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AdWords terminology

Keyword
A word or a combination of words which, when included in the search made by a visitor, trigger the displaying of an ad. In essence, keywords are actually the ones that you are paying money for.

Compare search terms: A word or a combination of words that the user has entered into Google. A search term can include words that you have not specified and are not paying for.

Bounce rate
Percentage-based indicator, which displays the proportion of visitors leaving the site after only having seen the first page.

A high bounce rate can indicate that the keyword is reaching an unnecessarily broad audience, of which a large proportion might consider the page content irrelevant. It may also be possible that the first page (landing page) offered all the information that the visitor sought for.

CTR
Click Through Rate is calculated by dividing the clicks received by an ad with the number of total impressions. A low CTR is an indicator of ads low hit accuracy, i.e. the ad is displayed often without reaction from the user.

      Number of Clicks
Number of Impressions) = Click Through Rate

Search term

Search term is a word or a combination of words that the user does a Google search on. Search terms can include words that you may not have specified and therefore you are not paying for them.

If your ad is being shown in conjunction to non-wanted search terms (demeaning connotation, low page views/visit ratio, etc.), you may mark the undesired words as blocked by pressing . The block only applies to each ad group individually. While the block is active, the ad is not shown in any searches that include the blocked search term.

Compare with Keywords: keywords are responsible for triggering the ads and are the ones that you are actually charged for.

Search network

In AdWords, it is possible to target ads into three channels, search network being one of them. If the search network is chosen, your ad may be shown on different non-Google sites, which include Google’s search field.

On the image below, there is an example of how the Google ad field could look like if it were on Snoobi’s support site.


Price
Snoobi displays AdWords –ads in various summary panels of the report, from which you can see the actual, materialized prices for each campaign, or for each search term. The price tells the real cost of a campaign/ad/ad group/key word for the chosen time interval.

Price / Visit
Average price for a single visit. The price / visit is calculated based on the selected time interval and it can concern the mean average of a campaign or an individual key word. Formula is: price of an ad/campaign/ad group or key word divided by the number of visits.

Price of Ad or Campaign or Ad Group or Keyword
                  Number of Visits                              = Price / Visit

If you wish to see a real price for a specific keyword, you can access this information by clicking the keyword.

See also Average CPC, which counts the price of an average click. These two numbers can differ from each other for example if the same visitor has arrived twice through the same ad. In multiple visits, the price of an average visit goes cumulatively up but the price for a click remains unaffected.
 
Phrase Match

Phrase search is a way to narrow down and specify a keyword with quotation marks, such as ”desired search term”. If key word has been specified with quotation marks, Google will only trigger the ad if the search term used by the user is has the exact same word order as the keywords. Additional search terms may be in front or after the quotation marks, however.

See also: Broad- or Exact search.
 
Campaign
A campaign is a superordinate entity, which can include several ad groups that can be further specified into different ad variations (including text and landing URLs) and different keywords (including accuracy and price).

The daily budget and ad targeting are unique to each campaign. If you wish to lower or rise the daily budget or target a different network or audience, then you need to create a new campaign.



Average CPC
Average CPC is a figure that indicates the average price of an ad click. The formula is: price of an ad/campaign/ad group or a key word divided by the number of clicks.

Price of Ad or Campaign or Ad Group or Key Word
                       Number of Clicks                         = Average CPC

Compare Price / Visit: These two numbers can differ from each other for example if the same visitor has arrived twice through the same ad. In multiple visits, the price of an average visit goes cumulatively up but the price for a click remains unaffected.
 
Clicks
A click is registered when an AdWords link in Google has been pressed. Clicks differ from a page views in that that the destination URL does not have to be completely loaded for the click to be registered. Usually there are more registered clicks than page loads, because multiple clicks can be registered during a single visit.

Google's billing is based on the clicks.
 
Broad Match

A broad key word is less strict than an exact or phrase match, so that the ad is triggered more easily. If you define a keyword as broad from the settings, the ad is shown also in the case of a:
-Synonym: If Google thinks it knows a synonym for the search term, then it will also show the ad whenever the synonym is typed into Google.
-Conjugation (plurals, related forms): If Google interprets a search term as a conjugation of the keyword, Google will show the ad. It should be noted that Google does not recognize all conjugations.
-Free word order: The search terms typed in by the user do not have to be in the same order as the keywords.

Compare Exact or Phrase match.

Variations
A variation consists of three components: what text does the AdWords display, what is the layout of the text and what is the address of the ad (visible and the actual destination URL). Keywords are, however, the same for all the Ad variations in an ad group.

Any ad campaign may include several different variations. Quality scores play a role when Google chooses which variation to show.

See Campaign.

Max CPC

Maximum Cost Per Click
. Max CPC can be defined by the user and corresponds to the highest price that you are willing to pay for a single ad click. Max CPC has to be higher than Min CPC, or the ad will not appear in Google.

A Max CPC value can be defined individually for each key word. If the individual Max CPC of a certain word is higher than the default CPC of a certain ad group, then the price of the Max CPC becomes the highest possible price that you might have to pay.

Min CPC
Minimum Cost Per Click
. Min CPC is determined by the quality scores given by Google, i.e. this sum cannot be defined by the user. Min CPC is the smallest possible price for which the ad can be displayed in Google. If the Max CPC you are offering for a certain keyword is lower than the Min CPC, the ad will not show in Google.

Snoobi reports in the keywords-panel whenever there are too low Max CPC values in the selected campaign. You may also take a look at the Min CPC value for each keyword from the Ad Group settings, after the campaign has started.

Impressions
Impressions indicate how many times your ad has been shown in Google during a certain timeframe. Impressions are registered even if the visitor does not click the ad after the search.
 
Default CPC
Default Cost Per Click for a certain ad group. Default CPC comes to effect when a keyword has not been assigned its own Max CPC value. If the Max CPC of a key word has been defined, then the default CPC is neglected.

Daily budget
The maximum sum that you are willing to pay for a certain campaign during a single day. AdWords campaign are billed only for their actual clicks, i.e. the daily budget is only billed for the times that the ad has actually been clicked.

By default, AdWords attempts to prevent the budget from running out by spacing out ads if the budget is smaller during than the demand. This is one of the reasons why Google might not display your ad even if the daily budget isn't yet spent.

Exact Match

Exact keywords are the most precise, limiting the scope of the keywords in such a manner that the ad is not triggered unless the search terms fed into Google are an identical match to the keywords. When a keyword is made exact with brackets (e.g. [exactly this]), Google will not display the ads if there are other words in front or after the keyword. Neither will Google respond to synonyms or conjugations. It's all of the keyword or nothing.

See: Broad and Phrase match

Content network

In AdWords, it is possible to target ads according to three different channels, content network being one of them. If content network is chosen, Google may display your ad on such websites that host Google’s ad spaces. Google selects in which sites the ad is being shown, based on how the content of the site matches with the content of the ad.

Below is an example of how an ad space pm Google’s contact network might look like if it were on Snoobi’s support site (as a side note, Google would never place travel ads into this site due to the simple fact that Snoobi is not travel-related).



Status (active/ paused /deleted)
Status of campaigns, ad groups and keywords can be either active, paused or deleted. If the status is active, then the ad will be displayed in Google.

If the status is inactive, Google does not show it under any search terms, but it can be returned to active status at any time. Paused campaigns, ad groups or keywords cannot be clicked on in Google and thus will not be billed by Google.


More about AdWords terminology can be found from Google’s own AdWords support center.


 










 

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