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The actual placement of Google ads inside the Google Search Engine is determined by a combination of three factors.
The first is the advertiser’s maximum bid per click amount on a valid keyword – for example, a $4 bid on a keyword or keyword term used within a user query would be the ad seen by the user of the Google information searcher if other bid maximums are lower. The “Click Through Rate” or CTR formulas, developed by Google after studying the performance histories of millions of keyword clicks over time, play a significant role in deciding keyword importance and bid amounts, as well as your landing page’s “Quality Score,” which I will discuss next.
The Quality Score is a composite of most factors. Google wants to show customers appropriate, high-quality content, so they created a “Quality Score” weighting factor, which is then multiplied by the maximum bid amount set by the advertiser for a specific keyword or phrase to determine ad rank. The ad rank determines where your ad will appear in user query search results, as well as whether it will appear at all.
The first aspect of Quality score is that of relevant, original content. What will the user see when taken to the website landing page for the advertisement? Does the content displayed answer the question or provide the information posed by the query made by the user? Google determines this by looking at the content for this page so this is where webpage optimization and registering them within the Google search engine comes in handy. Next, as a weighting factor, Google looks at the webpage performance. How fast does the page load? Are there few or no pop-ups or pop-unders attached to the page?
Is the page mobile responsive? Will it look good on phones, tablets, and other mobile devices? Is the landing page “transparent” to the user who made the query – that is, does it represent what your website is all about – and is this a good website to send the user to for this type of user query? Last but not least, what is the ad format? Google is looking to see if the advertiser is using any qualifying “ad extensions” to give the user more information about your site and landing page before they arrive. Phone numbers, hours of operation, and other landing page choices within the ad for more precise information can all be found here.
Advertisers will test their ads before final submission and even when they’re running to see how they’ll or are doing, and there are things they can do at any time to impact where and when their advertisements are made viewable. Implementing ad extensions, inserting negative keywords, modifying ad verbiage or pictures, raising or reducing your maximum bids on keywords and keyword phrases, shifting ad running times or viewers, and so on will all help you increase your Quality Score.Staying on top of your ad’s performance while it’s running and making modifications to increase how it converts is always a good idea, and savvy advertisers do so on a regular basis to make their advertisements more successful and save money on their advertising expenses.
In terms of how much your advertisements cost per click, any ad you place is entered into a “Ad Auction,” in which you compete with other advertisers for ad placement sites and times. The good thing is that you don’t have to pay your maximum bid price for each click of your ad because each auction is considered a “Second Price Auction.” You pay just enough to maintain your stance by outbidding the second-place advertiser. So, if your maximum bid is $3 and your second-place competitor’s bid price is $2.00, you get the position in the search results and pay $2.00 instead of $3 for the click.
When using the Keyword Planner to look up the keywords you want to use and see the suggested bids to get on page one and position one, if there is high competition for a word or phrase, you may know that the second maximum bid price will be close behind, when low competition means that there may be a large gap in bid price between advertisers.Also keep in mind that Quality Scores play a significant role in how your advertising is judged in comparison to other advertiser bids, and that improving your quality scores and, eventually, your ad rankings will save you even more money per click.
When working out your keywords and bids, make sure to use the Keyword Planner’s performance forecasting feature, as it will show you some good models of what your advertisement costs will be as you work on various facets of your bid values and keyword term choices. Adjust it here first before going live to save money on billboards.
