Someone I know set up a Google account to start advertising his new website. He put down his credit card for $1,000 and started the Google machine... figuring the money would last at least a month. The next day he gets an email saying he's already used up the $1,000 and must approve more on his credit card to keep his ad up and running. And guess what? He didn't even get one customer or prospect from the traffic Google sent. That's right, $1,000 gone in a single day and no orders or leads generated. Welcome to Google advertising!
Now in all fairness, Google is a great advertising service that will cost-effectively generate lots of qualified visitors to your website... if you know what you're doing!
Here are some things to keep in mind when considering advertising with Google:
- Google is for professionals only. Those able to compete against Fortune 1000 marketers and search engine consultants for the best ad pricing. It's definitely not for newbies learning the ropes... unless your willing to pay way too much for each visitor to your website.
- Test your ads anywhere but Google. Google is a very expensive place to test your ads. Sure it's "pay per click" but what you pay also takes into account how well your ad performs relative to comparable ads. Popular ads that generate lots of clicks will cost much less than unpopular ads. So test your ads using other search networks like Yahoo!, Microsoft, or LookSmart. And only bring your best performing ads to run on Google.
- Judge success by results not just clicks. Always remember, it's about the orders, phone calls, and leads that result from the clicks. So even if Google is generating lots of clicks... you still need those visitors to turn into the results you care about. If they do then be happy with what you're paying Google... otherwise, you're paying too much!
- Limit your risk with spending caps. Use daily spending limit caps when you first start your advertising programs. A good place to start is a $50 daily cap. And as you get comfortable with how your ad is performing, you can then move to a monthly spending cap. This guarantees you'll never be surprised by blowing your whole budget in a single day!
- Become an expert or hire a professional. Don't kid yourself. You really only have those two choices. Otherwise, you'll spend way too much and still be unhappy with the results. Not sure where to find a professional? Do a search for "search engine marketing" plus your location (e.g., San Francisco). You'll get lots of choices in the search results. Just make sure and talk to at least three firms, tell them your budget and objectives, ask for pricing and references... and then check the references!