Podcast Summary: The Paid Search Podcast | Episode 476

Episode Title: The Right Way to Use Audiences
Host: Chris Schaeffer, Certified Google Ads Specialist
Date: August 18, 2025

Overview

In this value-packed episode, Chris Schaeffer explores three core themes for Google Ads professionals:

1. Should you specialize in a specific PPC industry or remain a generalist?
2. What will Google Ads look like in five years and how will AI impact the field?
3. How to use Google Ads audiences the right way, with practical guidance and actionable do’s and don’ts.

Chris answers listener questions, shares hard-won insights from 20+ years in Google Ads, and provides step-by-step tactics for leveraging audiences to supercharge campaigns.

Key Discussion Points & Insights

1. Specialist vs. Generalist in Google Ads Management

(Main Segment: 03:30–14:45)

• Listener Question:
  Dan, a recent grad managing ads for clinics, asks whether to specialize (e.g., healthcare PPC) or take a broader approach.

• Pros of Industry Specialization:

  • Higher lead closing rate:

    “If they are within that industry, you can close leads much easier, because... there's not much competition.” (05:10)

  • Improved search ranking for niche agency searches.
  • Easier new client launches: strategy and experience transfer well (but beware pitfalls).

• Cons of Specialization:

  • Limited volume and opportunity—miss out on clients outside your niche.
  • Not all clients in one industry have identical needs; “copy/paste” pitches or strategies rarely fit all.
  • Risk of tunnel vision:

    “Companies that work in specific industries tend to have a lack of exposure to other parts of the Google Ads sphere and it leads to a type of tunnel vision.” (10:20)

  • Potential difficulty adapting to new verticals/strategies.

• Chris’s Take:

  • He does not specialize—prefers exposure to all industries for versatility and better expertise.
  • Believes specialists can “cripple” themselves by missing broader Google Ads knowledge.

    “It leads to a specialization that... cripples people and makes them a bit of a tunnel vision manager...” (13:00)

  • Acknowledges that some thrive as specialists but personally values adaptability.

2. The Future of Google Ads & Impact of AI

(Beginning: 15:00–28:20)

• Listener Question:
  What’s next for Google Ads? Will AI take over, or is there still a place for skilled humans?

• Chris’s Predictions:

  • Google will lose dominance for information gathering.

    “Google will still own search. But I don't think search will hold such a default method of information gathering in the way that it has before.” (16:15)

  • Information seeking will diversify across platforms—AI especially (ChatGPT, Grok, etc.).
  • Google Ads will expand further beyond search with formats like Performance Max, Demand Gen, etc.—marketers will have less direct control over ad placement/mix.
  • The special value of search ads (customization, data transparency) will decline amid more automated, blended targeting.

    “Google.com search ads are unique... for data and customization and instant metrics and feedback... unlike any other kind of marketing.” (20:10)

  • The volume of direct Google searches will fall, but there’s still value in them.

    “I just think there will be less of it. I think there'll be less people that just straight up do google.com searches.” (22:05)

  • AI won’t replace good Google Ads managers:
    • Managers who adapt and think strategically will always add value.

      “No AI is not going to take the job of a Google Ads manager. I think good Google Ads managers are still going to be valid.” (27:20)

    • The field will change, but skilled human oversight remains crucial.

3. The Right Way to Use Audiences in Google Ads

(Main Tutorial: 28:40–End)

Understanding Audiences

• Definition:
  Audiences are NOT keywords; they are pre-categorized interest or intent groups within Google Ads, spanning broad categories (e.g., “Beauty & Personal Care”) and many subcategories (e.g., “Skin Care Products”).
• Types: In-market, affinity, etc. Focus in this episode: in-market (people ready to buy).

How & Why to Apply Audiences

A. Observation Audiences (Data Gathering)

(31:35–39:30)

• Add audiences in “observation” mode atop your search campaigns to gather valuable data (impressions, conversions, CPC, etc.) without restricting your traffic.

  “Each audience gathers clicks and impressions and conversions and CPCs... so you can gather data to say the people who are searching these keywords are a part of these audiences.” (32:44)

• Tip:
  Start with several specific subcategories rather than just the 25 broad ones.

  “Do not use main categories. Use much more specific subcategories for your account...” (34:10)

• Analysis:
  After collecting data, remove or ignore unproductive audiences (zero conversions over time).

