How Google advertising can increase your income
05.03.2025. / Internet advertising

When people need to find or buy something, they first ask Google. And of course, they expect quick and relevant answers. This means that ideally, your company should appear in the search results, or you risk losing potential customers to the competition. Google advertising ensures visibility precisely at that moment – when people are searching for what they need.

Precise audience targeting, measurable results, and the ability to constantly adjust campaigns make Google ads one of the most effective tools for business growth. 
 
For you as an entrepreneur, this means an opportunity to directly connect with people who are already showing interest in what you offer. 
 
A properly set up Google Ads campaign can significantly increase your revenue without unnecessarily spending your budget on people who are not your target audience. 
 
What are Google Ads? 
Google Ads is an advertising platform that allows businesses to promote their products and services on Google Search, YouTube, Gmail, and a network of partner websites. 
Ads can appear in various formats, including text, image, video, and shopping ads. 
 
Key components of Google ads: 

  • Campaigns – the main structure that determines the advertising goal 
  • Ad groups – within each campaign, ads are organized by theme 
  • Keywords – terms that trigger the display of ads to users 
  • Ads – the creative elements of the campaign that attract users to click 
     

How google ads put your business in front of the right people 

There is no better place for advertising than where people are actively searching for products or services. 
 
Instead of passive advertising that relies on random exposure and hoping that people will “come across” you, Google Ads targets users based on their searches, interests, and online behavior
 
Examples of effective targeting: 

  • An online sports equipment store can target users searching for “best running shoes.” 
  • A local restaurant can promote special offers to people nearby who search for “restaurant near me.” 
  • A garden center can reach users who have recently viewed content about planting. 

Google Ads is not an abstract tool; its success is backed by concrete numbers. According to research, well-structured Google Ads campaigns can achieve a return on investment (ROI) between 200% and 400%, meaning that for every €1 invested, you can expect an average return of €2 to €4. 
 
Of course, actual ROI varies depending on the industry, market competition, and campaign optimization. 
 

Is Google advertising only for large companies? 

It is a mistake to think that digital advertising is reserved only for large companies. Google Ads offers budget flexibility, meaning that smaller businesses, local shops, and startups can compete with larger ones—through smart strategies
 
The success of Google advertising does not depend solely on the budget size but on precise targeting, high-quality ad content, and campaign optimization. 
 
What can be done to improve targeting and the effectiveness of Google advertising? 

  • Geographic targeting – small businesses can set ads to be shown only to users in their region or city 
  • Interest-based targeting – ads can be directed at users who show interest in specific products or services 
  • Remarketing – re-engaging users who previously visited the website but did not make a purchase 
  • Ad testing (A/B testing) – comparing different ad versions to determine which delivers the best results 
  • Landing page optimization – improving the quality of the page ads lead to can increase conversions and reduce cost-per-click (CPC) 

Likewise, simply "turning on ads" and expecting miracles is not enough. The key to success lies in the right strategy. Google advertising can literally double your revenue—if used wisely. 

 

Setting up an effective campaign 

1. Keyword research 

Before even starting a campaign, it is important to identify the keywords your target audience is searching for. 
Use tools like Google Keyword Planner or Keywords Everywhere to find relevant terms with high search volume and low competition. 

2. Determining budget and bidding 

Setting the right budget is also a crucial step. Google Ads offers several bidding models: 

  • CPC (cost-per-click) – you pay only when a user clicks on your ad 
  • CPM (cost-per-mille) – you pay for a thousand ad impressions 
  • CPA (cost-per-acquisition) – you pay when a user completes a desired action (purchase, signup, download) 

Bidding strategies can include manual bid adjustments or automated methods such as Target ROAS (Return on Ad Spend), which optimizes bids based on the targeted return on investment. 

