different ad types. This is a part of a larger trend of advertising becoming more in-tune with their audience and integrated into the content they were consuming online. Relevant, timely content related to the needs of each specific customer seen as the system’s primary goal.
Advertisers today can choose from a suite of ad types. From the original text-based ads on search engine results to video advertisements on platforms like Google’s YouTube. Google’s responsive search ads use AI to mix and match different headline. And description combinations to find the combo that best captures your audience’s attention. Businesses can use each advertisement type to target a different kind of customer. Or engage with a customer base differently, which is especially helpful in a rapidly developing advertising landscape.
How Does Google AdWords Charge?
The amount that Google AdWords charges advertisers depends on what they are advertising.
Since Google AdWords is a pay-per-click advertising program. Your ads are displayed for free and you’re charged only when someone clicks on your ad on Google search results page. Also, the AdWords system is a live auction. Therefore, the click prices are determined by the amount of competition, and how much they’re willing to pay for a click.
When done correctly, Google AdWords can drive high-quality traffic to the website at costs that are much more competitive as compared to other forms of advertising.
However, when you don’t know how to expertly manage the process. Costs can rack up fast while you potentially drive low-quality traffic. The key to running a successful AdWords campaign is to understand the factors that play into how much each click costs you.
- Keyword competition
- Maximum bid and bid position
- Your average monthly budgets
- Click-through rates
- The quality score of your keywords
If you’re targeting high-volume keywords with lots of monthly searches, you could be paying a hefty amount for that traffic, which can be anywhere between a few cents to over ten dollars for each click.