  “If they are, you know, over a long period of time have. Have shown absolutely no progress… remove them.” (37:55)

  • Bid up productive audiences outperforming your average CPA (Cost per Acquisition).

    “Bid up on the productive stuff when it's set itself above the others...” (38:36)

B. What Not to Do with Observation Audiences

(39:36–42:18)

• Don’ts:
  • Don’t add all audiences—stick to relevant, manageable numbers (e.g., 5–15 per campaign).

    “Do not add all of the audiences. Do not add hundreds of audiences. Only add, I don't know, 10, 5, 3, maybe 15, something like that.” (39:40)

  • Don’t bid down on poor-performing audiences—just remove them.

    “Don’t bid down on it. Just remove it.” (40:35)

  • Don’t bid up on everything—only specific, stand-out audiences.

    “Please, please, please don’t... bid up 50% on everything... You’re looking for outliers.” (41:07)

  • Don’t add exclusion audiences unless truly necessary.

C. Audience Targeting Campaigns (Isolation Testing)

(42:20–51:30)

• Targeting vs. Observation:
  In targeting mode, you only show ads to users in chosen audiences and searching chosen keywords.

• Use cases:

  • Isolated testing of hypotheses (e.g., audio enthusiasts might want premium headphones).
  • Set up as separate campaigns (do not duplicate main campaigns).

    “Do not duplicate what’s in your other campaign... Don’t self-cannibalize between two campaigns here.” (47:18)

  • Use broader/higher-funnel keywords, not the laser-focused exact matches—because audience targeting already narrows your reach.

    “I don't suggest you do this kind of targeted audience with really exact match targeted small search volume keywords.” (50:55)

  • Great for integrating remarketing audiences with search.

• Don’ts for Targeted Audiences:

  • Don’t use overly broad audiences (“Consumer Electronics”); go specific (“Car Audio”).
  • Don’t combine precise keywords with niche audiences—too little volume.

D. Practical Process Checklist

1. Observation Audience Phase:

   • Layer on relevant subcategory audiences in observation mode
   • Collect and analyze data
   • Remove unproductive, bid up productive—but selectively

2. Targeting Audience Phase:

   • Create separate campaigns for tests
   • Use broader, higher-funnel keywords + specific subcategory audiences
   • Never clone main campaigns or keywords
   • Integrate with remarketing where appropriate

Notable Quotes & Memorable Moments

• On specialization pitfalls:
  “Tunnel vision management seems to be more common with industry specific agencies...”
  (10:20, Chris Schaeffer)

• On Google’s future:
  “I think Google will lose some of its dominance for information gathering… But I don’t think search will hold such a default method of information gathering.”
  (16:15, Chris Schaeffer)

• On the role of AI in the field:
  “No AI is not going to take the job of a Google Ads manager. I think good Google Ads managers are still going to be valid.”
  (27:20, Chris Schaeffer)

• On the right way to use audiences:
  “Do not bid up on all of your audiences. …You’re looking for outliers, something that is better than everything else. Not just everything.”
  (41:07, Chris Schaeffer)

Timestamps for Important Segments

| Segment | Timestamp | |--------------------------------------------|-------------| | Specialist vs. Generalist | 03:30–14:45 | | Google Ads: Five-Year Predictions + AI | 15:00–28:20 | | Audiences 101 + Observation Method | 28:40–39:30 | | Audience Data Do’s and Don’ts | 39:36–42:18 | | Audience Targeting (Testing/Isolation) | 42:20–51:30 |

Takeaways

• Specialization offers higher client closings but narrows opportunities and can limit long-term expertise.
• Google Ads will blend search with broader placements and automation; skilled strategists will still be needed despite AI advances.
• Audience strategy:
  • Use observation mode to uncover winning segments; prune unproductive ones.
  • Only apply bid adjustments to clearly outperforming audiences.
  • For campaign targeting, use specific subcategories and broad keywords—but never just copy your main campaign and layer in audiences.
• Wrong approaches (adding all audiences, blind bid changes, excessive exclusions) waste budget and can tank performance.

Chris delivers pragmatic, actionable advice for marketers at any stage—reminding us that a combination of data, context, and disciplined experimentation is the path to Google Ads success.

Contact:

• Listener questions: Paidsearchpodcastmail.com
• Coaching/consulting: Chrisschaeffer.com

Next Episode Drops: Every Monday