How to set up Google Ads: a beginner's guide for small businesses

Google Ads can put your business in front of people at the exact moment they search for what you sell. It can also spend a surprising amount of money on clicks that were never going to buy. The difference is mostly down to how the account is set up in the first place.

This guide shows you how to set up Google Ads properly as a beginner: creating the account, connecting conversion tracking, and building a first Search campaign with sensible settings. It is aimed at UK small businesses, and it focuses on the choices that make the biggest difference to whether your budget is well spent.

Before you open Google Ads

A little preparation will save you money in the first month. Have these ready:

• A clear goal. Phone calls, enquiry form submissions, bookings or online sales. Pick the one or two actions that actually make you money.
• A landing page that converts. Ideally a page focused on one service or product, with a clear call to action, fast loading and a visible phone number. Sending paid traffic to a generic homepage is a common and expensive mistake.
• A starting budget. Decide on a monthly figure you are comfortable treating as a learning budget for the first two or three months.
• A list of what you do and where. Services, products, locations served and any terms you definitely do not want to appear for, such as "jobs" or "free".
• A Google account you will use to manage the ads, ideally a business account rather than a personal one.

Step 1: create your Google Ads account

Go to ads.google.com and sign in with the Google account you want to use. Google will then guide you through creating your first campaign, asking about your business, website and goals.

Google's guided setup is designed to get you live quickly, and for many new accounts it creates a Smart campaign with limited controls. Smart campaigns can work for very simple local businesses, but they hide most of the settings you will want to manage later.

Google has changed this flow several times, so what you see may differ slightly. What to look for:

1. Somewhere in the first screens, often at the bottom, there may be a link to Switch to Expert Mode. Use it if it appears.
2. In Expert mode, look for an option to create an account without a campaign. This lets you set up billing and tracking first, then build the campaign yourself.
3. If you see neither, continue through the guided setup but choose the option to create a campaign without a goal's guidance, or pick a Search campaign rather than a Smart campaign.

Expert mode gives you access to every campaign type and setting. Once you have moved an account into Expert mode, you cannot switch it back to Smart mode, but that is rarely a problem.

Step 2: confirm your business details and billing

Next, you will be asked for your billing country, time zone and currency.

Choose these carefully, because the time zone and currency cannot be changed later. For most UK businesses, that means the United Kingdom, London time and British pounds. Getting the time zone wrong makes your daily budgets and ad schedules run at odd hours.

You will then add a payment method and choose how you want to pay. Most small businesses use automatic payments by card, where Google charges you after costs build up or at the end of each month. Add your VAT number if you are VAT registered.

Google may also ask you to complete advertiser verification, confirming who you are and who is paying for the ads. Do it promptly, as unverified accounts can have their ads paused.

Step 3: set up conversion tracking

This is the step beginners most often skip, and it is the one that matters most. Without conversion tracking, Google cannot tell which clicks led to enquiries or sales, and neither can you.

Decide what counts as a conversion

Typical conversion actions include:

• a contact or quote form submission (tracked when the thank-you page or message appears),
• a click on your phone number from a mobile device,
• calls from the phone number shown in your ads,
• online purchases, with the order value,
• bookings made through an online calendar.

Create the conversion action

In the current interface, go to Goals, then Conversions and Summary, and click to create a new conversion action. Choose website, enter your domain and let Google scan the site. You will then be offered a few ways to set up tracking:

• Automatically, without code, using page URLs, which suits simple thank-you page setups.
• Manually with code, using the Google tag and an event snippet, which suits button clicks or purchase values.
• Google Tag Manager, if your site already uses it.

You can also import conversions from Google Analytics 4 if you have linked the two accounts.

When you create each action, check that the ones you care about are marked as primary, which means they are used for bidding. Secondary actions are recorded for reference but do not steer your campaigns.

Consider enhanced conversions and consent mode

Enhanced conversions send hashed customer details from your forms or checkout to help Google match conversions more accurately. It is worth switching on during setup.

For visitors in the UK and EEA, Google expects advertisers to use consent mode with a compliant cookie banner, so that tags respect each visitor's choice. Without it, you can lose measurement and remarketing features. Google's help page on setting up website conversion tracking covers the current options.

Test everything before launch. Submit your own form, then check the conversion action status. It can take a few hours to show as recording.

