PPC Keyword Research Complete Guide

PPC Keyword Research: A Complete Guide for 2026

Oliver Wood

Oliver (Olly) is the founder and Managing Director of PWD Digital Agency, which he started in Perth in 2007. With nearly two decades in digital marketing, Oliver and his team specialise in SEO, Google Ads, web design, and conversion-focused digital strategy for Australian businesses.


Getting your PPC campaigns right comes down to one thing: targeting keywords that actually drive sales. Target the right ones and watch your conversions climb. Pick the wrong ones and you’ll burn budget faster than you can say “quality score.”

We’ve seen too many businesses launch campaigns based on guesswork rather than data. The result? Wasted ad spend and disappointing returns. That’s why keyword research isn’t optional – it’s the foundation that determines whether your campaign succeeds or fails.

Here’s exactly how to find keywords that convert, refine your targeting, and structure campaigns that deliver results from day one.

Digital marketer conducting PPC keyword research on laptop with Google Ads interface visible

Understanding Your Market Before You Research

Before diving into tools and tactics, you need to understand what your potential customers are actually searching for. This means thinking beyond your product names and industry jargon.

Your customers don’t wake up searching for “enterprise B2B solutions.” They search for “how to reduce shipping costs” or “inventory management software that works with Xero.” The gap between how you describe your business and how customers search for it is where most PPC budgets go to die.

Start by mapping out the customer journey. What problems are they trying to solve? What language do they use? This groundwork shapes everything that comes next in your digital marketing strategy.

Building Your Initial Keyword List

Your landing page is your starting point. Look at the page your ads will send traffic to and brainstorm keywords that directly relate to what you’re offering. But don’t stop at the obvious choices.

Three Types of Keywords to Target

Brand Keywords: These include competitor names and trademarked terms. They’re often expensive and competitive. Unless you have substantial budget, focus elsewhere first.

Generic Keywords: The bread and butter of most campaigns. These relate directly to your products or services. Think “accounting software” rather than “MYOB alternatives.”

Related Keywords: Terms that complement your offering. If you sell office desks, “ergonomic chairs” might be a related keyword worth testing.

Three columns showing brand, generic, and related keyword examples for PPC campaigns

Think Like Your Customers

Put yourself in your ideal customer’s shoes. What would they type into Google at 2am when they’re frustrated with their current solution?

For a flower delivery service, they might search for:

  • “Same day flower delivery Melbourne”
  • “Send flowers to mum today”
  • “Emergency anniversary flowers”

Write down everything that comes to mind. You’ll refine the list later.

Go Long-Tail for Better Conversions

Most businesses make the mistake of bidding on broad, expensive terms like “flowers” or “shoes.” These high-volume keywords drain budgets without delivering quality traffic.

Start broad, then get specific:

  • Flowers → Flower delivery → Same day flower delivery → Same day flower delivery Sydney CBD

Long-tail keywords have three advantages: they’re cheaper to bid on, they convert better because they’re more specific, and they face less competition. This approach is particularly effective for B2B marketing strategies where specificity matters.

Include Synonyms and Variations

Don’t assume everyone uses the same terms you do. Include synonyms and regional variations:

  • “Flower delivery” vs “Florist delivery”
  • “Running shoes” vs “Trainers” vs “Sneakers”
  • “Accountant” vs “Tax agent” vs “Bookkeeper”

Question-Based Keywords

People increasingly search using conversational queries. Include question-based keywords like:

  • “Where can I buy…”
  • “How do I choose…”
  • “What’s the best…”

These often indicate high purchase intent, making them valuable for conversions.

Local Keywords for Local Businesses

If you serve specific areas, include location modifiers. But be strategic – don’t just add every suburb name to every keyword. Focus on areas where you actually want customers.

Google Ads keyword planner tool interface showing search volume and competition data

Using Keyword Research Tools Effectively

Once you’ve brainstormed your initial list, it’s time to expand and refine using data. Here’s how to use the main tools without getting overwhelmed by endless keyword suggestions.

Google Keyword Planner

Google’s Keyword Planner remains the gold standard for PPC keyword research. It shows you exactly what people search for and how much competition you’ll face.

Here’s how to use it properly:

  • Start with “Discover new keywords”
  • Enter your brainstormed terms
  • Focus on the “Ad group ideas” tab for themed keyword clusters
  • Look for medium to low competition keywords with decent volume

The sweet spot? Keywords with sufficient search volume but not so much competition that you’ll pay premium prices for clicks.

Additional Research Tools

While Google Keyword Planner is essential, supplement it with tools like Ubersuggest or SEMrush for broader keyword ideas. These tools often reveal opportunities that Keyword Planner misses.

