Here is a one page article I wrote on my methods for targetting Google Adwords. If you target your ads, you get a higher CTR because the ads are more relevant to users, and Google rewards you with a lower CPC. Keep in mind that this is a simplified article, it is something I send directly to clients so it is a clear and easy read.
Article Excerpt:
"We want to be sure that the money you spend on internet advertising is well spent. We have developed this simple process that enables us to deliver highly targeted ads to your potential customers."
Article Link: Google Adwords Targetting Process
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