How Do Search Ads Work

If your customers are searching for what you offer and you’re not showing up, you’re holding back potential customers.
That’s the simple problem search ads solve.
Search ads are paid adverts that appear at the top of search engine results when someone types in a relevant keyword. You’ve seen them every day, usually marked with a small “Ad” label above the organic listings.
They matter because search ads put your business in front of people at the exact moment they’re looking for a solution.
In this blog, we’ll break down how search ads work, why they’re so effective, and what actually happens behind the scenes when someone searches on Google.
What are search ads?
Search ads are text-based adverts that appear on search engines like Google and Bing.
They’re triggered by keywords, the words or phrases people type into the search bar when they’re looking for something specific.
For example:
- ‘Commercial cleaning company’
- ‘IT support for small businesses’
- ‘Emergency electrician near me’
When someone searches using those terms, relevant ads enter an auction to decide which ones show, and in what order.
The key thing to understand is this:
Search ads are intent-driven. You’re not interrupting someone, you’re responding to an active need.
Learn why you should use Google search ads in our blog.
Where do search ads appear?
Search ads usually appear:
- At the very top of the search results
- At the bottom of the page
- Occasionally, within shopping or map-based search results
They blend in with organic listings, but they’re prioritised because advertisers are willing to pay for visibility.
This is why search ads are often the fastest way to start generating leads, especially for new or growing businesses.
Want to learn more? If you’re completely new to paid advertising, you might find our resource How To Write Effective Google Ads Copy That Converts helpful.
How Search Ads Actually Work
Behind the scenes, search ads run on a pay-per-click model.
That means:
- You only pay when someone clicks your ad
- Impressions alone don’t cost you anything
But not all clicks cost the same, and not all ads are treated equally.
Keywords, Auctions, and Quality Score
Every time someone searches, Google runs a lightning-fast auction.
But here’s the important part:
The highest bidder doesn’t automatically win.
Google looks at three main things:
- Your bid – how much you’re willing to pay per click.
- Ad relevance – how closely your ad matches the search
- Landing page experience – how useful and relevant your website is
These factors combine into something called Quality score.
A higher quality score means:
- Lower cost per click
- Better ad positions
- More traffic for the same budget
This is why well-structured search ads can outperform bigger competitors with deeper pockets.
Our final thoughts
Search ads work because they meet people at the point of intent.
Instead of guessing who might be interested, you’re responding to real searches from people actively looking for answers, services, or solutions.
Understanding how search ads work helps you:
- Spend money more effectively
- Avoid common beginner mistakes
- Build campaigns that scale over time
You don’t need to master everything on day one. You just need to understand the fundamentals and build from there.
If you want to deepen your understanding of how search ads work and how to apply them effectively, explore more insights in our blog and resources hub.
Photo © by Vlada Karpovich from Pexels.





