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The unique formula of Google AdWords is that you can't reach #1 position only by increasing your bidding price. Google also considers your Click Through Rate (CTR). CTR is a value that represents how many click-throughs (clicks on your ad) you get among your ad's impressions. Too many difficult words..?
OK, let's try it this way... Impressions is frequency of your ad's appearance in search engine's result page. If your ad appears 500 times, than your ad's impression is 500. But, of course you don't get a click everytime your ad shows up. From those 500 impressions, perhaps you only get 1 click. This makes your CTR = 1/500 = 0.002 = 0.2%
The better CTR you have for an ad, lower you have to bid for same position.
That means, Google also rewards good content of your ad. When your ad gets a lot of click-throughs, that means you have a good ad and Google rewards you for that! Your ad is good according to Google if your ad is relevant with content of your site.
In Google AdWords, rich ones don't always win... smart ones do!
Of course there are still a lot of things we haven't touch regarding Google AdWords, but we have to do it later. After all, this is a quick overview for beginners, right?
Copyright 2005 Farid Aziz.
Farid Aziz is a full-time Internet Marketer. Reveal more of his FREE tips and strategies on Internet Marketing and get a FREE Course on How to Make Money Online with Your Hobby at >>> http://www.InternetMarketerSells.com