Competitor Analysis for Google Ads

Competitor Analysis for Google Ads

Table of Contents

I. Introduction

Competitor analysis in Google Ads refers to the systematic process of identifying and evaluating competitors' paid search strategies to improve your own campaigns. This process involves examining their keywords, ad copy, bidding strategies, and overall campaign structure to gain actionable insights.

In today's increasingly competitive digital advertising landscape, understanding your competition is no longer optional—it's essential. With the average cost-per-click (CPC) rising across numerous industries, advertisers need every advantage possible to maximise return on ad spend.

Effective competitor analysis can help you:

Research shows that advertisers who regularly conduct competitor analysis typically achieve 20-30% better performance metrics compared to those who don't. This article will guide you through the complete process of conducting thorough competitor analysis for Google Ads campaigns.

II. Identifying Your Google Ads Competitors

Direct Business Competitors vs. Google Ads Auction Competitors

It's crucial to understand that your business competitors and your Google Ads competitors may not always be the same entities:

For example, if you sell premium coffee machines, your business competitors might be other high-end coffee machine manufacturers. However, your Google Ads competitors could include coffee bean suppliers, coffee subscription services, and even general kitchen appliance retailers.

Methods to Discover Who Is Bidding on Similar Keywords

The Auction Insights report is a powerful native tool within Google Ads that shows you exactly who you're competing against in the ad auctions.

To access this report:

  1. Log in to your Google Ads account
  2. Navigate to the Campaigns, Ad Groups, or Keywords tab
  3. Click the "Auction Insights" button in the reporting section
  4. Select your desired date range

This report provides several valuable metrics:

Third-party Competitive Intelligence Tools

Several specialised tools provide deeper insights into competitor strategies:

These tools typically require a subscription but provide much deeper insights than free alternatives.

Manual Search Results Analysis

Sometimes the simplest approach yields valuable insights:

  1. Use an incognito browser window (to prevent your search history from affecting results)
  2. Search for your target keywords
  3. Note which competitors appear consistently
  4. Screenshot their ads for later analysis
  5. Repeat the process at different times of day and on different devices

Creating a Competitor Shortlist

After identifying potential competitors, focus your detailed analysis on 3-5 primary competitors based on:

Create a structured document or spreadsheet to track your findings, including:

III. Analysing Competitor Ad Copy and Messaging

Examining Headline Strategies and Unique Selling Propositions

Competitor headlines reveal what messaging they believe resonates most with your shared audience:

  1. Collect 15-20 competitor ads for each primary competitor
  2. Identify patterns in their headline approach:
    • Do they lead with price/discounts?
    • Are they emphasising specific features?
    • Do they use questions, numbers, or emotional triggers?
  3. Note unique selling propositions (USPs) being highlighted:
    • Free shipping/returns
    • Product quality or specifications
    • Service guarantees or warranties
    • Experience or authority in the industry
    • Proprietary technology or methods

For example, if you notice competitors consistently emphasising "Next-Day Delivery" or "No Setup Fees," this indicates these features matter to your shared audience.

Assessing Call-to-Action Approaches

The CTA reveals what customer journey competitors are optimising for:

Track the frequency of different CTAs to identify which journey stage competitors are prioritising.

Identifying Emotional Triggers and Pain Points

Effective ads typically address specific customer pain points:

  1. Problem identification: What customer problems do competitor ads mention?
  2. Emotional appeals: Do they leverage fear, aspiration, belonging, or other emotions?
  3. Solution framing: How do they position their product/service as the solution?

Create a table categorising emotional triggers by frequency of use to identify patterns.

Analysing Extension Usage

Extensions significantly impact ad visibility and effectiveness:

Note the extension combinations that appear most frequently to inform your own extension strategy.

Determining Messaging Gaps and Opportunities

After analysing competitor messaging, identify:

  1. Underutilised USPs: Valuable features or benefits that competitors rarely mention
  2. Overused claims: Messages that have become so common they no longer differentiate
  3. Missing emotional appeals: Effective triggers that competitors aren't leveraging
  4. Credibility elements: Trust signals like certifications, awards, or testimonials that you could highlight

Create a messaging opportunity map to guide your ad copy development, focusing on differentiation points.

