Start with a Small Budget
One way that new users of Google AdWords get themselves into trouble is spending too much money way too quickly. As soon as you turn your campaign on with AdWords' interface, your account will start to be charged whenever someone clicks on your ad. If you are bidding on highly competitive keywords, your AdWords bill can grow in a hurry. This is why it is recommended that new users set a low daily budget for themselves so they can familiarize themselves with AdWords and how everything works.
You can set your daily spending limit within the AdWords program, making it extremely easy to manage your daily spending. Once you feel more comfortable using AdWords and running your Pay Per Click advertising campaign, you can start to increase your daily spending as long as your overall budget allows for it.
Test Different Ads
The best way to put together an effective AdWords campaign is to test many different types of ads. When testing your advertisements, you will want to use several different headlines to see which ones are more effective than others. Also, testing different copy for your ads will allow you to optimize your campaign. You will be surprised how much of an impact your ad's headline and copy can have on your overall AdWords campaign. Making subtle changes to the wording of your ad can have a huge effect on your AdWords success.
Closely Monitor your Campaign
While it may be tempting to turn on your Google AdWords campaign and simply let it run, this is the last thing you want to do as a new AdWords user. When first starting out with AdWords, it is important that you closely monitor all aspects of your AdWords campaign. Monitoring which keywords are generating clicks will allow you to revamp your keyword list on the fly to include similar search terms. Also, seeing which ads have the best clickthrough rate will help you create new ads that improve on the ones that are already successful.
Setting up a web analytic program on your website that tracks traffic source is also highly recommended for any Google AdWords user. Knowing which keywords are bringing in traffic that actually converts on your website will help you remove the search terms that are generating clicks within AdWords but no sales on your website. These keywords are just costing you money and not bringing in any revenue so it is important that you remove them from your list of keywords that you are bidding on within AdWords.
Google AdWords is an excellent source of instant, targeted web traffic. By starting with a small daily budget, testing many different types of ads, and closely monitoring your website, you will be able to get a good feel for the way AdWords works and how to properly harness all of its power when trying to drive more traffic to your website.
Author Bio: Joe is the managing director of one of the best search engine marketing companies in Australia. His company is recognised for providing the highest quality search engine marketing Sydney has to offer. When he finds the time, Joe enjoys flying helicopters, mountain climbing and mixed martial arts.