Google Ads Location Targeting Setup Guide

This guide walks you through configuring location targeting and location of interest in Google Ads. You’ll learn how to narrow your ads to specific geographic areas, adjust bids by location, and use location groups to reach the right audience. Before starting, ensure you have a Google Ads account with an active campaign.

What You’ll Need

• A Google Ads account with at least one campaign created.
• Access to the campaign settings where you want to add location targeting.
• A clear idea of the geographic areas you want to target (e.g., country, city, postal code, or a radius around a location).

Step-by-Step

1. Sign in to your Google Ads account and navigate to the campaign you want to edit. Click on the “Campaigns” icon in the left menu, then select “Campaigns” from the drop-down.
2. Select the campaign you want to modify. In the page menu, click “Settings” and then click the “Locations” tab.
3. Click the pencil icon (or “Edit”) next to “Locations” to open the location targeting panel.
4. Search for locations using the search bar. You can type a country, city, region, postal code, or even a specific address. As you type, suggestions appear. Click on the location you want to add; it will be added to the “Targeted locations” list on the right.
5. Add multiple locations by repeating the search and click process. You can target several areas at once. To target a radius around a location, click “Radius” in the left menu, then enter the address and choose a distance (e.g., 20 miles or 30 km).
6. Set location options (optional but important). Click “Location options” at the bottom of the panel. You have two choices:
   • Presence or interest: Shows ads to people who are in your targeted location OR who have shown interest in it (e.g., someone searching for your product while outside the area).
   • Presence only: Shows ads only to people physically in your targeted location. This is more restrictive and often recommended for local businesses.

   Choose the option that matches your campaign goal. For most local businesses, “Presence only” is safer to avoid wasted spend.

7. Save your changes by clicking “Save” at the bottom of the panel.
8. Adjust bids by location (optional but powerful). In the same “Locations” tab, you’ll see a table of your targeted locations. You can click the bid adjustment icon (a pencil) next to a location to set a bid adjustment, e.g., +20% for areas that perform better. This increases or decreases your bid for that specific location.
9. Use location groups (optional). If you have many locations, you can create a location group. Click “Location groups” in the left menu, then “New location group.” Name it, add locations, and save. This group can then be used as a target in multiple campaigns.
10. Review your settings by going back to the “Locations” tab. You’ll see a summary of your targeted areas and any bid adjustments. Make sure everything looks correct before launching or continuing your campaign.

Common Mistakes

• Forgetting to set location options: Leaving the default “Presence or interest” can show your ads to people outside your area who merely searched for something related. This wastes budget.
• Targeting too broad: Choosing an entire country when you only serve a city. This dilutes your ad spend and reduces relevance.
• Ignoring negative locations: You can exclude areas where you don’t want ads to show. For example, if you target a city but want to exclude a specific neighborhood. Use the “Excluded locations” section.
• Not checking the “Locations” report: After running ads, review the “Locations” report under “Reports” to see actual performance by area. You might find some locations are wasting money.
• Setting bid adjustments without data: Don’t increase bids on a location until you have enough data to know it performs better. Otherwise, you’re guessing.

Tips

• Use radius targeting for local campaigns: If you’re a brick-and-mortar store, a radius of 10-20 miles around your location is often more effective than targeting a whole city.
• Combine location targeting with ad scheduling: If you know your store gets most visits in the afternoon, schedule ads to show more during those hours.
• Use location extensions: Add your business address to your ads. This makes your ads more relevant and can improve click-through rates.
• Monitor search terms report: Even with location targeting, you might see irrelevant queries. Use negative keywords to exclude them.
• Test different location options: Run a split test between “Presence only” and “Presence or interest” to see which gives you better conversion rates.

Troubleshooting

• Ads not showing in the targeted area: Check your location options. If you set “Presence only,” make sure your ads aren’t being blocked by other settings like language or schedule. Also, verify that your bids are high enough for the competition in that area.
• Location not appearing in the list: If you can’t find a specific location, try a broader search term. For example, instead of a neighborhood, search for the city. Then use radius targeting around the center.
• Bid adjustments not working: Ensure you’re setting the adjustment on the correct location row. Also, note that bid adjustments combine with other adjustments (like device or schedule). If the total exceeds +900% or goes below -90%, it may be ignored.
• Location groups not saving: Make sure you’ve added at least one location to the group and given it a name. If the issue persists, try refreshing the page or using a different browser.
• Seeing impressions from outside the targeted area: This usually happens because of the “Presence or interest” setting. Switch to “Presence only” to restrict to physical presence.

Frequently Asked Questions

What is the difference between location targeting and location of interest?

Location targeting is the process of choosing where your ads can appear. Location of interest refers to the locations you’ve chosen, which can be based on physical presence or user interest. In Google Ads, you set both through the same interface, but you can choose to target only people physically present or also those interested in the area.

Can I target multiple countries at once?

Yes, you can add multiple countries in the location targeting panel. However, it’s usually better to create separate campaigns for different countries so you can customize budgets and ads per country.

How do I exclude a location?

In the “Locations” tab, click “Edit” and then “Excluded locations.” Search for the area you want to exclude and add it. This prevents your ads from showing there.

What is a bid adjustment for location?

A bid adjustment is a percentage increase or decrease you apply to your bid for a specific location. For example, if your base bid is $1.00 and you set a +20% adjustment for a city, your bid becomes $1.20 for users in that city.

Should I use “Presence or interest” or “Presence only”?

It depends on your goal. If you want to reach people who are likely to visit your store, use “Presence only.” If you want to reach people who might be interested in your product even if they’re not nearby (e.g., for online sales), use “Presence or interest.”

Can I set location targeting at the ad group level?

No, location targeting is set at the campaign level. All ad groups within the campaign share the same location settings. If you need different locations for different ad groups, create separate campaigns.

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