IV. Keyword Strategy Analysis

Identifying Competitor Target Keywords and Search Terms

Understanding competitor keyword strategies provides invaluable insights:

  1. Use competitive intelligence tools (SEMrush, SpyFu) to download competitor keyword lists
  2. Categorise their keywords by:

    • Product/service categories
    • Buyer journey stage (awareness, consideration, decision)
    • Intent signals (informational, commercial, transactional)
    • Question-based vs. statement-based phrases
  3. Create a comparison matrix showing which competitors target which keyword categories

For enterprise-level analysis, specialised tools like Adthena or The Search Monitor provide automated keyword gap analysis.

Analysing Keyword Match Types and Bidding Strategies

Observe how competitors deploy different match types:

  1. Broad match usage: Are they casting a wide net with broad match terms?
  2. Phrase match concentration: Which keyword phrases do they protect with phrase match?
  3. Exact match priorities: Which high-value terms do they target with exact match?

Tools like SEMrush often indicate estimated CPCs for competitor keywords, revealing:

Uncovering Keyword Gaps in Your Own Campaigns

  1. Export your current keyword list from Google Ads
  2. Compare against competitor keyword lists using a tool like Excel or Google Sheets
  3. Identify high-potential keywords that:
    • Multiple competitors are targeting but you aren't
    • Have strong commercial intent
    • Align with your products/services
    • Have reasonable competition levels

Create a priority list of keyword opportunities based on potential value and relevance.

Negative Keyword Usage Patterns

While more difficult to identify directly, you can infer competitor negative keyword strategies by:

  1. Testing searches with qualifier terms added to main keywords
  2. Noting which competitors disappear from results when certain qualifiers are added
  3. Identifying patterns in the types of qualifiers they seem to exclude

Common negative keyword patterns include:

V. Budget and Bid Analysis

Estimating Competitor Ad Spend and Budget Allocation

While exact budget information is private, you can estimate competitor spending:

  1. Use third-party tools like SEMrush or SpyFu that provide spend estimates
  2. Calculate approximate impressions by multiplying your impression share by your impression volume, then dividing by their impression share
  3. Estimate clicks by applying industry average or estimated CTRs
  4. Apply average CPC to estimate total spend

Track these estimates over time to identify:

Examining Bidding Patterns Across Different Keyword Categories

Look for patterns in how competitors allocate their budget:

  1. High-value transaction terms: Do they bid aggressively on purchase-intent keywords?
  2. Brand terms: How much do they invest in branded searches (their own and competitors')?
  3. Top-of-funnel keywords: Do they allocate significant budget to awareness-stage terms?
  4. Long-tail specificity: Are they targeting very specific, lower-volume terms?

These patterns reveal their overall acquisition strategy and prioritisation.

Analysing Impression Share and Position Metrics

The Auction Insights report reveals competitive positioning:

  1. Impression share dominance: Which competitors consistently achieve high impression share?
  2. Position above rate: Who prioritises appearing above others?
  3. Top of page rate: Which competitors focus on securing top positions?
  4. Absolute top of page rate: Who is willing to pay premium rates for the very top position?

Track these metrics over time to identify changes in competitor strategies or new entrants to the market.

Identifying Opportunities for Strategic Bid Adjustments

Based on competitive analysis, identify opportunities to:

  1. Outbid competitors on high-converting keywords where you currently have lower position
  2. Reduce bids on terms where you have dominant impression share and high positions
  3. Adjust device bid modifiers based on competitor device strategies
  4. Implement dayparting if competitors show consistent timing patterns
  5. Apply geographic bid adjustments in markets where competition is lower

Create a bid strategy document with specific adjustment recommendations based on competitor insights.

VI. Landing Page and Conversion Strategy

Analysing Competitor Landing Page Design and User Experience

Competitor landing pages reveal their conversion priorities:

  1. Click through to 15-20 competitor ads and document landing page approaches
  2. Analyse page structure:

    • Hero section content and imagery
    • Above-the-fold value propositions
    • Visual hierarchy and attention flow
    • Use of social proof and trust signals
    • Form length and information requirements
  3. Evaluate user experience:

    • Page load speed (use tools like Google PageSpeed Insights)
    • Mobile responsiveness
    • Navigation options
    • Content clarity and scannability
    • Multimedia usage (videos, interactive elements)

Create a scoring matrix rating competitors on these elements to identify best practices and gaps.

