i'm curious to hear thoughts on building and managing google keyword campaigns. as i see it, there are two basic camps here: go big, and go small.

the traditional approach for overture keywords is to build a broad, broad keyword list, attempting to identify all possible keyword permutations and set bidding strategies for each. so, for example, a computer dealer might put together the following EXACT MATCH keyword list when seeking customers:
buy laptops
laptops
shop laptops
laptop computer
etc.

this overture list could easily span tens or even hundreds of specific search term permutations.

google introduced the notion of BROAD MATCH. this allows an advertiser to rely on broad match for keyword building. in conjunction with negative terms, broad match can be an interesting approach to casting a wide net. the same keyword list could be built as something like:
laptop
-repair
-used
-refurbished

the latter example casts a WIDE net, matching for EVERY "laptop" search EXCEPT for those that include the words "repair", "used" or "refurbished".

the benefit of broad match is that it simplifies campaign design and management. the downside is that it provides less control over the definition and pricing of individual keyword strategies.

what are folks' experience with each approach, and is there a general preference for management of google keyword campaigns?

Hey bradbyrd,

I tend to stay away from the Broad Match option unless it is a brand awareness campaign. I am more concerned with the client's target customer, and their search behaviour. If I can talk to the client about their goals and expectations and get as much information as possible about their target customer then I am better able to do a proper keyword analysis. In doing so I would use exact keyword matches.

Jason

this is probably one of the best keyword list generators on the web
http://www.related-pages.com/adWordsKeywords.aspx

will help you build a large list. will execute all the different variations of words in a list (also does some stemming stuff if you want it to).

buy
purchase

green
orange
yellow

widget
widgets

I like to go small and build from there. This allows me to control budget and increase steadily, finding that conversion balance. This allows me the time to rewrite ads for underperforming keywords and/or throw out keywords with poor conversion. A steady growth curve makes my clients happy and allows me the time to manage each ad and continue to build upon a successful campaign.

Once a keywords performance starts to plateau, I would evaluate the option of going broad.

Actually I start both small and large for various campaigns. Depends on what I am targeting, but I generally get all my keyword data from organic search data collected previous month before (logs, analytics, suggestions tools possibly), so maybe several hundred keywords. This way I am positive on what people are searching for. I hit areas my competitors or clients never thought about. The conversions are monitored closely, and if all goes well the campaign is a wild success. However I have to monitor the competition closely if they decide to pick up on my tactics.
When starting small which is usually a wiser option if I am unsure about the performance, I do what Jeff does, and gradually build the campaign over time, based on the growth or ROI obtained.