How to Run Ads on Google: Step-by-Step Setup

Running ads on Google starts with creating a Google Ads account, choosing a campaign type, setting a budget, and writing your first ad. The whole process can take under an hour, though building a campaign that actually performs well requires understanding how Google decides which ads to show, what you’ll pay per click, and how to measure whether your spending is generating results.

Create Your Google Ads Account

Go to ads.google.com and sign in with any Google account. Google will walk you through a guided setup that asks for your business name, website URL, and billing information (credit card or bank account). You can skip the guided campaign creation if you want to build your first campaign manually with more control.

Once your account is live, you’ll land in the Google Ads dashboard. Before launching anything, take a minute to confirm your time zone and currency settings under “Account Settings,” since these can’t be changed later. Google may also ask you to verify your identity and business, which typically involves uploading a government-issued ID and a business document. This verification process can take a few days, and your ads won’t run until it’s complete.

Choose the Right Campaign Type

Google Ads offers several campaign types, and picking the right one depends on what you’re trying to accomplish.

  • Search campaigns show text ads at the top of Google search results when someone types in a relevant keyword. This is the most common starting point for new advertisers because it targets people who are actively looking for something you offer.
  • Performance Max campaigns run ads across all of Google’s channels (Search, YouTube, Display, Gmail, Maps, Discover) using a single campaign. Google’s automation decides where your ads appear based on your goals and creative assets.
  • Display campaigns place image or banner ads on websites across Google’s network of over two million sites and apps. These work well for brand awareness but typically convert at a lower rate than Search.
  • Shopping campaigns show product listings with images and prices directly in search results. If you sell physical products online, this is essential.
  • Video campaigns run ads on YouTube before, during, or alongside videos.

If you’re new, start with a Search campaign. It gives you the most control and the clearest connection between what people search for and what you’re advertising.

Pick Your Keywords

Keywords are the search terms that trigger your ads. When you create a Search campaign, you’ll choose keywords related to your product or service. Google’s built-in Keyword Planner tool (found under “Tools” in the dashboard) lets you research keyword ideas, see estimated search volume, and get a rough cost-per-click range for each term.

Each keyword has a match type that controls how broadly Google interprets it:

  • Broad match shows your ad for searches related to your keyword, even if the exact words aren’t used. “Women’s running shoes” might trigger your ad for “best sneakers for jogging.” This casts the widest net.
  • Phrase match (keyword in quotes) shows your ad when the search includes the meaning of your keyword. “Women’s running shoes” would match “buy women’s running shoes online” but not “women’s dress shoes.”
  • Exact match (keyword in brackets) shows your ad only when someone searches for that specific term or very close variations. [Women’s running shoes] gives you the tightest targeting.

Start with phrase match or exact match to keep spending focused, then expand to broad match once you have conversion data. Add negative keywords to block irrelevant searches. If you sell premium shoes, adding “cheap” as a negative keyword prevents your ad from showing when someone searches “cheap women’s running shoes.”

Write Ads That Get Clicks

Google Search ads use a format called responsive search ads. You provide up to 15 headlines (30 characters each) and up to 4 descriptions (90 characters each), and Google tests different combinations to find the best performers.

Write headlines that include your target keyword, a clear benefit, and a call to action. For example, if you’re advertising an online bookkeeping service, your headlines might include “Online Bookkeeping Starting at $200/mo,” “Save 10 Hours a Week on Books,” and “Get a Free Quote Today.” Descriptions should expand on those points with specifics: what the customer gets, why they should choose you, and what happens when they click.

You can also add ad extensions (Google now calls them “assets”) to give your ad more real estate on the page. Sitelink assets add extra links below your ad pointing to specific pages. Callout assets highlight features like “Free Shipping” or “24/7 Support.” These don’t cost extra and typically improve click-through rates.

Set Your Budget and Bidding Strategy

You set a daily budget for each campaign, and Google will spend up to that amount per day (sometimes slightly more on high-traffic days, but it balances out over the month). There’s no minimum spend requirement, so you can start with $10 or $20 a day to test.

