With all the surprises the previous Google ad update gave us, the fact that Broad Match is now enabled as the default for new search campaigns was probably the one surprise that has the most significant impact on businesses advertising on Google.

For advertisers, this change could have some serious implications. It can affect their campaign performance, budget efficiency, and ROI.

Within the following pages, we will discuss what this change means for businesses, how it can impact your ad campaign, and what steps you can take to mitigate risks.

What is Broad Match?

For those who have never used this strategy, Google Ads Broad Match targeting is designed to give your ads the widest possible reach. Simply put, the ads are shown for search queries that are even loosely related to your targeted keywords—synonyms, misspellings, or related searches.

For example, if you’re targeting “women shoes,” your ads will be displayed to the audience searching for keywords broadly related to women and shoes, such as women’s fashion, running shoes, summer or winter wear, etc.

How Broad Match Targeting Impacts Your Ad Campaign

Broad Match Google Ads targeting can positively and negatively impact performance and ad spend.

The Positives

Wider Reach

With your ads showing up for even the loosely related search queries, Google Ads Broad Match modifier can increase the reach of your campaigns. This can be useful for businesses trying to build brand recognition or spread awareness. This strategy is also useful for advertising products that work in conjunction with other products. For instance, if you’re selling shoe polish, you may like to use this strategy to capture or reach those customers searching for shoes as well.

Simplicity

Using this strategy is quite simple. You only need to add a few keywords, and the Google Ads network will automatically identify related queries. This saves you from manually entering several keyword variations and simplifies the whole campaign setup process.

Dynamic Learning

From Broad Match data, Google’s machine learning algorithms can identify keywords or search queries, bringing in the highest conversation rates for your ads. These algos can then optimise your campaign targeting based on that data to gradually improve performance as more data is gathered and analysed.

Increased Traffic

With more reach, you’re often likely to get more traffic to your website. This, once again, makes Broad Match a good strategy for businesses looking to generate brand awareness or spread a message.

The Negatives

Irrelevant Traffic

As Broad Match directs traffic to your website even if they aren’t directly related to your targeted keywords, you may attract traffic that isn’t relevant to your business. This can dilute the traffic and lead quality, decreasing the effectiveness of your campaign.

Wasted Ad Spend

Broad Match can result in a huge number of irrelevant clicks, which can quickly pile up and lead to wasted ad spend. You’ll be getting traffic, but the conversation rate will typically plummet. You’ll still have to pay for those irrelevant clicks and low quality traffic, even if they don’t convert.

Increased CPC

Broad Match can put your ads in competition against businesses that aren’t in your direct industry. This can increase competition and, thus, the CPC (cost per click). It can also put you in high-competition spaces and make it harder for you to stand out.

Loss of Control

With Google AI algorithms taking charge, you have little control over specific search queries that trigger your ads. This unpredictability can lead to difficulties in managing and optimising your campaign over the long run.

Financial & Performance Implications

Adopting broad match keywords can have both positive and negative implications for your campaign budget and performance. While increased reach might boost impressions and click-through rates (CTR), the risk of attracting irrelevant traffic can lead to wasted ad spend.

In turn, this affects overall budget efficiency and may reduce your return on investment. For instance, even if your ad campaign generates more clicks, if those clicks don’t lead to conversions (purchases, sign-ups, or other desired actions), your cost per acquisition (CPA) will increase. This means you’ll be paying more for each conversion, which can negatively impact your campaign’s profitability.

Mitigating the Risks of Broad Match Keywords

To leverage the benefits of broad match keywords while minimising the risks, you can use several strategies. You may also want to consider the pros and cons of outsourcing Google Ads management before taking this challenge on yourself!

Negative keywords

By adding irrelevant terms to your negative keyword list, you can prevent your ads from appearing for search queries that don’t align with your campaign goals. Regularly updating this list based on search query reports will help improve ad relevance.

This form of marketing also works for launching new products or services or if the target audience is frequently visiting a specific website.

Smart Bidding

Google recommends using smart bidding (e.g., Target CPA or Target ROAS) to optimise bids in real time based on the likelihood of conversion. This ensures that even when using broad match, you’re focussing on searches most likely to deliver value.

Regular Monitoring and Adjustments

Consistent monitoring of your campaign’s performance is essential when using broad match. Review your search terms report frequently and make adjustments to your keyword strategy to avoid wasted time on irrelevant clicks.

Segmentation by Campaign Type

Use broad match primarily for top-of-funnel, awareness-focused campaigns, where the goal is to attract a large audience. For bottom-of-funnel, conversion-driven campaigns, it’s better to stick with exact match to ensure higher relevancy and intent.

Is Broad Match Right for Your Business?

The decision to use broad match depends on your specific campaign goals and audience. It can be highly effective for top-of-funnel campaigns aimed at increasing brand awareness or exploring new keyword opportunities. However, for businesses focused on generating leads or driving conversions, broad match keywords may not be the best fit due to the risks of irrelevant traffic and wasted budget.

If your goal is to expand reach and explore new markets, broad match can be a valuable tool. On the other hand, if your goal is to drive highly qualified leads or direct sales, broad match might not provide the focus needed.

Ensure that broad match aligns with the user intent you’re targeting. If your audience searches with very specific needs or is close to making a purchase, broad match might lead to irrelevant traffic.

It’s also a good idea to review your historical campaign performance data. If broad match leads to high traffic but low conversions, it may not be the best option for your business.

Conclusion

Knowing how to choose the right Google ads campaign type for your business goals can be a challenge.

Google Ads offers both opportunities and challenges, and whether to use it or not depends on your business goals. If you’re uncertain about whether broad match is right for your business or need help optimising your Google Ads campaigns, book a free consultation with the experts at Disturb Digital.