Getting started with Google AdWords can be confusing for small business owners. With different ad types available in Google’s search results and the Google content network, choosing the right type of ads for your campaign is crucial to the success of your AdWords campaign.
The Path to Purchase: How Different Types of Media Influence Purchases
A Google Analytics study on consumer behavior found that different marketing channels influence the customer at different points in the path to purchase. Paid search advertising with Google AdWords can reach potential customers both in the “awareness” and “intent” points in the purchase cycle. Paid search marketing can support other online marketing efforts to help convert those shoppers into customers.

How Different Google AdWords Ads Reach Different Customers
Google AdWords ads can reach customers at different points in the path to purchase. Selecting the right type of ad for your campaign’s goals is important to the success of your campaign. Text search ads, text display ads, image display ads, and ad extensions can all influence whether a potential customer will click on your ad. So which Google AdWords ad type is the right one for your business? It depends on the goals of your campaign.
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Text search ads
Google AdWords text search ads appear in the Google search results above and to the right of organic search results. Text search ads tend to reach customers when they’re closest to making their purchase. As a result, cost-per-click (CPC) is often higher for text search ads than other ad types. Use this ad type to capture customers who are ready to buy. Refine your target keywords for phrases that customers would search when they’re ready to buy (such as “iPhone case price”). Text search ads tend to have a higher click-through rate (CTR) than other AdWords ad types, generating the most clicks to your website, but usually at the highest cost.

Display ads
Google’s Content Network reaches more than 80% of websites on the internet, including Google-owned properties such as Gmail and YouTube. Businesses can use the Google Content Network to increase brand awareness, at the beginning of the customer path to purchase. Display ads generally gain a large volume of impressions, with fewer clicks and conversions than text search ads. However, the CPC tends to be lower for display ads than text search ads. As a result, display ads can be an affordable option for businesses looking to grow brand awareness with new customers.

Remarketing with Display Ads
Google AdWords remarketing allows businesses to target customers who visited your website and didn’t convert. Google AdWords creates a visitor remarketing list, placing a cookie on visitors’ computers. This cookie triggers the Google Content Network to show your display ads to these visitors. Remarketing encouraging them to come back to your website and complete their transaction. Remarketing is a very economical option for businesses because it targets a highly qualified group of customers: people who have already visited your website. Remarketing display ads tend to have a lower CPC than text search ads. These customers tend to also be closest to the point of purchase, as they’ve already seen your business’ products and services.

Ad Extensions
Adding ad extensions to your existing text search ads can help increase the CTR on your ads. Google offers many different types of extensions that increase the information displayed in the ad. For example, call extensions display a phone number Google tracks for your business. Location extensions pull information from your Google Places listing. App extensions encourage users to download your apps. Social extensions include links to your Google+ for Business Page. If you’re running text search ads, set up your ad extensions to increase the space your ad takes up in the search results and increase the odds users will click on your ad.

For Success, Choose the Right Ad Type for Your Campaign’s Goals
When planning a Google AdWords budget and campaign, select the best Google AdWords ad type for your campaign’s goals. Businesses often use a combination of text search ads, display ads, and remarketing to target their customers at multiple points in the path to purchase. This increases the likelihood that those potential customers will convert into new business.
Not sure which ad type is right for your paid search ad campaign? FSC Interactive can help — contact us today to get started!