What it is
The reach-precision tradeoff.
Match types are not a technical setting. They are a commercial decision about how much demand you want to chase versus how tightly you want to control what you pay for.
Every keyword you add to Google Ads is paired with a match type, either explicitly (broad, phrase, exact) or by Google’s default (broad, unless specified otherwise). The match type determines the breadth of queries for which your ad is eligible to appear. Exact match triggers only on queries close to the keyword itself. Phrase match triggers on queries that contain the meaning of the keyword. Broad match triggers on queries Google considers semantically related, which in 2026 includes substantial machine-interpreted context.
The commercial consequence is direct. Broad match without disciplined negative-keyword hygiene routinely produces 15–25% wasted spend in SMB accounts, because Google is incentivised to expand match coverage and charges for clicks from queries that are categorically irrelevant. Exact match eliminates most of that waste at the cost of volume. The right mix is almost never all-broad or all-exact — it is a portfolio decision auditable at the search-term-report level.