Campaigns are divided into ad groups. An ad group contains one or more ads which target a specific set of keywords. An ad group will hold keywords and ads which fall into a shared theme.
You can set a bid at the ad group level or you can bid on individual keywords within your ad group.
In order to organise your Google Ads (formerly Google AdWords) account efficiently, it’s important to understand the relationship each keyword has to the ad group you are placing it into – the more specific you are, the more organised your account is and the more tailored your ads are to your customers.
A common way to build ad groups is according to sections, categories or subcategories that are on your website.
Here is an example of what ad groups will look like:
Ad Group: Digital Marketing Company
[digital marketing company south africa]
[digital marketing company]
Source: Ad Group: Definition