A simple way to reduce the cost of Google AdWords is to improve your click rate.
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The way Google AdWords works is that if your ad gets 10 times more clicks than your competitor, even if you pay less, you are more likely to show your ad at the top because in total Google will get more money from you.
So, if you want to improve your CTR, you must:
1. Use SEMrush: Enter keywords and competitors in SEMrush. This will show you the ad text that your competitors use.
If your competitors constantly use a specific ad text, it generally means that it becomes good for them.
2. Create better copies than your competitors: look at what they use and try to find better variations.
3. Use keywords within your copy: if you include the keyword that people search in your advertising text, you are more likely to get clicks.
The copy should sound good, just adding a keyword is not enough.
4. Start the day separation: if you are in the B2B space, people are more likely to become customers during normal business hours. So only show your ads when your ideal customers are online.
For the B2C space, you can consider posting your ads during all hours of the day.
5. Geographic targeting: If you are only doing business in a given region, show ads only within those regions. This will help increase your overall CTR, which will reduce the costs of your ads.