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Google Ads 101: Understanding Google Ads Jargon
29th July 2023 • The Google Ads Podcast • Solutions 8
00:00:00 00:10:23

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Industry jargon is one of the biggest hurdles to understanding anything. For those who don't live, eat, and breathe Google Ads, Kasim shares some important terms to know and understand.

Do you need help keeping up with the complicated jargon of Google Ads? You're not alone. Many people find it challenging to understand the terminology associated with online advertising, which can make it difficult to create effective campaigns.

In this episode, Kasim breaks down some of the essential terms and concepts you need to know to learn Google Ads effectively. Whether you're new to the world of digital marketing or just need a refresher, this episode is for you!

Join us as we explore industry jargon and learn about everything from click-through rates to ad extensions. So, if you're ready to master the language of Google Ads and start reaching your target audience, hit play, and let's get started!


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0:00 Google Ads 101: Understanding Google Ads Jargon

1:07 Google Ads Account

1:56 Campaigns

2:39 Ad Groups

2:58 Ad Rank

4:47 Quality Score

5:30 Ad Extensions

6:08 Impressions

6:43 Clicks

7:20 CTA

7:33 Landing Page

8:02 Optimization

8:43 Bid Strategy

9:42 CPC

9:58 CPM

10:11 CPV



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Transcripts

Kasim:

Let's talk jargon.

Kasim:

This is one of the most important things of any industry, period.

Kasim:

Full stop.

Kasim:

I think the words that you use tend to be the barrier of understanding.

Kasim:

Anytime I'm confused by something I've always noticed especially when

Kasim:

I'm being exposed to new information, so much of it is just a jargon issue.

Kasim:

I talk to a financial planner and then they start throwing these

Kasim:

like acronyms and terms and, just new ways of saying things.

Kasim:

Even if they're words that I understand independent of each other, they're sewn

Kasim:

together in a way that confuses me.

Kasim:

And it's a jargon issue.

Kasim:

And then once I stop 'em and I get 'em to explain the jargon, then

Kasim:

it all becomes really accessible.

Kasim:

And here's what's really interesting.

Kasim:

You start to realize who knows their own industry.

Kasim:

Because when you get past the jargon, people stop being able to explain certain

Kasim:

things and then you're like, wow, you really haven't dug this deep, have you?

Kasim:

So we're gonna go over Google ads jargon for my tenured

Kasim:

veteran Google Ads managers.

Kasim:

You know this, skip this video.

Kasim:

This is not for you.

Kasim:

This is more for newbies and then also, like business owners, CEOs, people that

Kasim:

aren't Google Ads managers, but wanna be able to talk to Google Ads managers.

Kasim:

I'm gonna tell you what words to use and what those words mean.

Kasim:

Let's get started.

Kasim:

First, Google Ads account.

Kasim:

Your account.

Kasim:

People misuse this word often.

Kasim:

They think that the account is, just the login or just a campaign your

Kasim:

Google Ads account is your home base.

Kasim:

This is everything you have to do with Google Ads.

Kasim:

Now, this isn't your Google account, so there's your Google

Kasim:

Ads account Your Google account.

Kasim:

Is used to access your Google Ads account, but also used to access other things like

Kasim:

Google Analytics, Google Tag Manager, Google Photos, Gmail, potentially.

Kasim:

So Google Ads account is home-based for Google Ads.

Kasim:

The Google Ads account is where you go to give other people

Kasim:

access to your Google Ads.

Kasim:

Now.

Kasim:

Pro Tip, never let anybody create a Google Ads account for you.

Kasim:

You create your Google Ads account.

Kasim:

You own your Google Ads account because if somebody else owns your Google Ads

Kasim:

account, they can hold you hostage.

Kasim:

So account home base Campaigns, they're individual advertising

Kasim:

mechanisms that are used to advertise within an account and target specific

Kasim:

audience, channels, goals, et cetera.

Kasim:

So you're gonna have different campaigns or different campaign

Kasim:

requirements, different budgets.

Kasim:

The campaigns are kind of the, buckets with which within

Kasim:

which you spend your money.

Kasim:

you know, you can have campaign with a specific offer, a campaign

Kasim:

promoting a specific feed, a video campaign, a search campaign, campaigns.

Kasim:

So accounts are the big kind of platform, let's say.

Kasim:

And then the campaigns are the boxes that live inside of that platform.

Kasim:

Ad groups.

Kasim:

Or the delineations within those campaigns.

Kasim:

Ad groups can be separated by honestly, whatever you want.

Kasim:

It depends on how it is that you choose a structure.

Kasim:

You can separate it, but you know, based off of whatever paradigm or

Kasim:

theory you think is most applicable.

Kasim:

Separated by keyword, separated by audience, separated by offer, separated

Kasim:

by ads as evidenced by the term ad group.

