Optimization means taking the right steps to get the results you want by improving the quality and performance of your marketing efforts – sometimes without even raising your costs. Below find 7 effective optimization strategies…this is just a sample as there are a lot of things you can do…

1. Identify your advertising goals. For example, if your goal is to increase your click through rate (CTR), focus on ad quality. Attract more clicks by refining your ads, and eliminate extra impressions by choosing highly targeted keywords and placements and using negative keywords.

2. Choose relevant keywords and placements. Choose your keywords carefully, take advantage of keyword matching options and use unique keyword URLs.

3. Create straightforward, targeted ads. Create simple, enticing ads, using a strong call-to-action and be sure to test multiple ads in each ad group.

4. Optimize your website for conversions. Test to make sure you have effective site content, evaluate your site design and make sure you keep the user experience in mind.

5. Track your account performance. Check your account statistics, create reports and utilize web analytics (check out free Google Analytics).

6. Ensure Clean Coding. To allow search engines to index and analyze your website correctly, you must check correctness of HTML coding manually. Search engines are sometimes not good at understanding Flash. If you have Flash navigation menu, make sure to duplicate somewhere and include HTML links as well.

7. Test and modify your campaigns to get the results you want. Evaluate your campaign performance and make changes as necessary. Make sure you only change one element as a time, so you can accurately track what’s working and what’s not.

Sources I used:
1. wikipedia.org
2. Advertising Age
3. Top7Business