Some of the long tailed keywords I would use in my campaign included (i.e. Maryland Window Replacement, Virginia Attic Insulation, Washington DC Gutters etc.) My service area was about 100 miles around Washington D.C.
So how were residents in Roanoke, Virginia (not included within the service area) finding my ad and clicking on it when clearly my settings showed otherwise?
Well it is Called Google Adwords Advanced Location Options. It's a tiny, hidden option in the campaigns settings tab that must clearly be chosen wisely.
There are three settings to the Advanced Location Options:
1. Target using either physical location or search intent
This basically means that Google will target ads to those people located within the geo-targeting locations you specified the ads to show in my case 100 miles around the DC metro area. It will also show ads to people in Roanoke, Virginia or even Anchorage, Alaska who searched "Virginia Attic Insulation".
This is the default setting for any search campaign built, so you must look out for this if this rule does not apply to the services or products you are promoting through google adwords.
2. Target using physical location: Device-based location signals
This basically means that google will target ads to only within the specified location targeting you picked. No where else, regardless of the search, will your ad show up beyond the location that you chose. In my case anything beyond 100 mile radius of Washington D.C. will not be served up an ad
This basically means that ads will only be served when there is a location in the search terms. So words like "Maryland Window Replacement", "Virginia Attic Insulation", or "Washington D.C. Gutters" will serve up ads. Google will completely ignore physical location of the consumer.
Below is a Screenshot of what the Campaign Settings Tab Looks Like
Under Languages You Will See the "Advance Location Options" Hidden Menu
When Opened it Looks Like This
When trying to target a specific area, definitely be sure to select the proper Target Method, or it could be bad news for your campaign.