Kasim:

Ad rank Google claims to be an auction.

Kasim:

They're not really, but they kind of are.

Kasim:

Where you're ranked in that auction how much you pay, where you're positioned,

Kasim:

where your competitors are positioned.

Kasim:

This is all calculated dynamically in real time.

Kasim:

According to something Google refers to as ad rank.

Kasim:

And the ad rank algorithm isn't really known.

Kasim:

They've offered us four or five factors that play into ad rank, but

Kasim:

It's something that they keep o okay, opaque for obvious reasons, they

Kasim:

can't give away the secret sauce.

Kasim:

Google also has something called ad rank thresholds.

Kasim:

Ad rank thresholds are super sneaky ways that Google forces you to pay a minimum

Kasim:

required amount of money regardless of whether or not there's a competitor,

Kasim:

or any competition for that search term or that audience or whatever.

Kasim:

ad ranked thresholds, I think fly in the face of the concept of an auction, because

Kasim:

if it is an auction, that means that no competitiveness would be, effectively.

Kasim:

Free, you're very cheap traffic, not free obviously.

Kasim:

But Google's ad rank thresholds factor in how much money you make

Kasim:

on the traffic when pricing the cost of this on this traffic.

Kasim:

So be really careful with ad rank because it's a slippery kind of hard to measure.

Kasim:

Grade that Google's offering us, and they're using it in order to charge you.

Kasim:

You wanna make sure that you maximize your ad rank wherever possible.

Kasim:

And the way to do that, by the way, is relevance.

Kasim:

Be relevant for whatever it is that you're bidding on.

Kasim:

If somebody searches for a hardware store and you're a a mechanic,

Kasim:

your ad rank is gonna suck because you're not gonna be relevant at all.

Kasim:

And you might think to yourself like, well, that's a stupid example

Kasim:

and I'm gonna tell you no, it's not.

Kasim:

Cause I see people search or bid on terms that are just

Kasim:

massively irrelevant all the time.

Kasim:

A good piggyback on the ad rank is quality score.

Kasim:

The quality score is shown to you.

Kasim:

So Google doesn't tell you your ad rank, but it will show you your quality score.

Kasim:

And the quality score is kind of a predictive indication of what

Kasim:

your ad rank might be because ad rank is, is calculated.

Kasim:

Individually at every single individual auction.

Kasim:

So every search, every user, every browser, every instance,

Kasim:

there's a new ad rank in theory.

Kasim:

There's no way that Google's gonna give you those ad ranks.

Kasim:

They couldn't.

Kasim:

Or maybe they could, but it, would be logistically very difficult.

Kasim:

The quality score lets you know, roughly speaking what your ad rank may be based

Kasim:

off of a collection of predictors like relevance and bid those types of things.

Kasim:

A landing page experience.

Kasim:

Ad extensions these are the unsung heroes of the Google ad world.

Kasim:

Ad extensions are the little snippets and highlights and links and

Kasim:

additional options that show generally on search ads, not just on search

Kasim:

ads, but you're probably, they're more visually accessible in search.

Kasim:

So you have your normal search result and then like, if there's four little

Kasim:

sub links under that search result, those are site link extensions.

Kasim:

For instance, you wanna max out your extensions wherever

Kasim:

possible, whenever possible.

Kasim:

So, You don't get to choose when or how these are displayed, Google does.

Kasim:

And so you wanna make sure you make as many of them available and

Kasim:

accessible as you possibly can.

Kasim:

Impressions, impressions.

Kasim:

Impressions just refers to people who saw your ad.

Kasim:

Super simple.

Kasim:

I hate agencies that report on impressions as standalone vanity metric.

Kasim:

They like to tell you that, oh, look, we're building your brand.

Kasim:

Now, if you're a great big company, this might be true, but you need to know

Kasim:

why impressions are important as a kpi.

Kasim:

You need to know how it is that that lever influences the rest

Kasim:

of your business before somebody.

Kasim:

Be able to report on it for you.

Kasim:

So impressions are a good predictive indicator.

Kasim:

The impressions to click gives you a click through rate and tells you whether or not

Kasim:

your ad copy is relevant, for instance.

Kasim:

But you need to know why you're reporting on impressions before

Kasim:

you report on impressions.

Kasim:

Wholesale clicks pretty obvious there, people that actually clicked on your ad.

Kasim:

Now this is important and more relevant because more and more Google is reporting

Kasim:

on things like view through conversions.

Kasim:

So somebody who took an action after seeing an advent, not necessarily

Kasim:

click on it click through rate.

Kasim:

The number of clicks divided by the number of impressions

Kasim:

equals your clickthrough rate.

Kasim:

So click through rate.

Kasim:

hundred people saw me, two people clicked.

