Tips and Tricks for Current Adwords Advertisers

Pay attention to the Content Network Setting. If your leads seem to be very low quality, or you’re cost per lead is very high, turn off your content network until things improve (campaign summary –> campaign settings –> content network (on the right)).
Your keywords should be divided into very "tight" ad groups. For example, all your keywords that have "entrepreneur" in them, should be in your "Entrepreneur" ad group (i.e. "become an entrepreneur," "how to be an entrepreneur" etc…)
Your ad groups only need to have 10-20 keywords each if you follow the last bullet point (not thousands like "the old days")
You should be in positions 4-6, no higher. If you are any higher than position 4, you’ll be wasting your money on "Click-Happy" people.
The further back in the paid search you are, the less traffic you will get, but the better quality traffic you’ll get.
Split-test your ads with only 1 […]

See original post by ChrisBa