I am a nooby so excuse me if this is a dumb question. I often see google search results where a sites organic rank is somewhere in the top ten, yet they also have an adwords link on the right side of the search result page. I may be missing something, but it seems to me that they are paying alot of money for something that is not needed. So is it better to only use adwords for keywords that you don't currently rank high for?
Not necessary. For example, if you search for keyword "spyware doctor" in Google, you'll see PC Tools also advertising on their own brand name. The reason is simple, because they doesn't want competitors to steal targeted traffic. Then, if you already listed in Google for rank below than 6, you'll get less traffic, but you'll get even more traffic if you pay for the same keyword and ranked 3 and above in sponsored links. .
Two bites of the cherry. Some users will look for the sponsored results (more relevant) Some users will look at the natural results (un biased) If you advertise on both you will generate more traffic, the interesting element to monitor is which converts best! Rule number one of AdWords try somthing different and Test, Test, Test
Hey I do this all the time. I try to explain it as trying to achieve the following situation: "Double the traffic for half the cost" In other words, get your sites listed highly organically so they get the same traffic as your adwords campaign (if not MORE) for FREE... so you are receiving double the traffic for "half" the cost! It also increases brand awareness at the same time. Cheers Stewart