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Pt 3 How The Google Ad Grant Works

This blog is about all the ‘techy’ stuff to create ads on Google, and what’s involved in the management of the ads. We already outlined your website’s requirements in a previous blog (Read Here) but understanding how the ads function is a must.

Techy Stuff First                          

1. The Grant Covers Text-Based Ads Only

Here is an example of a text-based ad. If you type anything into the Google search bar, the first few results (blue arrow) that appear are usually ads (you’ll see ‘AD’ sticker at the top left corner – red circle in image). These are called Google Search Ads and are the text-based ads that nonprofits can create with the Ad Grant.

Display Ads, or visual banner ads with graphics, cannot be displayed using the Ad Grant, but don’t let that deter you. Text-based Google Search Ads can send really high-quality traffic to your website — and you won’t need a graphic designer to create them.

2. How the ad grant funds are allotted

Google Ads budgets are set daily rather than monthly, so the $10,000 is $330 allotments for each day of the month. If you don’t spend the full $330, it doesn’t roll over to the next day. It’s common for nonprofits to underuse the grant because daily allotments aren’t spent.

3. You Won’t Spend The $10,000 Immediately

To set realistic expectations for your first few months as a grantee, keep in mind that it’s difficult to spend the full $10,000 in the first month (or few). Google’s machine learning algorithm decides when to show your ads, and it needs time to gather data and learn about your account. This means it can take some time to increase spend and reach more of the right users.

4. You Aren’t Penalized For Using Less

A large number of grantees don’t ever use the full $10,000, and that’s completely normal — especially if your nonprofit serves a very specific or highly local population. You will never be penalized for using less. The most important thing is to make sure you’re reaching the right users rather than just focusing on the amount you spend each month.

5. You Aren’t Penalized For Using More, Either

On the flip side, accounts that consistently max out the Grant budget will sometimes spend slightly over $10,000 in a single month. If your account starts to break through the upper limit of the budget, don’t panic! Grant accounts are never billed (ever), so bask in the glory of the extra budget.

6. You Pay For Clicks, Not Ad Space

Google uses a “pay-per-click” model, which means you don’t pay for space like you would in traditional marketing — you only pay when a user clicks an ad. With Google Ad Grant accounts, that payment is deducted from your monthly allowance.  The key is to make ad appealing to the right audience so they will click through.

How much does each click cost? It varies a lot, but in our experience the average cost per click hovers around $2.73. Every time a user completes a search, Google’s algorithm determines how much their click will cost based on different factors that they analyze.

7. There’s A Learning Curve

Google Ads is designed for professional marketers, so it can take time to learn how to navigate the interface, create new campaigns, optimize your account. Plus, as a grant recipient there are additional criteria to stay compliant with Google Ad Grant policy. Be prepared for a bit of a learning curve.

If you are determined to manage the grant yourself, take advantage of some of the courses available to learn how to use Google Ads effectively. However, we recommend investing in a professional account management service.

8. The Grant Has No Cut-Off

If your account stays compliant with Google Ad Grant policies, you’ll keep receiving the free advertising space every month. There’s no time limit on how long you stay in the program. But Google reserves the right and can suspend your account if you fall out of compliance with Google Ads and Google Ad Grant policies. If your account is suspended, correct the reason for suspension as soon as possible and submit a reactivation request.

9. Google Ads Works Best With Other Google Products

It can come as a surprise that Google Ads isn’t the only tool needed to run your Google Ad Grant account. To get the most out of the Grant, you should use it concurrently with other Google products, including:

  • Google Analytics, which provides insight into how users arrived at the site and what they interacted with once there.
  • Google Tag Manager, which lets you track meaningful interactions users have on the site, such as newsletter signups, contact form submissions, and event signups.

Google has strict requirements to maintain your Ad Grant. This includes maintaining a click through rate of over 5%, optimizing your account, and tracking your keyword quality scores.

Sometimes I must laugh, and then compliment myself. If you had asked me 5 years ago about some of the terms listed above it would have been a deer in the headlight moment. Even though I am now familiar with the terms, I in no way want to manage our Google Ad Grant. There are too many small technical details and I am not the expert. Have no fear, you don’t need to understand the technical process (or terms) to have a successful Ad Grant experience. If fact, I highly recommend getting an ad grant manager because the ROI is totally worth it. With a dedicated google ad manager they will take care of all grant maintenance, so you can focus on having a greater impact in the world.

The Philantrepreneur Foundation has researched various resources for small to mid-size organizations. There are training programs available. However, we understand that if there is a turnover of staff which happens often, you need to start over. Our recommendation is to outsourcing management to a professional is best, more consistent, and sustainable.

Take Our Ad Grant Survey and Get a Free Ad Manager Consult

To learn more and get help with the Google Ad Grant process, please take our survey and we will connect you with an ad grant manager for a free consult today!

 

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