7 Google Ads Mistakes to Avoid

Originally published: November 19, 2020 10:28:23 AM, updated: February 21, 2023 11:12:10 AM

Using Google Ads may help your company grow on a large scale. It is an excellent tactic for reaching out to a targeted group of customers, increasing conversion rate, and making a step towards branding your business. However, not understanding how Google Ads work may turn from a useful tool to a double-edged sword. With that in mind, let's see what the top 7 Google Ads mistakes to avoid are!

1. Failing to understand profit margins

Even though one of the more important reasons for using Google Ads is to build a competitive brand, you should not lose sight of why you are really doing it. That is, to increase your sales and make a profit.

Before spending too much money in Google Ads, calculate the lifetime customer value (LCV) and average net profit per customer. That will tell you how much money to spend on getting new customers by using Google Ads.

LCV is the result of multiplying the average number of sales with the average orders and gross profit margin. The next step would be to subtract the average investment and operating costs from the LCV. That's how you get the average net profit per customer. By knowing how much money each customer requires, you will be able to correctly calculate how much money to invest in acquiring new customers via Google Ads.

2. Using the wrong keyword match types

Google Ads is adding more and more useful features to improve your business. With the introduction of a modified broad match, the user can create more accurate keywords by adding a + sign in front of the word.

For example, if your broad match phrase is (green dress), it could give you query results such as green clothes, women's dress, or green skirts. It looks for an exact match of what you are looking for.

However, if you add a + sign and make it (+green dress), the result will be anything that closely resembles the word that has a + sign preceding it. An example would be a misspelled word, like grenn dress. If you would add a + symbol in front of the word "dress", then the broad match type would be included for that word.

By correctly using this option, you may reach out to more customers with relevant material. If you fail to do so, your keywords might not show up in search results as many times as you would like.

3. Do not forget to manage your account

When using Google Ads, a rookie mistake is to set up the account and think that you are done. If you leave your account unattended, thinking it will do the work just fine on its own, you are making a big mistake. Google Ads require constant changes.

4. Always monitor your search queries

While we are on the subject of tweaking advertising performance, another one of the biggest Google Ads mistakes to avoid is forgetting to monitor your search queries. They will show you which phrases trigger the most clicks and which are failing to do their job. Search terms report is a useful analytics tool, so use it to your benefit! This is a crucial step if you wish to make your website rankings stable and bring more customers to the game.

5. Not paying attention to Google’s Display Network

Every time you set up a Google Ads campaign, you must take some time to check the settings for Google's Display Network. This is a network of third-party partner display websites. The recommended option is to use "Search and Display Network". However, "Search" and "Display" are two different things, and they give different results.

The best advice is not to mix these two networks. First of all, you won't be able to measure the performance of both options properly. Second, Display Ads have a lower conversion rate compared to Search Ads.

The best tactic is to use Google Smart campaigns. They use an AI algorithm and machine learning to display "Search" and "Display" to the right people, based on whether they are looking to inquire about a product or buy it.

6. Poorly written ads will cost you a lot of money

Just because Google Ads lets you pay to get your advertisement showed to the right people, that does not guarantee success. If you don't have compelling ads, you might not attract enough attention. A good ad is similar to a quality headline in an article. Just like how a lousy headline may throw off people from reading an article, that's how a poorly written ad will not make people click on it.

7. Not using Google Ads in combination with other strategies

By itself, Google Ads are very useful for promoting your brand and generating leads. However, you should also know there are many other tactics to implement. Putting all your eggs in one basket will often result in a failure, so you should consider playing on multiple fields. By combining the best features of different approaches, you are maximizing your chances of success.

7 Google Ads mistakes to avoid explained

By understanding these 7 Google Ads mistakes to avoid, you are substantially increasing your chances of success. As with every other service, it takes time to learn all the tricks of the trade and start using Google Ads most efficiently. To quickly summarize:

• Properly utilize profit margins
• Use the correct match types for keywords
• Manage your Google Ads account on a regular basis
• Monitor search queries and tweak the settings for the best performance
• Use the best settings on Google's Network Display
• Write compelling ads
• Use a clever mix of the most efficient strategies to boost the performance of Google Ads

By following these tips and avoiding the mentioned mistakes, you will use your investment in the most productive way. As a result, you have great chances of generating more leads for your business and building a brand out of your company. Good luck!