Think of new campaigns like “seeds” you plant in the ground that will eventually grow into trees. The size and strength of the tree depend on the soil and just the right amount of water and sunlight.

Campaigns should be structured and organized according to their individual marketing goals , targeting methods (search, display, remarketing, etc.), location and budget requirements. Ad groups should be structured and organized within campaigns to separate targeted theme keywords (and other targeting methods) grouped with highly relevant ad copy. The infrastructure of your account should mimic the infrastructure of your website.

If multiple campaigns or multiple ad groups are targeting the same or similar keywords (and other targeting criteria), they may “overlap” and compete against each other in the auction. A well-structured Adwords account should have very minimal overlap.

Additionally, campaigns should also be organized by the “intent” of the user. For search, this could mean separating the intent of people looking to purchase your product from the people who are just interested in learning about your product. For the Display Network, this could mean separating the intent of people who are first-time visitors from people who are being remarketed to again.

Always keep in mind the overall health of your growing campaign. Think of a campaign like a "tree" and grow by building out stronger ad groups (branches) as your campaign becomes more and more stable. Allow your campaign to build up at least 30 days of historical data before making any significant changes. It is important that your campaign is built correctly from the very beginning. Rebuilding a campaign will “reset” your historical performance data to ZERO. It is very costly to run an account that is poorly structured and costly to rebuild it later.

Once a campaign has started receiving clicks, Google is gathering performance data on your campaign on many levels. Performance data is measuring the times your ad is shown (impressions) compared to the number of times you ad was clicked, measured as a click-through-rate (CTR). With PPC Advertising, you only pay when your ad is clicked. However, Google is aiming to get the most value out of every impression served. Google determines value through an algorithm called an Ad Rank intended to display ads that are being clicked and are relevant to the user.

As a campaign collects more and more data, your keywords (and/or other targeting methods), ads, ad groups and campaigns are all being “graded” by Google and factored into their Ad Rank auction algorithm. The Ad Rank is an equation multiplying your maximum CPC bid with a Quality Score calculated by Google. Quality Score relies on many factors, but the most important parts include ad relevance, CTR and landing page performance. Quality Score takes time and historical data to establish and is the core of the Adwords auction algorithm.

Chris Harkey
Published: September 20th, 2017

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