10 Google Adwords Mistakes That Could Cost You Thousands of Dollars

You may think your Google Adwords game is on point, but there are 10 mistakes you need to avoid because they can cost you thousands of dollars in missed (or lost) sales. Learn more about these Google Adwords mistakes by reading this article!


Do you need a new marketing method? If you haven't used Google Adwords, you're missing out on a major opportunity. Google Adwords generates pay per click ads that lead customers to your website.

The more clicks you get, the more leads and customers you receive. This is also an affordable advertising option because you only pay when you get a click.

But you'll only get these results if you use Adwords the right way. There are you can easily ruin your Adwords marketing campaign and lose money.

Here are 10 common Google Adwords mistakes that can make you lose revenue.

1. Do Not Use Correct Keyword Matches

When you first start using Adwords, Google will recommend keywords based on your company. It's easy to only use the words Google says are a "best match." This actually hurts your Adwords campaign.

Adwords separates keyword results into three categories:

  • Broad Match

  • Phase Match

  • Exact Match

Marketers give "exact match" the wrong definition. Exact match means your ad is only displayed when the exact keyword is searched.

Other options, such as broad match, mean your ad is displayed with a variety of keywords are searched. These keywords relate to the niche or word you're using.

2. Lack of Ad Extensions and Bad Writing

Adwords is one of the most versatile advertising platforms out there. If you don't utilize many of Google's features, such as ad extensions, then you're making a huge mistake.

Ad extensions add more company information and even a rich snippet. Some examples include products, company location, contact information, and individual pages linked.

In addition, poor writing is also a bust. Your ad should be interesting and intriguing. Not everyone is a writer but you can at least write an engaging phrase about your company.

Using great writing with ad extensions will deliver the best ROI.

3. Failure to Understand Profit Margins and Conversions

No matter what type of business you are, profit margins and conversions are an integral part of your business. This improves your short-term financial goals, but contributes to increasing your overall income.

You can use this same tool with Google Adwords management. Access your "Tools and Analysis" menu where you can add conversions to track. "Sales" is a great example.

This measures the expected conversion rate and the amount you're saving. When you monitor your sales and performance, you can save more money.

4. Do Not Use Negative Keywords

There are over six million keywords that Google recognizes. But some keywords perform better than others.

That's because new keywords are constantly created and Google doesn't register them immediately. This makes up about 15% of keywords.

These include negative keywords, which are keywords that can hurt your Adwords campaign.

When avoiding keywords, only stick to keywords in your company's niche. But avoiding new keywords with no performance is also a good way to drive your ROI.

However, negative keywords can positively impact your Adwords campaign. But use them appropriately. Don't use too many and don't spread them across your overall Adwords campaign.

5. You Do Not Bet on Your Own Company

You should bet on the keywords you're using. But many companies don't know the value of betting on their own company. Many companies may not even know they can bet on their own company.

Betting on your company and buying your brand term makes you top search results. And if you don't bet on your own company, your competitors could, which makes your brand vulnerable.

6. Not Knowing the Customer Lifetime Value (CLV)

You spend money on Adwords to attract customers. But do you know your customers and how long they support your business?

The truth is, you don't. Many business owners guess.

Fortunately, you can calculate the customer lifetime value, or CLV. This is how much money a customer is expected to spend. It's calculated throughout the time they spend supporting your company.

Calculate this and use that data to create a profitable Adwords campaign.

7. You Do Not Evaluate Ad Positioning

Do you know how Google determines ad positioning? Here's a simple equation:

bet x ad quality

This equation signifies the number of times you bet and the quality of your ads. The more times and better ad quality, the higher and better your ads will appear.

Bet more than your competitors. Create your ads with the best keywords and determine your click-through rate.

Contrary to popular belief, your ads don't have to rank number 1. Instead, aim for a realistic goal, such as in positions 3-5.

8. Incorrectly Setting up Adwords

Maybe you use all or most of this advice. If so, the mistake is in your Adwords set up. Most marketers immediately rush to keyword rankings and budget set-up.

But this isn't the most important aspect of Adwords. It's your performance. When you first join Adwords, you should set your conversions. This depends on your ad goals.

Determine your goals and set up conversions based on them. Ensure your codes are tracked properly. Then you can invest in keywords and your budget.

If you've had Adwords for a long time but haven't set up conversions, do this immediately.

9. Not Using Search Terms

Many people don't know search terms exist. But it's one of the most vital Adwords aspects.

Search Terms is a tool that shows what terms customers searched for. These terms directed your customer to your site.

With Search Terms, you'll know if you're investing in the right keywords. This ensures you're targeting the right keywords and search terms. You'll also know which terms won't work for your brand.

10. Linking to Random Pages

When linking your ads to pages, don't settle for any random page. Optimize your pages for ads. Ads provide a solution or a service. If this intrigues your customers, continue the customer journey with an optimized landing page.

Now You Know Important Google Adwords Mistakes

Your Adwords campaign is a major tool that improves leads and drives new customers. But there are common Google Adwords mistakes that marketers commonly make.

Always create great ads by using diverse keywords. Convert leads to customers by understanding your customers and what they want to see.

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