Kasim:

I have a 2% click through rate.

Kasim:

View through conversions calculated much the same way a hundred people viewed

Kasim:

The ad didn't necessarily clicked.

Kasim:

Two of them bought.

Kasim:

I have a 2% view through conversion rate.

Kasim:

Cta.

Kasim:

You hear marketers talk about CTAs all the time.

Kasim:

Call to action.

Kasim:

What do you want somebody to do?

Kasim:

Buy, subscribe, click call, schedule, book, download.

Kasim:

What is it that you want me to do?

Kasim:

What's your cta?

Kasim:

You should always have a call to action landing page.

Kasim:

Don't confuse this with squeeze page.

Kasim:

Squeeze page is a page that I send somebody to and they can't do anything

Kasim:

but the thing I want 'em to do.

Kasim:

Don't love squeeze pages for a bunch of reasons.

Kasim:

I've got other videos on that landing pages.

Kasim:

This is just the page that the traffic's going to.

Kasim:

So you know you've got 150 pages on your website.

Kasim:

And you're sending 'em to this specific one that's the landing page,

Kasim:

the page on which they will land.

Kasim:

And what's really interesting about Google ads is more and

Kasim:

more and more, Google is actually selecting the landing page for you.

Kasim:

You don't define the landing page.

Kasim:

Google does.

Kasim:

Optimization.

Kasim:

Don't love this word because it's such a catchall.

Kasim:

This just refers to the incremental improvements that we make in order to

Kasim:

increase the efficacy of your campaign.

Kasim:

So when we optimize, it might mean, oh, I'm gonna turn this audience off.

Kasim:

I don't like optimizing my dimensions, by the way.

Kasim:

So like, oh, I'm gonna, I, I've gotten no conversions from tablets,

Kasim:

so I'm gonna turn off tablets.

Kasim:

Well, You don't actually know that.

Kasim:

You don't know where tablets have influenced the, the conversion path.

Kasim:

You don't know what attribution really looks like long term.

Kasim:

You don't know what other channels this might be influencing.

Kasim:

So be really careful about optimizing against dimensions.

Kasim:

But optimization means the tweaks and improvements that are being

Kasim:

made to a campaign in order to improve the efficacy more and more.

Kasim:

Now, optimization is happening from an AI driven perspective,

Kasim:

which is really interesting.

Kasim:

BID strategy this is Google letting you.

Kasim:

Choose how you want to bid.

Kasim:

And more and more Google's pushing us into smart bidding.

Kasim:

So we have the ability at the moment to manually bid, Hey Google, I'm

Kasim:

willing to pay this much money this manual cpc, this much money per click.

Kasim:

And then you can actually turn on something called enhance cpc which is, I'm

Kasim:

willing to pay this much money unless you think that this person's really definitely

Kasim:

gonna convert, in which case you can bid.

Kasim:

I think it's 250% more.

Kasim:

But now we're moving towards maximize conversion or maximize conversion

Kasim:

value, which is, hey, gimme the most leads, or gimme the best leads.

Kasim:

And then with those you can track the cost per.

Kasim:

Acquisition, so T C P A the cost that you pay in order to acquire a lead or

Kasim:

your roas, your return on ad spend.

Kasim:

You wanna be really careful optimizing on those metrics solely because

Kasim:

you don't get to see the full picture of your marketing spend.

Kasim:

You only get to see what Google shows and tells you, which

Kasim:

is a little bit dangerous.

Kasim:

CPC cost per click, pretty basic, straightforward.

Kasim:

This is how much money you're spending per click.

Kasim:

I've seen.

Kasim:

Personal injury is a good example.

Kasim:

they can pay up to a thousand dollars a click.

Kasim:

Maybe more now.

Kasim:

I don't have a personal injury attorney, a client at the moment.

Kasim:

CPM cost per Millie.

Kasim:

I don't know why this is the one place that the whole world decided to go Latin.

Kasim:

But Millie's just Latin for a thousand, it's cost per a thousand impressions

Kasim:

and CPM is very often how you end up paying for display based ads.

Kasim:

Cpv cost per view A view is when a, viewer watches 30 seconds of your video or more

Kasim:

and less the video's less than 30 seconds.

Kasim:

In which case it's whether or not they've interacted with the video.

Kasim:

I like Google's 32nd threshold.

Kasim:

I think that that's actually pretty fair on the CPV scale.

Kasim:

So those are the jargon terms that I have for you today.

Kasim:

I hope this is helpful.

Kasim:

I think getting clear on semantic index and nomenclature is actually

Kasim:

that's the first step for all of us being able to communicate.

Kasim:

I know this is something of an introductory video.

Kasim:

Hopefully the rest of our subscribers don't yell at me for that.

Kasim:

Appreciate y'all, I'll talk to you tomorrow.

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