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Google Ads is Google’s pay-per-click (PPC) advertising platform. You choose the searches you want to appear for, set a budget and a bid strategy, and pay when someone clicks your ad. Each time someone searches, an auction runs between all the advertisers targeting that search. Google ranks the ads using the bid, the quality of the ad and landing page, and the expected impact of your ad assets. If you win, your ad appears above or below the organic results. Because so many people start their buying journey on Google, this is a very effective way to reach them. For a deeper walkthrough, Google offers its own guide to getting started with Google Ads.
Many of the biggest brands in the world now rely on Google Ads, and the total spent on the platform each year is enormous. So what can the rest of us learn by looking at the very biggest spenders, and what do they have in common?
The biggest advertisers are mostly retailers, travel companies and brands with huge catalogs
The lists of top search advertisers that get published every few years tend to look alike. Online marketplaces and large retailers sit near the top, along with major travel booking companies such as Expedia and Booking Holdings (formerly the Priceline Group), national retail chains and large technology and telecom companies. We have left out exact spending figures, since they change every year and old numbers circulate online long after they are accurate.
To give a sense of scale, we have previously written about what it looks like when a single company spends a seven-figure amount on Google Ads every day. Spending at that level only makes sense when each click reliably returns more than it costs.
Big spenders can measure the return on every click
The top spenders are often e-commerce businesses or large companies with strong online sales. This is no surprise. If you sell online, you can trace a click to a purchase, which gives you a direct and immediate measure of return on investment. When the numbers work, you can keep spending more, because every extra dollar returns more than a dollar.
Size and spending feed each other
The wealthiest companies can afford the largest advertising budgets, and they are often large because they invested heavily in advertising for years. If you run a smaller business, remember that this is who you are competing against for the most expensive keywords. You do not need to match their budgets. You need to find the searches where you have an advantage, such as local terms, specific products or services, or niches that big brands overlook.
Many top spenders also sell in physical stores
It might surprise you that a large share of the biggest advertisers sell mostly offline. Retail chains and department stores appear alongside the pure online players. Many of these companies still sell online, but they also use Google Ads to bring people into stores, promote local inventory and build awareness. Businesses that have been around longer have also had more time to grow into large advertisers.
Most consumer spending still goes to physical goods and services, so if you sell only digital products, it is worth asking whether there are customers you are missing.
Brand awareness matters as much as direct conversions
Some of the biggest names are probably as interested in brand awareness as in direct sales. Google Ads supports both goals. Search ads capture people already looking for what you sell. Video, Demand Gen and display formats can introduce your brand to people who have not yet started searching. Measure each campaign against the goal it is meant to serve.
What smaller advertisers can borrow from the big spenders
You do not need an enormous budget to use the same principles. Track conversions accurately so you know which clicks pay off. Start with the searches closest to a purchase and expand from there. Keep testing ads and landing pages, and let your results guide where to invest more. If you want to learn how Google Ads can benefit your business, talk to us and find out more.
“PPC management services are fantastic! Definitely improved traffic and sales on my online store.”
Rachel PattonTaylor's Leatherwear