For quick keyword expansion, use concatenation tools to merge word lists. If you have a list of services and a list of locations, these tools create every combination automatically.

Organising Keywords for Maximum Impact

A long list of keywords is worthless if they’re not organised properly. The key is creating tightly themed ad groups that allow you to write specific, relevant ads.

Create Focused Ad Groups

Group keywords by theme and intent. Here’s an example for a running shoe retailer:

  • Ad Group 1: Nike running shoes, Nike trainers, Nike Zoom shoes
  • Ad Group 2: Trail running shoes, off-road running shoes, hiking runners
  • Ad Group 3: Marathon shoes, long distance running shoes, endurance trainers

Each ad group should have 10-20 closely related keywords maximum. This lets you create ads that speak directly to what people searched for, improving both click-through rates and Quality Scores.

<a href=Google Ads campaign structure showing organised ad groups with related keywords” width=”1408″ height=”768″ loading=”lazy” />

Quality Score Benefits

Well-organised campaigns don’t just perform better – they cost less. Google rewards relevant ads with higher Quality Scores, which means you pay less per click and get better ad positions.

The formula is simple: relevant keywords + specific ad copy + focused landing pages = higher Quality Scores = lower costs. This is particularly important when you’re trying to create highly converting ad copy.

Negative Keywords: What Not to Target

Negative keywords might be the most underutilised part of PPC campaigns. They prevent your ads from showing for irrelevant searches, saving budget for qualified traffic.

Common Negative Keywords

Start with obvious terms that indicate people won’t buy:

  • “Free” (unless you offer free products)
  • “Cheap” (if you’re premium)
  • “Job” or “jobs” (unless you’re recruiting)
  • “DIY” or “how to make” (if you sell finished products)

Building Your Negative List

Google shows you the actual search terms that triggered your ads. Review these regularly to identify irrelevant queries and add them as negatives.

For example, if you sell premium kitchen appliances and your ads are showing for “second hand blender,” add “second hand,” “used,” and “refurbished” as negative keywords.

Testing and Refinement Strategy

Keyword research isn’t a one-time task. The best campaigns continuously refine their keyword targeting based on performance data.

Start Conservative, Then Expand

Launch with your highest-confidence keywords using exact match targeting. This gives you the most control and clearest data on what works.

Once you identify winning keywords, gradually add phrase match and broad match modifier variants to capture more volume.

Monitor Search Terms Reports

The search terms report shows exactly what people typed before clicking your ads. Check it weekly to:

  • Find new keyword opportunities
  • Identify negative keywords to add
  • Spot trends in customer behaviour

This ongoing optimisation is what separates campaigns that improve over time from those that stagnate. It’s a key component of maintaining strong Quality Scores and campaign performance.

Campaign performance dashboard showing keyword metrics and conversion data

Common Keyword Research Mistakes to Avoid

We see the same mistakes repeatedly in campaigns that underperform. Here’s what to avoid:

Targeting Too Broadly Too Soon

Broad keywords like “marketing” or “software” will drain your budget without delivering qualified leads. Start specific and expand based on data, not ambition.

Ignoring Search Intent

Someone searching “what is CRM software” is in research mode. Someone searching “buy Salesforce alternative” is ready to purchase. Match your keywords to the right stage of the customer journey.

Setting and Forgetting

Your keyword list should evolve. New competitors emerge, customer language changes, and seasonal trends affect search behaviour. Regular reviews and updates are essential.

This is particularly true for businesses following emerging digital marketing trends, where search patterns can shift rapidly.

Frequently Asked Questions

How many keywords should I start with in my PPC campaign?

Start with 20-50 highly targeted keywords across 3-5 ad groups. This gives you enough data to optimise without spreading your budget too thin. You can always expand later based on performance.

What’s the difference between broad match and exact match keywords?

Exact match shows your ads only for the specific keyword phrase. Broad match shows ads for related searches Google thinks are relevant. Start with exact match for control, then gradually test broader match types.

How often should I review and update my keyword list?

Review your search terms report weekly and update keywords monthly. Add negative keywords immediately when you spot irrelevant traffic. Major keyword strategy reviews should happen quarterly.

Should I bid on competitor brand names?

Only if you have substantial budget and a clear competitive advantage. Competitor keywords are expensive and may not convert well. Focus on your own branded terms and generic keywords first.

What’s a good keyword competition level to target?

Aim for keywords with medium to low competition and sufficient search volume for your goals. High competition keywords are expensive and difficult for new campaigns to win.

How do I know if my keywords are converting?

Set up conversion tracking in Google Ads and monitor which keywords drive actual sales or leads. Focus budget on keywords with the best cost-per-conversion, not just the most clicks.

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