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Dynamic Keyword Insertion: What Is It and How to Use It?

Dynamic Keyword Insertion: What Is It and How to Use It?

Dynamic keyword insertion is a term related to pay-per-click (PPC) online advertising.  Anybody, from experienced marketers to owners of small businesses and one-man companies, who has been doing PPC ads will have come across this term.  But, and here’s the rub, how many of those people know and understand what dynamic keyword insertion means, or how to use it?

When ads posted on the Google Display Network reach around 90% of online users, and 89% of traffic that is generated by Google Ads is not replaced by organic clicks when ads are paused, your use of keywords becomes critical.  So, let’s discover what dynamic keyword insertion is and how you can use it to generate a better return on investment (ROI) for your business.

What is dynamic keyword insertion?

According to Google, dynamic keyword insertion is “an advanced Google Ads feature that dynamically updates your ad text to include one of your keywords that matches a customer’s search terms.”

So, essentially, when you use a specific type of keyword code and insert it into your ad to promote your product or service, such as {keyword: organic chocolate}, when one of your keywords can’t be inserted into your ad, Google will automatically insert your dynamic keyword instead according to the search term used that triggered your ad.  This feature means that you are able to run just one ad but it appears different to online users depending on the search terms they use. 

Dynamic keyword insertion can be used in the display path (URL), the headline or in the description for any of your PPC ads. With online advertising becoming ever-more competitive, the benefits of dynamic keyword insertion include:

  • A higher click-through rate (CTR);
  • Potentially increasing your ad’s quality score;
  • Increased relevancy and personalisation.

When used in the right way, dynamic keyword insertion can be the perfect strategy to increase brand awareness, delivering ads online that are far more relevant and personalised to the user, as well as saving on the cost of paid ads.  Let’s give you an example. 


How to use dynamic keyword insertion

Let’s say you want to promote and sell your range of ‘organic chocolate’.  Your ad description could look like this:

Buy {keyword: organic chocolate} at the best prices online.

Authentically-sourced {Keyword: organic chocolate}. Order today.

When a user enters the exact search term that matches your dynamic keyword/phrase, Google will replace all the words in brackets with the user’s search term, such as buy organic chocolate or chocolate that is organic.

You can also add this dynamic keyword/phrase into your URL – www.sweetshop.com/{organic chocolate} – or into the headline – Buy the best {organic chocolate} online.

You can also use capitalisation in your dynamic keywords/phrases to make the most of your PPC ads campaign. For example:

  • {KeyWord: organic chocolate} = Organic Chocolate
  • {KEYWORD: organic chocolate} = ORGANIC CHOCOLATE
  • {Keyword: organic chocolate} = Organic chocolate

Here are our top tips for using Google’s enhanced PPC ads dynamic keyword insertion feature.

  1. Avoid using broad match keywords – online ads that are set up with dynamic keywords are supposed to be highly personalised and relevant to the user.  By using a broad match keyword, such as chocolate, your ad may appear in search terms that aren’t relevant. By using organic chocolate, your ad is directly targeting users who are specifically looking for organic chocolate, increasing the opportunity of the user clicking on your ad
  2. Ensure multiple options make sense – Google, Bing, Facebook and other online ads platforms allow you to select different options, or assets, for your ad. However, it is advisable to make sure your ad is well-designed and all assets, when used together, make sense.  For example, you don’t want your image promoting Swiss chocolate to appear in an ad for your organic chocolate.
  3. Always carry out A/B testing – it’s great being able to create multiple versions of the same ad using dynamic keywords/phrases however, always carry out A/B testing of your ad.
  4.  Keep ad groups closely related – to avoid ads being displayed that are not always relevant to a user’s search term, make sure your ad groups are closely related to each other, and your products.
MIAB - News - Dynamic keywords - when to use

Why should I use dynamic keyword insertion?

Getting your online ads noticed is becoming harder and harder as more people use PPC ad campaigns.  When you’ve got 65% of customers clicking on PPC ads and ad campaigns that can increase brand awareness by 80%, online advertising is a competitive business!

Therefore, using dynamic keyword insertion can be the difference between a successful and unsuccessful PPC ads campaign.  But there are advantages and disadvantages to using dynamic keyword insertion.



  • You can use more than one related keyword in just one ad. Whilst it takes longer to set up, long term there aren’t so many ads to manage.
  • Increased relevancy – you are able to more accurately match your ads to user searches.
  • Stands out – Google ads dynamically inserted keywords in bold, therefore your keyword is more visible to online users and has the potential to increase your CTR.
  • A higher quality score – if your ad is more relevant to search queries, Google allocates a higher quality score and therefore helps in your ad reaching a greater number of users.
  • Great for retargeting campaigns – being able to retarget users with the exact search term they’ve previously used builds brand awareness, trust and can help recover unfulfilled shopping carts.


  • The keywords/phrase is too long – whilst long-tail keywords are good, you may find that it doesn’t display correctly in your ad when Google replaces the code with it.
  • Ensure all keyword terms match each version of your ad – because the ads are automatically generated by Google, it’s vitally important to test them before going live to avoid any awkward or badly worded ads.
  • Trademark infringements – it’s all very well targeting a competitor’s brand but if their product is trademarked, Google will take down your ads based on trademark infringement.

Google’s dynamic keyword insertion is highly beneficial to those using PPC ads to promote their products and services but make sure you understand and know how to use them to benefit your business.

At Media in a Box, we offer a variety of social media, SEO, content marketing and website design services that are not only highly effective, but will also meet everyone’s budget no matter how big or small it is.  Whether it’s optimising your website, developing a social media plan or helping with content marketing, contact us today and let’s chat.