Examining Conversion Paths and Calls-to-Action

Document the conversion journey competitors create:

  1. Primary conversion goal: What action are they prioritising?
  2. CTA visibility: How prominent is their primary call-to-action?
  3. Micro-conversions: What smaller commitment options do they offer?
  4. Form strategy: How much information do they collect upfront vs. later?
  5. Multi-step processes: Do they break conversion into smaller steps?
  6. Exit intent strategies: How do they attempt to recover abandoning visitors?

Test completing their conversion process to experience the full journey, noting any friction points they've eliminated.

Assessing Value Propositions and Offer Structure

Competitor offers provide insights into market expectations:

  1. Core offer components: What specific products/services are featured?
  2. Pricing strategy: Is pricing transparent, tiered, or hidden?
  3. Incentives: What additional value do they add (free shipping, bonuses, etc.)?
  4. Risk reversals: How do they reduce perceived risk (guarantees, trials, etc.)?
  5. Urgency/scarcity elements: How do they create action impulses?

Create a comparison chart of competitor offers to identify potential areas for differentiation.

Mobile Optimisation Approaches

With mobile traffic often exceeding 50% in many industries, assess:

  1. Mobile-specific landing pages vs. responsive design
  2. Simplified navigation approaches for small screens
  3. Touch-friendly elements (button size, spacing)
  4. Content prioritisation differences between desktop and mobile
  5. Mobile-specific features (click-to-call, location-based content)

Use Google's Mobile-Friendly Test to compare competitor mobile optimisation levels.

VII. Ad Extensions and Format Utilisation

Review of Competitors' Use of All Available Ad Extensions

Extensions significantly impact ad visibility and CTR:

  1. Sitelink extensions: Document the specific pages competitors highlight and their relevance to search intent
  2. Callout extensions: List unique selling points and benefits competitors emphasise
  3. Structured snippets: Note how they categorise their offerings
  4. Price extensions: Analyse pricing presentation strategies
  5. Call extensions: Check if they prioritise phone conversations
  6. Location extensions: Evaluate how they leverage physical locations
  7. App extensions: Determine if they're promoting mobile applications
  8. Lead form extensions: Assess their approach to in-SERP lead collection
  9. Promotion extensions: Note any special offers or discounts
  10. Image extensions: Analyse visual content choices

Create a matrix showing which competitors use which extensions, with examples of each.

Analysis of Responsive Search Ad Implementation

Responsive Search Ads (RSAs) are now the default format:

  1. Headline variations: Through repeated searches, identify how many different headlines competitors appear to use
  2. Description diversity: Note variation in description lines
  3. Consistency elements: Identify which messaging elements remain consistent across variations
  4. Keyword insertion: Determine if they use dynamic keyword insertion

Search for the same terms multiple times to capture different ad variations.

Examination of Image and Video Ad Formats

For competitors using visual formats:

  1. Discovery ads: Note if competitors appear in discovery campaigns
  2. YouTube presence: Check if they run video ads before relevant content
  3. Display network visibility: Use tools like WhatRunsWhere or Moat to view display creatives
  4. Visual messaging consistency: Assess alignment between text and visual ad messaging

Create a visual library of competitor ad creatives for reference.

Identifying Opportunities for Differentiation

After analysing competitor ad formats:

  1. Underutilised extensions: Identify valuable extensions competitors rarely use
  2. Messaging gaps: Note unique selling points you could highlight
  3. Format opportunities: Consider formats your competitors have neglected
  4. Creative approaches: Identify visual or copy styles that stand out from competition

Develop an ad format strategy document outlining specific opportunities to differentiate your campaigns.

VIII. Audience Targeting Strategies

Inferring Remarketing and Audience Targeting Approaches

While you can't directly see competitor audience strategies, you can infer them:

  1. Clear your browser cookies or use a fresh browser profile
  2. Visit competitor websites and navigate to specific product/service pages
  3. Note remarketing ads that appear as you browse other sites
  4. Document remarketing messaging and how it relates to pages you visited
  5. Track remarketing duration – how long do their ads follow you?