3. Creating engaging ads 

Your ad must grab attention and encourage people to click. 
Here are a few tips: 

  • Use a clear and compelling headline that solves the user’s problem 
  • Include keywords in the headline to ensure ad relevance 
  • Add a call to action (CTA) like "Learn More," "Take Advantage of the Offer," "Buy Now" 
  • Test multiple ad versions to find the best-performing headline and description combination 
  • Use emotional triggers, such as urgency ("Limited Offer") or trust ("Trusted by Thousands of Users") 
  • Highlight benefits instead of features, as people want to know how your product or service solves their problem 

4. Using ad extensions 

Extensions allow the display of additional information, such as addresses, phone numbers, and links to specific pages. 
The most useful extensions include: 

  • Sitelinks – links to specific pages on your website 
  • Callout extensions – additional descriptions that highlight product/service benefits 
  • Call extensions – a phone number that enables direct calls from the ad 
  • Structured snippet extensions – displays specific details about your offer, such as product or service types 
  • Promotion extensions – displays special offers or discounts to attract more user attention 
  • Location extensions – links ads to your store or office location, particularly useful for local businesses 
     

You only pay when someone clicks – but a click is not the goal 

One of the biggest advantages of Google advertising is its payment model – you only pay when someone clicks on your ad
 
However, this does not mean that every click is valuable. If the person who clicked does not take the desired action (purchase, contact, signup), then you have simply spent money without results. 
 
How clicks lead to sales: 

  • Use negative keywords – eliminate queries that do not bring quality traffic (e.g., “free,” “reviews”) 
  • Optimize the landing page – if a user does not find what they are looking for within the first 5 seconds, they will leave 
  • Test different CTAs (calls to action) – phrases like "Order Now" or "Learn More" can have drastically different effects 
  • Adapt ads to the purchase stage – show different ads to users who are researching and different ones to those ready to buy 

Example: If you sell furniture, a user searching for "best sofas for small apartments" is likely still in the research phase. However, someone searching for "click-clack sofa price Zagreb" is ready to buy – show this user an ad with a price and offer. 

 

Right people, right time, right ads 

Google advertising allows for extremely precise targeting, meaning that your ad can be shown only to people who are most likely to buy your product or service – exactly those who are closest to making a decision
Targeting includes demographic data (age, gender, location), user interests, past searches, and online behavior. 
 
How to achieve precise targeting: 

  • Location targeting – show ads only to people within a 10 km radius of your physical store 
  • Behavior-based targeting – Google recognizes people who frequently purchase similar products 
  • Use Custom Intent Audiences – e.g., displaying ads to people who have searched for competing products in the last 7 days 
  • Targeting by age, gender, and interests – if you sell women’s cosmetics, it makes little sense to spend budget on men aged 18-24 

Example: If you run an auto repair shop, your ads should be targeted at users who have recently searched for "oil change" or "vehicle service cost" – not those browsing news about the automotive world. 

Remarketing – a reminder that sells 

How many times have you browsed a product online but didn’t buy it right away? 
Most people don’t make a purchase decision immediately – they need 3-7 touchpoints with your brand. Remarketing allows you to stay in their field of view. 
 
Google Ads enables you to re-engage these users through remarketing campaigns. These campaigns ensure that your ads follow users across other websites, reminding them of your product. 
 
Best ways to use remarketing: 

  • Dynamic remarketing – automatically displays products the user has already viewed 
  • Email remarketing – showing ads to users who signed up for a newsletter but haven’t purchased yet 
  • Abandoned cart reminders – targeting users who added a product to their cart but didn’t complete the purchase 
  • Combining with discounts – e.g., "You’ve seen this product? Get 10% off if you buy today!" 

Example: If a user browses sneakers on your webshop but doesn’t buy, you can later show them an ad with a 15% discount and free shipping to encourage them to complete the purchase. 
 

Tracking and analyzing performance – because guessing is not a strategy 

Google Analytics 

Integrating Google Analytics with your Google Ads account allows for a detailed analysis of user behavior after they click on an ad. 
Key performance indicators to track: 

  • CTR (Click-Through Rate) – the percentage of users who clicked on the ad 
  • Conversion Rate – the percentage of users who completed the desired action 
  • Cost per Conversion – the cost per successful conversion 

A/B Testing 

A/B testing is a process where you compare two versions of an ad to see which performs better. You can test different headlines, images, CTAs (calls to action), and landing pages to find the best combination. 
By experimenting with different ad versions, you can identify which messages resonate best with your audience. Don’t rely on intuition – test. 
 
