The Internet has brought on a lot of innovative ways to advertise a product or service. Since a lot of businesses nowadays have made the Internet as one of their major marketing channels, (if not the most important, they are always on the search for more effective ways to advertise their merchandise.

Google AdWords is a fast and hassle-free way to purchase highly favorable cost-per-click or cost-per-cost per impression kind of advertising, and it caters to all kinds of budgets. Advertisements sponsored by AdWords are shown prominently with search engine results on Google, and also on sites included in the diverse Google network, such as Blogger and Earthlink. Ads that are tied up with Google can reach a wide range of audience because of the huge amount of searches done on the Google network. When one produces an AdWords advertisement, keywords will be chosen in which the ads will be shown, and a maximum amount for clicking the link will be assigned. One also has to specify the Google network sites in which the ad will appear. The operation saves businesses a lot of money since a merchant only pays when the ads are viewed, whether it gets clicked or not. Maximum payment is dispensed per thousand views. The ads made will appear immediately after the merchant submits the billing information required. The online account control center enables one to monitor the performance of the ads.

The ads are strategically placed in order to maximize exposure to online users. They can be located alongside or at the top of search results, or in a page that appears when a user navigates to find a site directory. Ads are also displayed on Gmail, Google's own electronic mail service.

Advertisements that are keyword-targeted are ranked by determining the number of times they were clicked, and also by the quality score. The quality score, on the other hand, is known by its clickthrough rate and other relevant factors, such as the importance of the text of the ad and historical keyword performance. High-ranking ads will be placed at the top of other ads on the search results of Google.

The system determines the placement of the ads by studying the queries of searchers to know exactly what region they are searching for. The Internet Protocol address may also be used as a basis to know where the searcher is from. If AdWords fail to come up with the right targeting for the advertisements, national or global advertisements will be displayed in its place.

There aren't much technical requirements for utilizing AdWords. It is advised to have the latest browser installed that is enabled with Javascript. For Microsoft Internet Explorer, at least the version 5.0 is recommended, and at least the version 6.0 for Netscape users. Editing of browser preferences may be necessary for those using an updated browser to enable Javascript and cookies.

It is possible to for AdWords ads to run on the individual web sites of merchants. There are two ways:

1.Google AdSense for Search

Websites that transacts at least 5 million searches per month can flash AdWords advertisements on their results pages.

2. Google Adsense for Content

Any web publisher can apply online. Premium service eligibility can be attained if a site receives more than 20 million views in a month.

What are the advantages of using Google AdWorks? Contracts and deadlines can be a thing of the past by using Adsense. It does not ask packages and prepayment from users. There are no minimum spending and contract requirements.

When a Google AdWorks account is created, a one-time activation fee is created, and an initial credit limit is established. The credit limit is increased everytime the account reaches is credit limit before 30 days has expired. Highest credit limit is $500.

Several payment options can be chosen from, the post-payment option and the pre-payment option. For the post-paying, payment is only dispensed for the clicks that the ad actually received.

Businesses will never run out of options on how to advertise their products and services. In fact, the channels have become more and more creative and easier for those interested to market their wares. Merchants should choose the most suitable and cost-free means for advertising.