Google Ads for SMB owners: A complete guide to best practices and bidding strategies

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May 14, 2025

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For small and medium-sized businesses, every marketing dollar counts. Google Ads is a powerful tool to drive sales quickly and measurably. But to unlock its full potential, you need to understand how it works, master its nuances, and adopt a rigorous strategy.

This guide is a comprehensive resource for SMB owners who want to invest in Google Ads, maximize their return on investment, and implement best practices adapted to their business reality.

Why should SMBs invest in Google Ads?

93% of online experiences begin with a search engine. (Source: Search Engine Journal)
65% of users click on Google Ads when they intend to make a purchase. (Source: WordStream)
The average ROAS (Return on Ad Spend) is 2:1 for unoptimized campaigns, and can go up to 8:1 for well-managed ones. (Source: Google Economic Impact Report)

For an SMB, this means that a well-structured campaign can generate between $2 to $8 for every dollar spent — if done right.

1. Structuring your Google Ads account the right way

A well-structured account = long-term performance. Here’s what to include:

Campaigns: Group major goals (Search, Display, YouTube, Performance Max).
Ad groups: Organize keywords into coherent themes.
Ads: 3 to 5 ads per ad group, including A/B variants.
Extensions: Add useful details (contact page, phone number, reviews, etc.).

Pro tip:

Structure your ad groups by intent (e.g., “roof repair” vs “roofing company”) to improve relevance and Quality Score.

2. Choosing the right keywords (and match types)

Keyword match types:

Exact: [keyword] → full control, low volume
Phrase: “keyword” → good balance of reach and control
Broad modified: +keyword (deprecated in 2021, replaced by smart broad match)
Broad: keyword → max reach, lower relevance, use with caution

Recommended tools:

Google Keyword Planner (free)
SEMRush and Ahrefs (advanced and paid)
Ubersuggest (mid-range)

3. Writing high-performing ads

Your ads should:

Include the main keyword in the headline
Clearly state a benefit (e.g., fast delivery, free quote, 24h response)
Use a strong call to action (e.g., Get your quote today)
Test multiple versions (A/B testing)

Example:

Roofing Company in Montreal
Repairs & installations – 15-year warranty. Free estimates.

4. Optimizing your landing pages

Campaign success depends on the quality of your landing pages.

Load time under 3 seconds
Fully mobile-optimized
Simple forms (name, email, phone)
One clear offer (no distractions)
Social proof (reviews, client logos, certifications)

👉 To improve conversions, check out our Conversion Rate Optimization (CRO) services.

5. Tracking conversions (the right ones)

One of the biggest mistakes SMBs make on Google Ads: tracking the wrong goals.

Track this: real contacts (form submissions, phone calls, quote request clicks)
Avoid this (alone): simple page visits or clicks with no further action

Pro tip:

Use Google Tag Manager to centralize and manage all your conversion tracking (forms, button clicks, phone calls).

6. Choosing the right bidding strategy

Google Ads bidding strategies have evolved significantly.

Most common options:

Maximize conversions: best if you already have volume
Target CPA (Cost Per Acquisition): you set a maximum cost per lead
Target ROAS: more relevant for e-commerce
Manual bidding: good for beginners or tighter control

Our SMB recommendation:

Start with Manual CPC or Maximize Clicks (with a CPC limit), then move to Maximize Conversions or Target CPA once you hit at least 30 conversions/month.

7. Using Performance Max (with a plan)

Performance Max campaigns combine all channels: Search, Display, YouTube, Discover, Gmail, etc.

Benefits: maximum reach, automated optimization
Risks: less control, hard to manage without proper conversion tracking

👉 To structure your campaigns correctly, explore our Google Ads services for SMBs.

8. Measure, analyze, improve (constantly)

Launching a campaign is just the beginning.

Review search terms weekly
Add irrelevant terms to the negative keyword list
Adjust bids by time, day, or device
Test new ad variants every month

Measurement tools:

Google Ads Reports
Google Analytics 4
Looker Studio (formerly Data Studio)

9. Common mistakes to avoid

Launching campaigns without dedicated landing pages
Letting Google auto-select your keywords (unstructured broad campaigns)
Failing to set daily budgets per campaign
Not tracking real conversions (form submissions or calls)
Not running A/B tests

10. How much should you invest?

There’s no one-size-fits-all answer, but:

For a service-based SMB: $1,500 to $3,000/month to see meaningful results
Average CPC in Canada: $1.50 to $6 depending on industry (Source: WordStream)

Start small, test, optimize, and scale.

Conclusion

Google Ads is one of the most powerful growth channels for SMBs. When managed well, it can become your top lead generation tool. When mismanaged, it can burn your budget fast.

If you’d like to avoid common pitfalls and accelerate your results, our team can help you create and optimize your campaigns. Check out our Google Ads services for SMBs.