When you’re advertising with AdWords make sure you know what your competition is doing.
You shouldn’t go look at their site, look at their ads, and copy everything they are doing – but you should be aware. The main reason is you want to know how you stand apart from them. What makes your product, your service, your offer better than your competitor? If you know what your competitors are doing you will know this answer. Once you figure out this answer you can use that in your ads and on your website to differentiate yourself from your competition. Stand apart and make more sales and more profits.
Another thing to keep in mind about competition is a lot of times you’ll see your competition doing the same thing. Do a search for some of your keywords and see what your competition is doing. Does every single ad having the same headline – Is it all just the keyword? In general is a good practice, but if there are seven ads on the page that all have the same keyword headline, maybe this is an opportunity for you to change things up a little bit so your ad stands apart from your competition.
There are a lot of ways of studying your competition can be helpful, just don’t get too far into it and worry too much about what they are doing; particularly with pricing. You don’t want to get a price war with your competition. Instead find a differentiating factor aside from price that will help you stand out and that will allow your customers to pay more and be happy to do so.