To maximize the performance of your Google Adword campaign, I have found the following strategy highly effective:

I. Optimize Account Structure

Campaign organization:

Organize your campaign into separate ad groups, each focusing specifically on certain products. For example, for the case of OSWeb2Design website, I created ads groups like E Commerce, E Learning, Personal Website, Organization/Business Websites, Social Networking. This structure allows the ads to be more targeted, increasing the likelihood of a prospective customer clicking through to your site.

Do not be concerned about the increased number of ad groups. Tightly-themed ad groups will help you get targeted clicks from users looking for your services while staying within your daily budget.

Paused Existing Ad Group:

To prevent duplicate keywords from competing against one another,  paused conflicting ad group in the campaign.

II. Optimize Keywords

Keyword list expansion:

Expanded your keyword list with additional relevant keywords and their respective singular and plural variations. These new keywords should trigger your ads more frequently and increase your advertising presence for a targeted audience.

Campaign negative keywords:

Added campaign negative keywords can help protect your clickthrough rate (CTR) and ROI by filtering out irrelevant searches. For example- al gore, army, armys, bebo, bebos, bill, bills etc

Matching Options:

Added your high traffic generating keywords like ‘e commerce site'in phrase so you may monitor your traffic more closely. More specific matching options will filter out more searches, often leading to a higher CTR and more relevant traffic.

III. Optimize Ad Text

Targeted ad title can help to maximize the relevance of your ad in relation to your keyword list. Try to highlight special offers, used promotional language, and selected call-to-action phrases to entice users to click on your ads.

Display URL:

Capitalized the first letter of each word in your Display URL. For example, www.OSWeb2Design.com. The added emphasis will help grab users' attention and draw more targeted clicks on your ads.

If you want to learn more about Google Adwords optimization, watch the following Google video