Google upgrades AdWords Advertising Platform

February 8, 2013

Google has unveiled an upgrade to its AdWords advertising platform to enable contextual targeting of prospective customers. AdWords generated US$43 billion in revenue for Google in 2012 according to the company full year financial data. Writing on the official Google Mobile Ads blog, Google vice president of engineering Sridhar Ramaswamy revealed the changes also enables ads to be adjusted to run across multiple device types. According to him, the platform enabled advertisers to take advantage of location, time data and device capabilities. AdWords already requires advertisers to set a budget for the most they are willing to spend per click. Under the changes, bids can be adjusted within certain parameters to more effectively target certain types of customers.Improved reporting tools for AdWords will also be provided to measure new conversion types such as consumers seeing ads, downloading apps or calling vendors.Personally, I do believe the improved contextual ads, location-based bidding and other new features such as sitelink level reporting are brilliant developments that will go towards enhancing growth of the advertising platform.

Unfortunately, I feel there are several drawbacks such as tablets and desktops, laptops now being bundled as one type for bidding, meaning someone can’t optimize campaigns for different devices.Google will provide the new capabilities, known as enhanced campaign as options over the coming weeks and intends to upgrade the entire system by the middle of this year. The most notable ones are powerful marketing tools for the multi device world. According to the example given, a breakfast cafe wants to reach people nearby searching for coffee or breakfast on a smartphone. Using bid adjustments, with three simple entries, they can bid 25% higher for people searching a half-mile away, 20% lower for searches after 11am, and 50% higher for searches on smartphones.These bid adjustments can apply to all ads and all keywords in one single campaign. The other one is a smarter ads optimized for varying user contexts and example given is that of a national retailer with both physical locations and a website can show ads with click-to-call and location extensions for people searching on their smartphones, while showing an ad for their e-commerce website to people searching on a PC all within a single campaign. Also, advanced reports to measure new conversion type and this will help measure the full value of your campaigns, enhanced campaigns enables easy count calls and app downloads as conversions in AdWords reports.

Contador Harrison