There is a right way to setup a campaign and wrong way. Years ago you could run a campaign with 1 Ad Group with a long list of keywords and many people still do. This is a huge mistake!  You  really need to break those long Keyword lists into smaller Ad Groups.

How you group your keywords into these smaller Ad Groups is critical to your success. You click through rate, cost per click and you quality score are affected by how you do this.

I create many small Ad Groups with each group consisting of keyword phrases very closely related and usually containing the same core keyword or 2 word phrase. I then create a separate ad for each Ad Group with the core keyword or 2 word phrase in the title of the ad.  I almost always use broad match, phrase match and exact match on all my keywords. Usually the exception is I may not use the broad match on a 1 word keyword if it is to broad and will attract clicks I don’t want and negative keywords won’t solve the problem.

Perry Marshall

Like everything else Adwords is constantly changing and you need to adapt with the changes. I use many different marketing strategies online and even though I am an expert I always find time to continue to learn and stay on top of things.  I seek out the best to learn from and I look to Perry Marshall to keep me up to speed on Adwords.  Perry Marshall is the best Google Adwords coach on the planet.  If you don’t have it already I highly recommend his book the Definitive Guide To Google Adwords.