Let’s leave aside the answer to the mysterious Google AdWords ranking algorism first, and check the simplified formula below:
Google Ranking = Max bid x Ad Quality Score
Yes, simple as that. So either you have a deep pocket to bid out all your competitors for the same keyword you want to use, or you really need to be rated with high quality score by Google AdWords mechanism.
I believe you understand what bidding is, so I am skipping it. Then what about quality score? Put simple, quality is all about relevance and if the keywords you set up help the users to find what they want. So even if you have deep pocket to exclude most of your competitors in the beginning of the game, once users realize there is low connections between what you put out there and what you actually have and leave your website after a short glance, your quality score is evaluated poor and then drops, which would require you for a higher bid for the same game next time in the search competition.
I hope you are getting there by now.
To use Google AdWords to actually help you on the business, you need to have a plan and the whole package from website, SEO, user interface and the most related keywords configured. Even though you can set up the time frame for your advertisement to work, even the area to work, the game continues every second as long as the campaign is not over yet, and so requires your constant attention and tweak on the keywords to make sure you are not overpaying nor attract the invalid passersby. In other words, it is a very time-consuming work.
Get the picture? I am not telling you not to use Google AdWords. On the contrary, Google Adwords is not just keywords on search engine, it variety basically covers banners and video clips, and it is actually so much more cost-effective than the traditional venues. What I am saying is, unless you are so limitless on the capital, so boundless on the working hours to monitor, and so knowledgeable to compete with the Google certified professionals, I’d recommend you try to fix your basics first and work on Organic search optimization instead.
So next time, I’ll talk about how you could review what you have and what you can do to improve your ranking on search engine result, for free.