What to test: 

  • Ad headline – try different messaging, e.g., "Buy Now" vs. "Discounts Up to 30%!" 
  • Ad description – test a direct CTA vs. an educational approach 
  • Images or videos – visuals can significantly impact conversions; test product images vs. lifestyle photos 
  • Landing pages – test two versions of a landing page to see which converts better; half of the visitors see one version, the other half see another 
  • CTA button colors – in most cases, a red or green button will work better than a gray one 
     

Automation and AI – your digital sales assistant 

Google Ads uses advanced artificial intelligence to optimize your campaigns. This means that, with proper setup, you can automatically adjust budgets, bids, and ad display strategies to achieve the best results. 
 
How to leverage AI in google ads campaigns: 

  • Smart Bidding – Google AI automatically adjusts bids based on conversion probability 
  • Responsive Search Ads (RSA) – Google tests different combinations of headlines and descriptions to find the best-performing variations 
  • Automated Recommendations – the system suggests optimizations based on real data 
  • Dynamic Ads – the system automatically creates ads based on your website content 

How to get started: 

  • Define goals – do you want to increase sales, inquiries, or newsletter sign-ups? 
  • Set a budget – how much are you willing to invest, and what return do you expect? 
  • Research keywords – find the phrases your customers use when searching 
  • Create attractive ads – clear, engaging, and optimized for conversions 
  • Test, measure, optimize – use data to continuously improve your campaign 
     

Google Advertising – common mistakes 

Google Ads is a great tool for attracting customers, but many advertisers make mistakes that reduce campaign effectiveness and increase costs. 
 
Examples of Common Mistakes and How to Avoid Them: 

  1. Poor keyword selection 
    If targeting is too broad or irrelevant, your ad will be shown to people who are not interested in your offer. 
  2. Ignoring negative keywords 
    If negative keywords (e.g., “free” or “reviews”) are not defined, ads will be shown to the wrong audience, wasting budget without conversions. 
  3. Unclear or unappealing ads 
    Ads without a clear call to action or useful information won’t attract clicks. It’s important to test different text versions to find the one that converts best. 
  4. Poor landing page optimization 
    If a user clicks on an ad but doesn’t find what they’re looking for, they will leave quickly. The content should be relevant and mobile-friendly. 
  5. Ineffective audience targeting 
    Targeting that is too broad or too narrow leads to wasted budget on the wrong audience. Use geographic, demographic, and interest-based targeting for better results. 
  6. Neglecting A/B testing 
    Without testing different ad and landing page versions, it’s difficult to determine what works best. Regularly test headlines, descriptions, and CTAs. 
  7. Lack of tracking and optimization 
    Setting up ads and forgetting about them leads to money loss. It’s crucial to monitor metrics like CTR, conversion rate, and cost per acquisition to improve the campaign. 
  8. Incorrect budget and bid settings 
    A budget that is too low may prevent ads from displaying frequently enough, while bids that are too high can quickly deplete funds. Smart bidding strategies help manage costs effectively. 

With Google advertising, your ads will be seen by people who are already searching for what you offer, which means higher chances of making a sale. 
You can control how much you spend and adjust ads to achieve the best results. By analyzing data and testing different ad versions, you can reduce unnecessary costs and attract more customers, which can significantly increase your revenue.

 
 
Do you want more customers and a higher return on investment? Don’t waste your budget – leave Google advertising to the experts. 
Our digital marketing agency creates, optimizes, and manages campaigns that deliver real results. 

  • Precise targeting of the right audience 
  • Optimization for maximum efficiency 
  • Transparent results and continuous analysis 

Contact us today and turn clicks into conversions.