This game, like other games, has multiple strategies. You can put your fastest basketball players on the court, or the best shooters. If you are ahead you might want a more defensive presence.
In the PPC game, you can play different ways. You can have one keyword and hope for a high CTR or you can have a million keywords and hope for a lot of clicks.
If you stuff your campaign full of keywords you will kill your CTR guaranteed. Imagine the following scenario:
You want people to come to your "Business Loans" website. So you put all of the obvious terms like 'business loans' 'loan for business' 'biz loan' 'sba loan' etc.
Then you realize that at $.20 per click you aren't getting many clicks. Instead of improving your offer or your landing page, or your CTR, you decide to add more keywords.
You add keywords like 'buy a business' 'biz for sale' 'business credit cards' etc.
These keywords don't match your offer at all. People searching for a business for sale aren't looking for a business loan. Sure, they are related, but related doesn't do it for most searchers. Most searchers want to find exactly what they are looking for and they won't find it when they see your ad about business loans. That is one more page view without a click, further lowering your CTR.
As we've been talking about over the last few weeks, CTR is extremely important to AdWords because that is part of the equation that decides which ad is show in which position, and how much you pay for that spot!
Lower your keywords and lower your CPC.
Raise your CTR and raise your clicks!
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