When you create a new ad, you can choose Keyword Insertion. AdWords will insert a keyword into the ad from the same Ad Group that caused the ad to run. This makes it easy for ad agencies to dump huge numbers of keywords into each Ad Group -- corporations often run 100,000+ keywords that relate to their brand or product line, like Home Depot for example.
With GamePlan, we only put one set of specific keywords into each Ad Group. So people see the precise keywords they just put into search in the ad text along with a custom sales pitch for those specific words. We totally control the text of a compelling ad. More importantly, our Ad Group reports show precisely which specific keywords were put into search, the ad text they saw, the bid for those specific words and the average ad position that bid earned.
With Keyword Insertion, some nonsense ads are generated and the ad contains a generic sales pitch not specific for the keyword inserted. Worst of all, reports give us confusing, inaccurate information that we cannot use to improve bids or test ads.
As small business entrepreneurs, we have focused products with a small number of keywords. Creating PRECISE Ad Groups for those words dramatically lowers ad costs and gets more customers to our website.