Search vs. Display Ads: When to Use Each for Maximum Conversions

Google Ads offers two main ad types—Search and Display. While both serve unique purposes, choosing the right one for your campaign can significantly impact conversions and return on investment (ROI).
Search ads capture high-intent users actively looking for products or services. Display ads focus on brand awareness and re-engagement by appearing across Google’s vast network of websites and apps. Understanding the strengths and best use cases for each can help maximize advertising effectiveness.
Understanding Search Ads
Search ads appear at the top of Google’s search results when users type relevant keywords. These text-based ads blend seamlessly with organic search results, making them a powerful tool for capturing users at the moment of intent.
When to Use Search Ads
1. High-Intent Searches
Search ads work best when people are actively looking for something specific. If users are searching for “best running shoes for flat feet,” they likely intend to buy soon. Placing an ad at the top of the results ensures your business gets noticed first.
2. Lead Generation
For businesses offering services like legal consultations, real estate, or home improvement, Search ads drive qualified leads. By targeting location-specific and service-related keywords, advertisers can reach customers ready to take action.
3. E-Commerce Sales for Specific Products
If you sell niche or high-demand products, Search ads can drive direct sales. Pairing them with Google Shopping Ads enhances visibility by showing product images and prices within search results.
4. Local Businesses Targeting Nearby Customers
Local businesses benefit from Search ads by targeting geographic keywords. Searches like “best coffee shop near me” or “emergency plumber in [city]” show clear purchase intent, making these ads ideal for location-based marketing.
5. Competitive Advantage Over Organic Results
Ranking on the first page of Google organically takes time. Running Search ads allows businesses to secure top placement instantly, even in competitive industries.
Best Practices for Search Ads
- Use exact match and phrase match keywords to control relevancy.
- Write compelling headlines with clear calls to action (CTA) like “Book a Free Consultation” or “Shop Now.”
- Utilize ad extensions (site links, call extensions, structured snippets) to enhance visibility.
- Set up negative keywords to avoid wasting budget on irrelevant searches.
Understanding Display Ads
Display ads appear on websites, YouTube, Gmail, and mobile apps within Google’s Display Network. These visual ads help businesses reach a broad audience and build brand awareness.
When to Use Display Ads
1. Brand Awareness Campaigns
Display ads work well for businesses looking to increase visibility. Since these ads reach users who aren’t actively searching, they introduce new brands and products to potential customers.
2. Retargeting and Remarketing
One of the most effective uses of Display ads is retargeting. Businesses can serve ads to users who have previously visited their website but didn’t convert. This keeps the brand top of mind and encourages them to return.
3. Promoting Visual Products
Industries like fashion, travel, home decor, and food benefit from them since high-quality images capture attention better than text alone.
4. Expanding Reach Beyond Search
Display ads help businesses reach potential customers who may not be searching for their products but fit their target demographics. Interest-based targeting allows advertisers to reach users who engage with similar content.
5. Running Cost-Effective Campaigns
Display ads typically have a lower cost per click (CPC) than Search ads. They are ideal for businesses that want to stretch their advertising budget while still driving traffic and engagement.
Best Practices for Display Ads
- Use high-quality visuals that align with your brand.
- Keep ad copy simple and CTA-driven (e.g., “Shop Now” or “Learn More”).
- Test different ad formats, including static images, animated banners, and video ads.
- Exclude low-performing placements to avoid wasting budget on irrelevant websites.
- Use responsive display ads to let Google optimize ad size and placement.
Search vs. Display Ads: Key Differences
Feature | Search Ads | Display Ads |
---|---|---|
User Intent | High (users actively searching) | Low (passive browsing) |
Best For | Lead generation, e-commerce, local businesses | Brand awareness, retargeting, visual promotions |
Ad Format | Text-based | Image, video, banner ads |
Targeting | Keywords and search queries | Interests, demographics, website placements |
Cost Per Click (CPC) | Higher (due to high intent) | Lower |
Conversion Rate | Higher | Lower (but good for nurturing leads) |
Ad Placement | Google Search results | Websites, YouTube, Gmail, and apps |
When to Use Both Search and Display Ads
Many businesses see the best results by combining Search and Display ads in a multi-touch marketing strategy.
- Use Search ads to capture high-intent traffic. If someone searches for a service, they are likely ready to engage.
- Follow up with Display retargeting ads. If a user visits your site but doesn’t convert, show them Display ads to bring them back.
- Use Display ads to introduce new products. Then, use Search ads to target users who later search for them.
- Run Search ads for direct sales and Display ads for awareness. This combination works well for new brands or product launches.
Final Thoughts
Choosing between Search and Display ads depends on your business goals. Search ads are ideal for high-intent users looking for specific products or services. Display ads excel at brand awareness, retargeting, and cost-effective engagement.
For maximum conversions, many businesses find success using both. Running Search ads for immediate leads and Display ads for long-term brand building creates a well-rounded strategy that delivers sustained results.