Step 4: build your first Search campaign

For most small businesses, a Search campaign is the best place to start. It shows text ads to people actively searching for what you offer, and it gives you the most control.

Campaign settings that matter

Click to create a new campaign and choose your objective (such as Leads or Sales), or choose to create a campaign without a goal's guidance. Select Search. Then work through the settings:

• Networks. Untick the Google Search Partners and Display Network options for now. Keeping your first campaign on Google Search alone makes the results far easier to read.
• Locations. Add only the areas you can serve. Under location options, choose to target people in or regularly in your locations, rather than people merely showing interest in them.
• Languages. English is usually fine for UK businesses.
• Ad schedule. If you rely on phone calls, consider limiting ads to the hours someone can answer.
• Broad match and AI features. Newer campaigns may offer optional AI features that expand where your ads appear. For a first campaign with little data, it is usually wiser to leave these off until you have reliable conversions coming in.

Budget and bidding

Your budget is set as an average daily budget. Google may spend more than this on busy days, but over a month it will not charge you more than roughly 30.4 times your daily budget.

Choosing a bid strategy is easier with a simple rule of thumb:

Many advertisers start with Maximise clicks or Maximise conversions, then move to a target once there is a few weeks of steady data.

Step 5: choose keywords and organise ad groups

Group your keywords into small, tightly themed ad groups, one for each service or product. A plumber might have separate ad groups for boiler repair, boiler installation and emergency plumbing. Each ad group then gets its own ads and, ideally, its own landing page.

Some practical guidance on keywords:

• Start focused. Ten to twenty strong keywords per ad group is plenty. Prioritise terms with clear buying intent, such as "boiler repair Croydon" over "boiler problems".
• Use phrase and exact match to begin with, so you keep control of which searches trigger your ads.
• Use Keyword Planner, found under Tools, to check search volumes and estimated costs.
• Add negative keywords from day one. Common ones include jobs, careers, free, DIY, course and training, plus any services you do not offer.

Step 6: write your ads and add assets

Google's standard Search format is the responsive search ad. You provide up to 15 headlines of up to 30 characters each, and up to 4 descriptions of up to 90 characters each. Google then tests combinations and shows the ones it expects to perform best.

Tips for writing them:

• Include the main keyword in a few headlines so the ad matches the search.
• Mix benefits, proof and calls to action: "Same-day call-outs", "Rated 4.9 by local customers", "Get a free quote today". Only use claims you can back up.
• Mention your location if you serve a local area.
• Avoid repeating the same idea in several headlines.

Then add assets (previously called extensions). Sitelinks to key pages, callouts for selling points, a call asset with your phone number, structured snippets for your services, and your business name and logo all make your ad larger and more useful, at no extra cost per click.

Step 7: launch and manage the first 30 days

Before you launch, run through a quick checklist:

1. Conversion tracking is installed, tested and marked as primary.
2. Search Partners and Display Network are off.
3. Locations are set to people in or regularly in your area.
4. Budget and bid limits are set as intended.
5. Negative keywords are added.
6. Ads have been approved and the landing pages work on mobile.

Once live, check the search terms report at least weekly. It shows the real searches that triggered your ads, and it is where you find new negative keywords and new keyword ideas. Resist the urge to change everything at once; automated bidding strategies need a learning period, and constant edits restart it.

If you would rather have specialists handle this, our Google Ads management service covers setup, tracking and ongoing optimisation.

FAQs

How much does it cost to start Google Ads?

There is no minimum spend or setup fee from Google. You set your own daily budget and pay for clicks. What you need depends on your industry and competition, so use Keyword Planner to check typical costs per click before deciding.

Should I use Smart mode or Expert mode?

Expert mode is the better choice for most businesses that want control over keywords, bidding and reporting. Smart mode is simpler but limits what you can see and change.

How long does it take for Google Ads to work?

Ads can start showing within hours of approval, but it usually takes several weeks to gather enough data to judge results and refine the campaign. Treat the first month as a learning period.

Can I set up Google Ads myself?

Yes. Google provides all the tools, and following the steps above will give you a sound foundation. The ongoing work of reviewing search terms, adjusting bids and testing ads is where experience makes the biggest difference.

Do I need a website to run Google Ads?

Most campaign types need a landing page. A fast, focused page with a clear call to action will usually perform far better than a general homepage.

Want a second pair of eyes before you launch, or a review of an account that is not delivering? Get a free audit or book a call with our team.