You choose a keyword, set your bid, and launch your ads. Simple, right? Not quite.
The way you set up your keyword match types determines whether you’re attracting customers or burning cash on irrelevant clicks.
Many businesses using ppc management services don’t realize that this single decision can make or break their entire advertising budget.
Broad Match Burns Money Fast
Broad match is Google’s default setting, and it’s designed to show your ads for the widest possible range of searches. This sounds great until you see where your money actually goes.
Recent data shows that broad match keywords waste 40-60% more budget than other match types for most businesses.
Here’s what happens: if you bid on “running shoes,” your ads might show for “running a business,” “shoes for dogs,” or “running late.” You’re paying for clicks that have zero chance of converting.
The financial impact is brutal. A study of over 2,000 Google Ads accounts found that businesses using primarily broad match keywords had 76% higher costs per conversion compared to those using more targeted approaches. That means you’re paying almost double for the same results.
Exact Match Delivers the Best ROI
On the opposite end, exact match keywords only trigger your ads when someone searches for your exact keyword or very close variations. The performance difference is striking.
Exact match keywords achieve 415% return on ad spend (ROAS) on average, compared to just 277% for broad match.
They also deliver much higher click-through rates at 21.66% versus 8.5% for broad match. This means more relevant people see your ads, more click on them, and more actually buy from you.
The reason is simple: when someone searches for your exact keyword, they know what they want. They’re not browsing or exploring—they’re ready to take action.
Phrase Match Finds the Sweet Spot
Between broad and exact match sits phrase match, which requires searches to contain your keyword phrase but allows additional words before or after it. This creates a balanced approach that many businesses find ideal.
Phrase match keywords show strong performance with 313% ROAS and 9.31% conversion rates. They give you more traffic than exact match while maintaining much better control than broad match. This makes them perfect for most businesses that want to grow without wasting money.
Match Type | ROAS | CTR | Conversion Rate | Budget Efficiency |
Exact | 415% | 21.66% | High | Excellent |
Phrase | 313% | Medium | 9.31% | Good |
Broad | 277% | 8.5% | Low | Poor |
The Hidden Costs Add Up Quickly
Your match type choices create ripple effects throughout your entire campaign.
When you use broad match keywords, you don’t just waste money on irrelevant clicks—you also hurt your account’s overall performance.
Poor-performing keywords lower your Quality Scores, which makes all your ads more expensive.
Google charges you more for every single click when it thinks your ads aren’t relevant. A Quality Score drop from 8 to 5 can increase your costs by 50-100%.
The data from your campaigns becomes less useful too. When half your clicks come from irrelevant searches, you can’t tell which marketing messages actually work. You end up making business decisions based on polluted data.
Smart PPC Management Services Use Strategic Combinations
Professional advertisers don’t rely on just one match type. They use strategic combinations that maximize both reach and efficiency.
The most successful campaigns use 30-40% exact match, 40-50% phrase match, and only 10-20% broad match keywords.
This approach captures high-intent searches with exact match, explores related opportunities with phrase match, and discovers new keywords with limited broad match testing.
You can also use negative keywords to block unwanted searches. Adding negative keywords typically reduces wasted spend by 15-25% without hurting performance.
For example, if you sell premium products, you might add “cheap,” “free,” and “discount” as negative keywords.
Your Match Type Strategy Needs Regular Updates
Keyword match types aren’t a set-and-forget decision. Search patterns change, new competitors enter your market, and Google updates how match types work.
Businesses that review and adjust their match types monthly see 20-30% better performance than those who don’t.
Start by checking your search terms report every week. Look for irrelevant searches that triggered your ads and add them as negative keywords.
Also watch for new relevant searches that you might want to target with more specific match types.
The Bottom Line on Match Types
Your keyword match type decisions directly control how much you spend and what results you get.
Broad match keywords might seem appealing because they generate lots of traffic, but they’re usually burning your budget on worthless clicks.
Focus on exact and phrase match keywords for better ROI and lower costs. Use broad match sparingly and only when you have enough budget to test and optimize.
Remember that the goal isn’t getting the most clicks—it’s getting the right clicks that turn into customers and revenue.
Every dollar you waste on irrelevant traffic is a dollar you can’t spend reaching people who actually want to buy from you.
Choose your keyword match types carefully, and you’ll see your advertising budget work much harder for your business.