Google Ad Words - a wonderful and cost effective way to advertise has great flexibility on the part of the advertiser, he/she can make it running in minutes and can change ads whenever feels doing it after tracking the response of the visitors and the conversion rate. Well to make your ad word campaign successful and worth spending I present some keen facts and suggestions to be considered while developing ad word advertisements.

Click through rate is a rough approximation of relevancy, in many ways this parallels the idea of grading the web on links. A relevant ad will have higher click through rates than a non relevant listing.

CAPITALIZE FIRST LETTERS
You'll get superior results from changing the first letter of EVERY word in your ad to UPPER CASE.
Your Headline
Your Ad Text
Your URL

If you have the keywords you want to list well in within your text it they will be bold when people search for them. This will also add to your click through rate.
Qualify your traffic. One word search terms frequently draw competitors and junk traffic to a level that usually exceeds any intrinsic value the listing may have.

Google AdWords are syndicated, which means you can choose to list only in Google; in Google & other search sites; or in Google, other search sites, and in contextual ads. Think of the various user bases and decide which may be better for you. You also can decide which countries and languages you want to list in for further targeting.

Use provoking words: Use provoking words that instantiate action of the user like free, free shipping, special offer, limited time offer, tips, tricks etc. These types of words actually attract the users but make sure that the words are specific to your business otherwise they can be removed by Google.

You can place expensive words in there own ad group. You may want to use some ad groups for generic terms and others for specific terms.

As long as they are relevant and specific you are not likely to use too many keyword phrases, just remember to place them in various groups and track them.

Seeing the keywords they searched upon displayed in your ad's title has a magical effect in getting viewers to click!

Link to exact pages: Always link to correct pages for example if you are advertising a particular product then link to the page in particular that is selling that product and not to the site's homepage. User will never like much browsing and will ultimately leave for your competitor if isn't able to find the desired information. So link to particular pages.

Google allows the ads to be grouped and has began offering a free conversion calculator. Through properly grouping and monitoring the results of your Adwords campaign it is easy to see which ads are profitable and create similar ones.

Tempting as it may seem, if you change too many variables at once while you're testing ads, you won't know what works - and what didn't.

Change only ONE THING at a time. One word in your headline may get your ad to pull twice as many clicks. Test everything - one at a time.

Google AdWords now allows you to target your ads based on the country, state, or city level, as well as have your ads appear within a specified radius of a location.

Geotargeting will help increase your clickthrough rate and give you traffic which is more pre qualified for a purchase if you are a local business.