Google Ads glossary
A search term is the word or set of words a person actually typed into Google before seeing your ad.
The keyword is what you add to your ad group. The search term is what the person typed. Depending on the match type, the two can differ.
The search terms report lists those queries with their impressions and clicks. Good terms can become keywords, bad ones negative keywords. Google leaves out terms that are too rare, to protect users’ privacy.
This report is the only view of what your clicks really bought. A broad keyword can trigger neighboring searches that are off topic, and you pay for them like any other click.
Read it with intent in mind: a term that costs money and never converts is a candidate for a negative keyword. Our guide to cutting wasted ad spend gives the method.
You bid on the keyword “payroll software”. Someone types “free payroll software excel”: that is the search term. If terms like that cost money without converting, add “free” and “excel” as negative keywords.
Free tool: Search terms report analyzer
Drop in the export of your report: the analyzer spots the words that cost money without converting and prepares a negative list to import.
Official source: Google Ads Help: the search terms report