Make headway with Google Adwords

By LBV

05 Oct 2011

How does it work?

A web user searches for a phrase, and advertisements appear, written and placed by companies who bid to display their ad against that keyword.

The advertiser usually pays when the user clicks on their advertisement, and not when their ad is ‘seen’, unlike traditional advertising. (Although Google does now offer this option.)

The “cost per click” is between a few pence and a few pounds depending on the competition for that phrase. “Loans”, “mortgages” and “insurance” are hotly contested phrases, with Google netting tens of pounds for some phrases.

Your ad can appear instantly – meaning that a brand new website can benefit immediately from visitors before traditional “SEO” has time to work.

Should you be using Adwords?

At first glance, it may appear ‘expensive’. However, the key to any advertising spend is the return.

A quick example… let’s consider our widget manufacturer, selling widgets online for £50 each.

A click for ‘plastic widgets’ costs £1 per click. That may seem rather costly when we’re used to ‘normal’ search clicks being “free”.

100 clicks may produce 10 sales (10% conversion rate), at £50 each – totaling £500. Therefore, every sale (10 out of 100 clicks) costs £5 – probably a positive return, especially if that customer returns to buy again without clicking on your ad.

A service based business may need to drill deeper, factoring in the cost of each enquiry, and the conversion of enquiries to business…

Do people really click on these links? (We’re asked this every day.)

Your ‘click-through-rate’ will depend on how well written the ad is, but typical click-through rates are between 1% and 10%. So yes – they do!

(Adwords accounts for 97% of Google’s $33bn (£20bn) revenues.)

For a targeted, accurate way to advertise to your consumer, customer or potential client – you really should consider trialing an Adwords campaign. Your competitors probably are…

Leon Calverley
Door 4

 

Enjoyed this? Read more from LBV

Latest news

1

Trident Utilities strengthens team with two appointments Trident New Starters Madeleine And Alex

Trident Utilities strengthens team with two appointments

08 Oct 2026

2

Get face-to-face to avoid the 'Gen Z stare' Karen Tems

Get face-to-face to avoid the 'Gen Z stare'

08 Oct 2026

3

Blackburn with Darwen tops young entrepreneurs table Entrepreneur Young Small Business

Blackburn with Darwen tops young entrepreneurs table

08 Oct 2026

4

Burnham tells Chorley pie shop owner ‘I’m listening’ Paul

Burnham tells Chorley pie shop owner ‘I’m listening’

07 Oct 2026

5

Heritage training for construction lecturers Img 20260907 Wa0001

Heritage training for construction lecturers

07 Oct 2026

Background image for hub sign up block

LBV Hub

Leverage Lancashire Business View platforms

Post your news
Post your events
Post your offers
Build your network
Improve your SEO
Gain coverage in the magazine
Sign-up
Events
All In One Network
LBV Website Events GraphicAll In One Network 15 Oct 2026

All In One Network

The Leisure Box, Northlight, Glen Way, Brierfield , BB9 5NH

14:00 - 16:00

Sub36 Awards 2026
Sub36 WW Logo720 16 Oct 2026

Sub36 Awards 2026

Park Hall Hotel & Spa, Chorley, PR7 5LP

18:30 - 00:30

LBV131 November/December Magazine Networking Event
LBV131 Magazine Launch Social720No Text 19 Nov 2026

LBV131 November/December Magazine Networking Event

Lancashire

08:30 - 10:30

Lancashire Business Day 2026
LBD26 WW Logo720 27 Nov 2026

Lancashire Business Day 2026

Burnley Football Club, BB10 4BX

12:00 - 17:00

Help to Grow: Management Course
Help To Grow 25 Sep 2026 - 15 Dec 2026

Help to Grow: Management Course

University of Lancashire, Preston, PR1 2HE

09:30 - 12:00

Neurodiversity Awareness and Support Training
09 Oct 2026

Neurodiversity Awareness and Support Training

Neuro Spark Training Solutions, Burnley , BB11 2AS

09:00 - 16:00

The Business Network Central and East Lancashire
LBV Website Events GraphicBusiness Network 2 15 Oct 2026 - 15 Oct 2026

The Business Network Central and East Lancashire

Mytton Fold, Langho, BB6 8AB

11:30 - 14:15

Seriun Cyber Security Conference
Seriun 15 Oct 2026

Seriun Cyber Security Conference

Turf Moor, Burnley, BB10 4BX.

09:00 - 13:30

Preston Tech Connection Coworking Day
PTC Coworking Day long banner Oct.png.png 15 Oct 2026

Preston Tech Connection Coworking Day

Society1, 9-10 Cross Street, Preston, PR1 3LT

09:00 - 17:00

Blackburn Darwen Youth Zone Annual Quiz
BDYZ Quiz 15 Oct 2026

Blackburn Darwen Youth Zone Annual Quiz

Accrington Stanley FC, Accrington, BB5 5BX

17:00 - 13:46

Chamber Business Lunch with Leanne Lucas, Founder of Let’s Be Blunt CIC
Lancaster And Morecambe Logo 1 16 Oct 2026

Chamber Business Lunch with Leanne Lucas, Founder of Let’s Be Blunt CIC

Lancaster Golf Club, Lancaster, LA2 0AJ

11:00 - 14:00

Building Brands (and workplaces) That Are Accessible For Everyone
Wyqfi3-wowjag-heczop.jpg.jpg 16 Oct 2026

Building Brands (and workplaces) That Are Accessible For Everyone

Neuro Spark Training Solutions, Burnley , BB11 2AS

09:30 - 16:00

Advertise with us

Reaching 50,000 members, our print, digital and event platforms offer a fantastic way to raise your business profile and help you grow.

Find out more LBV130 Online GraphicWebsite
Subscribe now

Weekly news bulletin