Know How Google Ads Work

Know how google ads work. Google Ads works under a pay-per-click (PPC). This means that marketers target a specific keyword on Google and bid on the keyword - competing with others also targeting the keyword. Your bids are your "maximum bids" - or the maximum you're willing to pay for an ad.

Know how google ads work

Google Ads shows your ad to potential prospects or customers who are interested in your product or service. Advertisers place bids for search terms, or keywords, and the winners of these bids are placed at the top of search results pages, in YouTube videos or on relevant websites, based on the type of ad campaign selected.

Google AdWords is a great way to get your message in front of potential customers. But, it can be tricky to know how Google Ads work.

How Does Google Ads Work?

Google Ads is a program that allows companies to place ads on and other Google services. When someone clicks on an ad, When someone clicks on an ad, you receive a commission.

What Are The Factors That Influence Google Ads Work?

Many factors influence your ability to create effective and powerful Google ads. In the following, we will go into them and show you some examples of Google Ads.

AdRank and Quality Score

AdRank determines the placement of your ads, and Quality Score is one of the two factors (the other being bid amount) that determine your AdRank. Remember, your Quality Score is based on the quality and relevance of your ad, and Google measures this by how many people click on your ad when it is displayed - i.e. your CTR. Your CTR depends on how well your ad matches search intent, which you can derive from three areas:

  1. The relevance of your keywords
  2. Whether your ad text and CTA deliver what the searcher expects based on their search.
  3. The user experience on your landing page

When you first set up your Google ad campaign, you should focus on QS - even before increasing your bid. The better your placement, the lower your acquisition costs, and the higher your QS. 


When you first set up your Google ad, choose a geographic area in which to place your ad. If you have a brick-and-mortar shop, this should be within a reasonable radius of your physical location. If you have an e-commerce shop and a physical product, your location should be where you deliver. If you offer a service or product that is available worldwide, there are no limits.

Your location preferences will play a role in placement. For example, if you own a yoga studio in San Francisco, someone in New York who types in "yoga studio" will not see your result, regardless of your AdRank. This is because Google's main goal is to show searchers the most relevant results, even if you pay for them.


Match types give you some leeway in choosing your keywords. They tell Google whether you want to match a search query exactly, or whether you want your ad to be shown to anyone who makes a reasonably similar search query. You have a choice of four match types:

  • Broad Match is the default setting where any word within your keyword phrase will be used in any order. 
  • With modified broad match, you can mark specific words within a keyword phrase with a "+" sign. Your matches will then contain at least that word. For example: "+goat yoga in Oakland" could result in "goats", "goats like food" or "goats and yoga".
  • The phrase match will match searches that contain your keyword phrase in the exact order but may include additional words before or after it. 
  • Exact Match will keep your keyword phrase in the exact order. For example, "goat yoga" will not show up if someone types in "goat yoga" or "goat yoga class".

If you are just starting out and do not know exactly how your target audience searches, you should switch from a broad match to a narrower approach so that you can test which search queries produce the best results. 

However, since your ad will rank for many search queries (some of which are unrelated), you should keep a close eye on your ads and change them as soon as you get new information.


Keyword research is just as important for paid ads as it is for organic search. Your keywords need to match the searcher's intent as closely as possible. This is because Google matches your ad with search queries based on the keywords you have selected.

Each ad group you create as part of your campaign targets a small group of keywords (one to five keywords is optimal), and Google displays your ad based on that selection.

Headline and Description

Your ad text can make the difference between a click on your ad and a click on your competitor's ad. Therefore, it is important that your ad text matches the searcher's intent, is aligned with your target keywords and addresses the persona's pain point with a clear solution.

Swim Revolution knew that the keyword was in the headline, so we immediately know that this ad matches what we are looking for. In addition, the description tells us why this is the best option for swimming lessons because it addresses the concerns of the target group - parents who want to enrol their baby in swimming lessons.

They use words like "skills", "fun", "confidence" and "comfort in the water" to calm our nerves about putting a baby in a pool and to prove to us that we are getting what we hope for from this course - a child who can swim.

This kind of ad copy will get you clicks, but conversions will come when you transfer that intent to your landing page as well.

Ad Extensions

When you run Google ads, you should use ad extensions for two reasons: They are free and provide users with additional information and another reason to interact with your ad. These extensions fall into one of the five categories listed below:

  • Sitelink extensions expand your ad - setting you apart from the competition - and provide additional links to your website, giving users more enticing reasons to click.
  • Call extensions to allow you to include your phone number in your ad, giving users an additional (and immediate) way to reach you. If you have customer service ready to engage and convert your target audience, you should include your phone number.
  • Location extensions add your location and phone number to your ad so Google can offer searchers a map to easily find you. This option is ideal for businesses with a brick-and-mortar shop and works well for the search query "...near me".
  • Offer extensions work if you are running a current promotion. They can entice users to click on your ad rather than others if they see that your offers are discounted compared to those of your competitors.
  • App extensions provide mobile users with a link to download the app. This reduces the friction of a new search to find and download the app in an AppStore.

Google Ads Retargeting

Retargeting (or remarketing) in Google Ads is a way to serve ads to users who have already interacted with you online but have not yet converted. Tracking cookies follow users around the web and target those users with your ads. Remarketing is effective because most potential customers need to see your ads several times before they become customers.

Learn more about this topic in Google Ads Compaigns


We hope you enjoyed our article on how google ads work. We wanted to make it easy for anyone to understand the basics of the google ads platform and learn a little bit more about how they work. We know that many people struggle with understanding how it works, so we wanted to try and rectify that. 

You can learn more about reliable and effective ways to increase google AdSense

Ali Al-Talhi
By : Ali Al-Talhi