Your bidding strategy determines how Google spends that budget. The main options break down into manual and automated approaches:

Manual CPC lets you set the maximum amount you’re willing to pay for each click on each keyword. This gives you full control but requires constant monitoring and adjustment.

Maximize Clicks is an automated strategy where Google sets bids to get as many clicks as possible within your daily budget. It’s a reasonable starting point when you don’t yet have conversion data.

Maximize Conversions tells Google to optimize your bids toward getting as many conversions (purchases, sign-ups, calls) as possible within your budget. If you don’t set a target cost per conversion, Google will simply try to spend your full budget getting the most conversions it can. You can optionally set a target CPA (cost per action), which tells Google to aim for a specific cost per conversion. For example, if you set a target CPA of $25, Google’s bidding system will try to get you conversions averaging around $25 each, though individual conversions may cost more or less.

For most new advertisers, starting with Maximize Clicks for the first few weeks makes sense. Once your campaign has accumulated 15 to 30 conversions, switching to Maximize Conversions gives Google enough data to optimize effectively.

Understand What Determines Your Ad Position

Google doesn’t simply show the ad from the highest bidder. Every time someone searches, Google runs an instant auction that considers your bid, your ad quality, and the expected impact of your ad extensions. This means a well-crafted ad with a strong landing page can outrank a competitor who bids more per click.

Google measures ad quality through three components: expected click-through rate (how likely people are to click your ad), ad relevance (how closely your ad matches what the person searched for), and landing page experience (how useful and relevant your landing page is after someone clicks). Each component is rated “Above average,” “Average,” or “Below average” in your dashboard as part of a diagnostic metric called Quality Score, scored from 1 to 10.

Quality Score isn’t directly used in the auction, but it reflects the same signals Google’s auction system considers. If your Quality Score is low on a keyword, it’s a clear signal to improve your ad copy, tighten your keyword targeting, or make your landing page more relevant. A better landing page experience, for instance, means faster load times, mobile-friendly design, and content that directly relates to what the searcher was looking for.

Set Up Conversion Tracking

Without conversion tracking, you’re flying blind. You’ll see how many clicks your ads get, but you won’t know whether those clicks led to purchases, sign-ups, phone calls, or any other action that matters to your business.

The simplest approach is to connect Google Analytics 4 (GA4) to your Google Ads account. First, link the two accounts through your GA4 admin settings and make sure auto-tagging is enabled in Google Ads (it’s on by default). Then in your Google Ads dashboard, go to “Tools,” then “Conversion management,” and click “New conversion.” Select your linked GA4 property and choose the events you want to count as conversions, like a purchase confirmation or a form submission. Assign a conversion category, review your selections, and save.

Alternatively, you can set up conversion tracking directly in Google Ads by installing a small piece of code (the Google tag) on your website and placing a conversion snippet on your thank-you or confirmation page. Google Tag Manager makes this easier if you’re not comfortable editing website code directly.

Once tracking is active, give it a few days to collect data. You’ll then see cost-per-conversion, conversion rate, and return on ad spend directly in your campaign reports.

Launch, Monitor, and Optimize

After your campaign goes live, resist the urge to change things immediately. Give it at least one to two weeks to gather meaningful data before making adjustments. During this period, check your search terms report regularly. This shows you the actual searches that triggered your ads, and you’ll almost certainly find irrelevant terms to add as negative keywords.

Once you have data, focus your optimization on a few high-impact areas. Pause keywords that are spending money without converting. Increase bids or budgets on keywords with strong conversion rates. Test new ad copy by adding fresh headlines and descriptions, then let Google’s system rotate them against your existing versions. Review your landing pages for any disconnect between what the ad promises and what the page delivers.

Keep an eye on your cost per conversion and compare it to the value of each conversion to your business. If you’re paying $50 per lead and each lead is worth $200 in revenue on average, your campaign is profitable. If you’re paying $50 per lead and each lead is worth $30, you need to either lower costs (better targeting, higher Quality Scores, negative keywords) or improve your conversion rate downstream.

Google Ads rewards patience and iteration. Most campaigns don’t hit their stride until you’ve spent a few weeks testing keywords, refining ad copy, and letting the bidding algorithm learn from real conversion data.