Google AdWords Glossary: Terms You Should Know

A Google AdWords campaign comes with many terms that you may find confusing. When you are asked about the CPC for your ad group, the keywords you want to include, and the quality score you hope to achieve, you may feel ready to back out of the whole endeavor.

That is why, first, you need an AdWords professional (like Distinct Web Design–did we mention that we are a Google Partner?) to help you successfully implement a campaign for your business. And second, you should probably learn a few basic Google AdWords terms. Here are some of the most common.


Ad Extensions

Ad extensions are extra pieces of information that show up in your Google AdWords ad. For example, you can choose to reveal your company's address and telephone number.

Ad Groups

For every campaign you run, you will develop a set of ad groups. These are the keywords, bids, and ads focused in a particular topic. For example, your florist shop might create an ad group about holiday bouquets, funeral bouquets, and celebration bouquets.

Calls to Action

Every Google AdWords ad should include a call to action (CTA). This is a clear, action-based direction to your reader (i.e. Buy Now, Click Here). It tells the reader of your ad exactly what they should do in response to your ad.

Click Through Rate (CTR)

The click-through rate (CTR) is the number of times someone clicks on your ad after reading it.


A conversion is an action that someone takes after reading your Google AdWords ad and clicking on it. For example, conversions can include completed purchases, email sign-ups, and the like.

Conversion Rate

The conversion rate is the number of conversions that occur as the result of people clicking through one of your Google AdWords ads.

Cost per Acquisition (CPA)

The CPA is the total amount of money you spend on an ad divided by the number of conversions yielded by that ad.

Cost per Click (CPC)

The CPC is the basis for payment for the Google AdWords ad. When you choose this method of payment, you pay a certain amount of money for every click through your ad receives.

Daily Budget

The daily budget is the amount of money you are willing to pay every day. You can set a daily budget for every Google AdWords ad you have in your campaign.


Impressions refer to the number of times one of your Google AdWords ads is shown in the search results.


In a Google AdWords campaign, keywords are words and phrases that your target audience will be searching for that relate to your business. The keywords you choose will determine what searches include your ads.

Landing Page

The landing page is the web page that people land on when they click on your Google AdWords ad. This page should match the ad and be focused on the topic and keywords used in your ad.

Location Targeting

Location targeting allows you to show your Google AdWords ads only to people within a specified geographic area. This feature can be especially useful to small businesses that may want to target local customers.

Quality Score

The quality score is a way of describing how useful your Google AdWords ad is to the people who see it. It is often used by Google to determine your ad rank and your cost per click.

If you want more clarity about Google AdWords, or help setting up a campaign, do not hesitate to reach out to Distinct Web Design. We have a certified Google AdWords expert on staff to help you create and implement an effective campaign for your small business.

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