For B2B advertisers, create company profiles on LinkedIn and note which competitors serve ads to these profiles.

Analysing Demographic Targeting Patterns

Demographic targeting can be inferred by:

  1. Creating different Google accounts with various demographic profiles
  2. Searching for the same terms across these accounts
  3. Noting which competitors appear for which demographic profiles
  4. Identifying messaging differences tailored to different demographics

Use tools like Facebook's Ad Library to see how competitors segment their social audience targeting, which often mirrors their Google approach.

Identifying Customer Intent Signals Being Leveraged

Competitors may target different stages of customer intent:

  1. Awareness-stage searches: Informational queries like "how to" or "what is"
  2. Consideration-stage searches: Comparison terms like "best" or "vs"
  3. Decision-stage searches: Transactional terms like "buy" or "pricing"

Search across these intent categories to map which competitors target which stages, and how their messaging changes accordingly.

IX. Campaign Structure and Organisation

Deconstructing Competitor Account Structures

While you can't directly see account structures, you can infer them:

  1. Search for a range of keywords in your industry
  2. Note URL patterns in competitor ads
  3. Identify campaign boundaries based on:
    • Different display URLs
    • Distinct messaging approaches
    • Product/service category focus
    • Geographic targeting differences

Tools like SEMrush sometimes reveal campaign structure based on keyword groupings.

Analysing Ad Group Organisation Principles

Infer ad group structure by:

  1. Searching for closely related terms (e.g., "red running shoes" and "blue running shoes")
  2. Noting which terms trigger the same ad (likely in the same ad group)
  3. Identifying keyword-specific messaging vs. generic messaging

Document the apparent granularity of competitor ad groups:

Identifying Strategic Campaign Segmentation Approaches

Look for evidence of strategic segmentation:

  1. Brand vs. non-brand separation: Do they have distinct approaches for branded searches?
  2. TOFU/MOFU/BOFU segmentation: Do they target different funnel stages separately?
  3. Product category separation: How do they divide different product lines?
  4. Geographic segmentation: Do they have region-specific messaging?
  5. Device-specific campaigns: Is their mobile approach distinctly different?

Create a visual map of competitor campaign structures based on these observations.

X. Performance Metrics and Benchmarking

Setting Up Competitive Benchmarks for Key Metrics

Establish industry benchmarks for:

  1. Click-through rate (CTR): Industry averages are available from sources like WordStream
  2. Conversion rate: Industry reports from Unbounce, ConversionXL, and others
  3. Cost-per-click (CPC): Google's Keyword Planner provides industry averages
  4. Cost-per-acquisition (CPA): Industry reports and Google benchmarks
  5. Quality Score: Though relative, aim for above-average (7+)

Create a benchmark dashboard to track your performance against these standards.

Tracking Impression Share Over Time

Impression share is a key competitive metric:

  1. Set up a weekly Auction Insights report in Google Ads
  2. Track impression share trends for you and key competitors
  3. Note impression share by device to identify platform priorities
  4. Monitor absolute top impression share for high-value keywords

Create visualisations showing impression share changes over time to identify competitive shifts.

Analysing Quality Score Differences

While you can't see competitor Quality Scores directly:

  1. Note their ad position relative to expected bid (tools like SEMrush estimate CPCs)
  2. Assess their ad relevance to search terms
  3. Evaluate their landing page experience against Google's guidelines
  4. Infer their historical performance based on consistent positioning

Develop a relative Quality Score estimate to understand their account health.

Comparing Click-Through Rates and Estimated Conversion Rates

Estimate competitor performance:

  1. Calculate approximate CTR using visibility data and industry averages
  2. Estimate conversion rates based on landing page best practices and industry benchmarks
  3. Use competitive intelligence tools that provide performance estimates
  4. Track impression-to-call ratios for call-focused competitors

Create a scoring system to rank competitor performance based on these estimates.

XI. Seasonal and Timing Patterns

Identifying Timing Patterns in Competitor Campaigns

Competitor timing strategies reveal opportunities:

  1. Search for key terms at different times of day and days of week
  2. Note which competitors appear when and any messaging changes
  3. Use tools like SEMrush to view historical keyword activity
  4. Identify high-competition time periods vs. lower competition windows

Create a heat map showing competitive intensity by time/day to identify opportunity windows.

