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Understanding Google Ad’s Household Income Targeting

  •   Mikhail Krotov
  •   May 10th, 2023
  •   11

As an effective tool for digital marketing, Google Ads is used to promote products or services by creating campaigns targeting specific demographics, including household income. Household income targeting on Google Ads is a relatively new feature, introduced in 2018, that allows advertisers to target users with specific annual household income ranges.

However, one of the most common questions that online entrepreneurs and digital marketers have is how Google Ads’ household income targeting works? To answer this question, this article will delve into everything you need to know about Google Ads’ household income targeting.

What is Google Ads Household Income Targeting?

Google Ads’ household income targeting is a feature that enables advertisers to reach potential customers by selecting specific income thresholds. With this feature, advertisers can target users whose household income falls within a particular income range or bracket.

Google Ads Household Income Percentages Equivalents

Google Ads divides household income into six different percentages that are used to categorize the target audience. These income tiers are divided into:

  • Top 10% – This 10% group of the total US household income consists of the richest families in the country, with an average income of $250,000.
  • 11-20% – This income tier comprises households whose annual income falls between $166,000 and $250,000.
  • 21-30% – This income group consists of households earning between $125,000 and $166,000 annually.
  • 31-40% – The fourth income category comprises households earning between $90,000 to $125,000 per year.
  • 41-50% – This income group consists of households earning between $65,000 to $90,000 per year.
  • Lower 50% – This income tier is the lowest income category, where households earn below $65,000 per year.

How Can You Target Household Income using Google Ads?

To leverage Google Ad’s household income targeting, you first need to ensure your Google Ads account is set up correctly. After setting up your Google Ads account, you can follow the steps below to begin targeting your audience based on their household income.

  1. Step 1: Access your Google Ads account and create a new campaign.
  2. Step 2: Choose your campaign goals and location.
  3. Step 3: Scroll down to ‘Demographics’ and select ‘Household Income’ to access the different household income brackets to choose from.
  4. Step 4: Select the appropriate household income tier for your target audience, and save the settings.
  5. Step 5: Proceed with the other relevant targeting options such as age, gender, and interests, then create an ad group.
  6. Step 6: Create compelling and engaging ad content that is optimized for your target audience.

Best Practices for using Google Ads House Income Targeting

Here are some of the best practices that you should consider when using Google Ads’ household income targeting feature:

1. Choose the Right Income Tiers

Choosing the right income tiers is critical in targeting the right audience. You must understand your ideal buyer’s demographics, including their average income range, to ensure you’re targeting them effectively.

2. Combine Household income Targeting with Other Demographic Filters

You can combine your household income targeting with other demographic filters such as age, gender, and geographic location for more focused targeting.

3. Test Your Ads and Measure the Results

To ensure the effectiveness of your marketing campaigns, you must test different ad creatives, target audiences, and measure the results. Proper tracking and measurement will enable you to know what works best for your business.

Conclusion

Google Ads’ household income targeting can be an incredible tool for digital marketers and online entrepreneurs looking to target specific demographics based on their income ranges. Understanding the different income tiers, targeting best practices and testing ads will enable you to get the most benefit from Google Ads’ household income targeting feature. With the right strategy and approach, it can be an efficient tool in your marketing arsenal.

Tags
  • account
  • Ad creatives
  • Advertisers
  • Audience
  • campaigns
  • Demographic filters
  • Demographics
  • effectiveness
  • Feature
  • geographic location
  • google ads
  • Household income
  • Income ranges
  • Marketing campaigns
  • Measurement
  • percentages
  • Specific
  • Target Audience
  • Targeting
  • Tiers
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