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25 Fast Facts About AdWords

25 Fast Facts About AdWords [1]

By Elisa Gabbert [2] Posted In: AdWords Tips [3] Comments: 17 [4]

Pinocchio

  1. Google was launched in 2000, with pricing based on a flat CPM (cost per impression model). It was relaunched under an auction model in 2002. (Search Engine History [6])
  2. An 18-year-old college dropout named Scott Banister is credited with the brilliant, multi-billion-dollar idea of pay-for-placement search listings, an idea later brought to fruition by Bill Gross at IdeaLab. (TechCrunch [7])
  3. About 97% of Google’s total revenues come from advertising. (Google Investor Relations [8])
  4. Businesses make an average of $2 in revenue for every $1 they spend on AdWords. (Google Economic Impact Report [9])
  5. As of Spring 2011, Google had over 1.2 million businesses advertising on its search network. (AdGooRoo via Perry Marshall [10])
  6. The average click-through rate for an ad in the first position is 7.94%. (AccuraCast [11])
  7. Ads in the top position have been observed to get 10 times as many clicks as side-position ads. (Practical Ecommerce [12])
  8. In Q2 of 2012, Google’s revenues rose 35% to $12.21 billion. In the same quarter, aggregate paid clicks went up by 42%. (Business Insider [13])
  9. Google dominates mobile search advertising [14], taking 97% of mobile search spend. (Search Engine Land [15])
  10. In 2011, Google search and advertising tools generated $80 billion in economic activity across the U.S. (Google Economic Impact Report [9])
  11. The finance and insurance industry spent $4 billion on AdWords in 2011. (Search Engine Watch [16])
  12. Finance and insurance related keywords are among the most expensive in AdWords, with some demanding costs per click (CPCs) over $50. (The 20 Most Expensive Keywords in AdWords [17])
  13. Amazon spent an estimated $55.2 million on AdWords advertising in 2011. (Breaking Down Google’s 2011 Revenues [18])
  14. 89% of the traffic generated by search ads is not replaced by organic clicks when ads are paused. (Google Research [19])
  15. For high commercial intent search queries, the top three ad spots take about 40% of the clicks on the page. (The War on Free Clicks [20])
  16. If there is no right-hand column, almost half of people (45.5%) can’t tell the difference between organic and paid search results. (SEO Book [21])
  17. AdWords advertisers can now target by Congressional District. (Google Politics [22])
  18. Google owns the world’s largest online display advertising network, with properties including YouTube [23], Gmail, and Blogger. (comScore [24])
  19. The Google Display Network serves 180 billion impressions each month (about 6 billion a day!). (comScore [24])
  20. Google display campaigns reach 80% of global internet users. (Google Benchmarks and Insights [25])
  21. According to Google, “99% of our top 1,000 clients are now running campaigns on the Google Display Network and YouTube.” (Google Benchmarks and Insights [25])
  22. The average click-through rate of an ad on the Google Display Network is 0.4% -- four times as high as the average banner ad in the US and almost ten times as high as a Facebook ad. (Facebook vs. Google Display Network [26])
  23. Consumers exposed to display ads are, on average, 155% more likely to search for brand- and segment-specific terms. (Specific Media [27])
  24. Yankee Candle Company reports that remarketing allowed it to increase conversion rates by 600% while cutting cost per conversion in half. (AdWords Blog [28])
  25. According to Google, campaigns that use the Conversion Optimizer achieve a 21% increase in conversions while decreasing CPA by 14% on average. (Google Conversion Optimizer [29])
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Source URL: http://www.wordstream.com/blog/ws/2012/08/13/google-adwords-facts

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[1] http://www.wordstream.com/blog/ws/2012/08/13/google-adwords-facts
[2] http://www.wordstream.com/blog/ws-0
[3] http://www.wordstream.com/category/wordstream-blog-tags/adwords-tips
[4] http://www.wordstream.com/blog/ws/2012/08/13/google-adwords-facts#comments
[5] http://twitter.com/share
[6] http://www.searchenginehistory.com/#ppc
[7] http://techcrunch.com/2010/08/29/bubble-blinders-the-untold-story-of-the-search-business-model/
[8] http://investor.google.com/financial/tables.html
[9] http://static.googleusercontent.com/external_content/untrusted_dlcp/www.google.com/en/us/economicimpact/reports/EI_Report_2011.pdf
[10] http://www.wordstream.com/blog/ws/2012/07/16/perry-marshall-interview
[11] http://knowledge.accuracast.com/articles/adwords-clickthrough.php
[12] http://www.practicalecommerce.com/articles/2940-For-Google-AdWords-It-Pays-to-be-on-Top
[13] http://www.businessinsider.com/these-2-charts-show-google-has-not-fixed-its-revenue-quality-problem-2012-7
[14] http://www.wordstream.com/blog/ws/2013/03/06/google-for-mobile
[15] http://searchengineland.com/google-controls-97-percent-of-mobile-paid-search-report-66876
[16] http://searchenginewatch.com/article/2140712/How-Google-Made-37.9-Billion-in-2011
[17] http://www.wordstream.com/articles/most-expensive-keywords
[18] http://www.wordstream.com/articles/google-earnings
[19] http://googleresearch.blogspot.com/2011/07/studies-show-search-ads-drive-89.html
[20] http://www.wordstream.com/articles/google-ads
[21] http://www.seobook.com/consumer-ad-awareness-search-results
[22] http://googlepolitics.blogspot.com/2012/08/congressional-district-targeting.html
[23] http://www.wordstream.com/youtube-for-mobile
[24] http://www.comscore.com/Press_Events/Presentations_Whitepapers/2012/2012_US_Digital_Future_in_Focus
[25] http://www.google.com/adwords/watchthisspace/benchmarks-and-insights/right-customer/
[26] http://www.wordstream.com/articles/facebook-vs-google-display-network
[27] http://specificmedia.com/press/94
[28] http://adwords.blogspot.com/2011/05/year-in-review-remarketing-delivers.html
[29] http://www.google.com/ads/conversionoptimizer/index.html
[30] http://feeds2.feedburner.com/WordStreamBlog
[31] http://www.wordstream.com/elisa-gabbert
[32] http://www.wordstream.com/google-adwords
[33] http://www.facebook.com/sharer.php?u=www.wordstream.com/print/2379
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[37] http://reddit.com/submit?url=http://www.wordstream.com/print/2379
[38] http://www.wordstream.com/blog/ws/2013/06/18/google-sitelinks
[39] http://www.wordstream.com/blog/ws/2013/06/17/google-features-to-explore-this-summer
[40] http://www.wordstream.com/blog/ws/2013/06/14/adwords-auction-insights
[41] http://www.wordstream.com/blog/ws/2013/06/12/underused-adwords-features