Analysing Seasonal Strategy Adjustments

Seasonal patterns offer valuable insights:

  1. Track competitor activity across seasons
  2. Note when new ad creatives appear for seasonal events
  3. Monitor pricing and offer changes during peak periods
  4. Identify pre-season ramp-up timing
  5. Document post-season strategy shifts

Create a seasonal calendar marking competitor activity patterns to inform your planning.

Day-parting and Scheduling Approaches

Infer competitor scheduling by:

  1. Checking ad presence hourly for selected keywords
  2. Noting bid changes throughout the day (position fluctuations)
  3. Identifying working hours focus vs. 24/7 presence
  4. Monitoring weekend strategy differences

Document apparent day-parting strategies to inform your own scheduling.

XII. Creating an Actionable Competitive Strategy

Translating Competitor Insights into Campaign Improvements

Convert analysis into action:

  1. Prioritise opportunities based on:

    • Potential impact on performance
    • Resources required to implement
    • Alignment with overall marketing goals
    • Competitive advantage potential
  2. Create specific action items for:

    • Keyword strategy adjustments
    • Ad copy improvements
    • Landing page optimisations
    • Bidding strategy modifications
    • Campaign structure refinements
  3. Set measurable goals for each improvement

Develop a competitive response matrix matching competitor strategies with your counter-strategies.

Developing Unique Differentiators in Your Google Ads Approach

Identify sustainable advantages:

  1. Message differentiation: Develop unique selling propositions competitors aren't emphasising
  2. Audience focus: Target valuable segments competitors are neglecting
  3. Keyword opportunities: Capitalise on relevant terms with lower competition
  4. Ad format innovation: Utilise extensions or formats competitors ignore
  5. Customer journey optimisation: Create smoother conversion paths than competitors

Document your differentiation strategy with specific implementation plans.

Setting Up Ongoing Competitor Monitoring Processes

Establish systematic monitoring:

  1. Weekly Auction Insights review
  2. Monthly in-depth competitor ad analysis
  3. Quarterly landing page assessment
  4. Automated alerts for significant changes using tools like SEMrush or SpyFu
  5. Regular SERP screenshots for key terms

Create a monitoring calendar with assigned responsibilities and reporting templates.

Creating a Timeline for Strategic Adjustments Based on Findings

Develop a phased implementation plan:

  1. Immediate actions (0-2 weeks): Quick wins with minimal resource requirements
  2. Short-term initiatives (1-2 months): Higher-impact changes requiring moderate resources
  3. Long-term strategic shifts (3-6 months): Fundamental improvements to campaign structure or approach
  4. Ongoing optimisation processes to maintain competitive advantage

Create a Gantt chart or project timeline visualising the implementation schedule.

XIII. Tools and Resources for Ongoing Competitor Analysis

Overview of Paid Competitive Intelligence Platforms

Detail key capabilities of primary tools:

  1. SEMrush:

    • PPC keyword tracking
    • Ad copy history
    • Position tracking
    • Spend estimates
    • Traffic analytics
  2. SpyFu:

    • Historical ad data
    • Keyword overlap analysis
    • Ad effectiveness scoring
    • Competitor alert system
  3. Ahrefs:

    • Paid search analysis
    • Content gap analysis
    • PPC keywords explorer
    • SERP feature analysis
  4. SimilarWeb:

    • Traffic source breakdown
    • Audience interest analysis
    • Conversion funnel analysis
    • Industry benchmarking
  5. Adthena:

    • AI-powered competitive intelligence
    • Market visualisation
    • Brand infringement monitoring
    • Opportunity forecasting

Include pricing tiers and recommend options based on business size.

Free and Built-in Google Tools for Competitor Insights

Highlight no-cost alternatives:

  1. Google Ads Auction Insights: Direct competitor performance comparison
  2. Google Trends: Seasonal interest patterns and regional variations
  3. Google Alerts: Notifications for competitor brand mentions
  4. Google's Ad Preview tool: View SERPs from different locations without affecting your ad metrics
  5. Google Analytics Benchmarking: Compare site performance to industry averages
  6. Think with Google: Industry insights and consumer behaviour trends

Provide step-by-step instructions for setting up each free tool.

