How Much Google Advertising Would Cost You?

Welcome to the second article where we explore how much on each advertising platform would cost you.

For this round, we will discuss how much Google advertising would cost you in general.

To understand this, we must go back to the original question which is, how Google charge advertisers?

So Google charge advertisers based on CPC (Cost Per Click) Model, what this means is that if any ads appear on the Google search page like the below as Nike when people searching for sport shoes.

Nike Will Not Get Charge

Nike will only get charge when Someone Click On the Ads and goes to their website, there is a cost with per click which essentially made up the name of "CPC" model.

So now the question is, how much would you be charged for each of the clicks the visitors to the page? The answer is vary based on industry, we can look at the infographics by Wordstream below.

As you can see, the cheapest CPC which is from E-commerce stores is just $1.16 in search network but in some industry like legal can go as high as $6.75 Per Click regardless whether the visitor takes an action on your website or not.

So does this means E-commerce business are more profitable using Google AdWords? Short answer, No.

Reason being E-commerce stores' traffic is much higher than legal service as there are millions of searches happening every day on consumers goods and people looking to buy something online than people looking for legal services. Which means that the chances of people click on an e-commerce's ads is much higher as well.

Generally speaking, the industry that has longer Lifetime Value for the business such as Insurance, Education (University), automobile, hosting services will have a higher CPC due to the business owner are willing to pay more on advertising their business, when all of the business owner try to outbid each other, which is the core factors on driving up the industry's CPC.

Facts

1. You have the right to bid on how much Google would charge you when every time people click on your ads, for example, if you bid $0.30 per clicks, Google will never charge you more than $0.30 everytime people click on your ads. The downside? the lower you bid, the lower the chance your ads will show on the first page.

2. You have total control on how much you would like to spend each day like Facebook, from $1 to $10k and more per day is up to your decision.

3. The country like Malaysia has lower CPC than the country like US by $0.75 per click in general, the reason being the competition in Malaysia is not as stiff as US.

4. Similar with Facebook, you can spend from $1 per day to $100k per day on Google depends how you structure your campaigns.

Thanks for reading.