Setting Up Automated Alerts and Monitoring Systems

Establish proactive monitoring:

  1. Competitor Ad Alerts:

    • Configure SEMrush or SpyFu to notify you of new competitor ads
    • Set up Google Alerts for competitor brand + "launches" or "announces"
  2. Bid and Position Monitoring:

    • Schedule automated Auction Insights reports in Google Ads
    • Create custom dashboards for position tracking
  3. Landing Page Change Detection:

    • Use tools like Visualping to monitor competitor landing page changes
    • Set up screenshots for key landing pages
  4. Pricing and Offer Tracking:

    • Configure alerts for price changes on competitor sites
    • Monitor promotion extensions and special offer language

Provide templates and workflows for each monitoring system.

Understanding Google's Policies Regarding Competitor Targeting

Clarify policy boundaries:

  1. Bidding on competitor brand terms:

    • Google's policies on trademark usage
    • Restrictions in different countries/regions
    • Recent policy updates and enforcement changes
  2. Ad copy limitations:

    • Prohibitions against misleading content
    • Comparative claim requirements
    • Trademark usage in ad text
  3. Landing page requirements:

    • Transparency guidelines
    • Comparative content rules
    • Misrepresentation policies

Include links to official Google policy documentation.

Trademark Considerations in Ad Copy

Provide specific guidelines:

  1. When competitor trademarks can be used:

    • Informational usage
    • Authorised reseller status
    • Comparative advertising (with limitations)
  2. High-risk practices to avoid:

    • Implying partnership or affiliation
    • Creating brand confusion
    • Making unsubstantiated comparative claims
  3. Country-specific variations:

    • EU restrictions
    • UK guidelines
    • US practices
    • APAC considerations

Include case examples of trademark disputes in Google Ads.

Ethical Boundaries in Competitive Analysis

Establish ethical guidelines:

  1. Acceptable research practices:

    • Using publicly available information
    • Anonymous browsing of competitor sites
    • Purchasing competitor products as a regular customer
  2. Questionable practices to avoid:

    • Misrepresenting identity to obtain information
    • Employee solicitation for competitive intelligence
    • Scraping non-public data
    • Violating terms of service
  3. Industry ethical standards:

    • Strategic and Competitive Intelligence Professionals (SCIP) code of ethics
    • Digital marketing industry guidelines
    • Company-specific policy development

Provide an ethical framework for competitive research.

XV. Conclusion

Summary of Key Competitive Analysis Benefits

Reinforce core value propositions:

  1. Performance optimisation: How competitive insights drive metrics improvements
  2. Budget efficiency: Better allocation of resources based on competitor patterns
  3. Strategic positioning: Developing sustainable competitive advantages
  4. Risk reduction: Avoiding costly mistakes by learning from competitor experiences
  5. Innovation catalysts: Identifying market gaps and opportunities

Provide case study examples of successful competitive analysis impact.

Integrating Competitor Insights into Broader Marketing Strategy

Connect to larger marketing ecosystem:

  1. Aligning paid search with organic SEO based on competitive insights
  2. Informing content marketing through competitor keyword gaps
  3. Guiding product development using competitor offering analysis
  4. Enhancing value propositions across all marketing channels
  5. Supporting sales enablement with competitive intelligence

Create a framework for cross-functional utilisation of competitive insights.

Final Recommendations for Implementation

Provide actionable next steps:

  1. Start with a focused competitor set (3-5 primary competitors)
  2. Establish baseline metrics before implementing changes
  3. Prioritise high-impact, low-resource improvements first
  4. Test competitive response strategies in limited campaigns before full rollout
  5. Develop a continuous monitoring system rather than one-time analysis
  6. Create a competitive intelligence sharing process across marketing teams
  7. Schedule regular strategy reassessments based on competitive landscape changes

By systematically analysing your Google Ads competition using this framework, you'll gain valuable insights that can transform your campaign performance. Remember that competitor analysis is not a one-time exercise but an ongoing process of refinement and adaptation as the competitive landscape evolves.




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