Many brands and businesses use Google Ads to promote their products and services. These ads run on Google Search, Youtube, and many other sites. Advertisers can track specific goals and customize their targeting and budgets in an effort to gain exposure. Similar to search results, advertisements have rankings. Google Ads uses Ad Rank as an algorithm to determine your advertisements’ position in search results. It is important to understand how Ad Rank works to get the most benefits. Continue reading to learn more.
What Is Ad Rank?
Your advertisements are given a value that determines your position in Google search results–Ad Rank. There are a few factors that go into your Ad Rank Value. Here are two main factors that determine your Ad Rank:
- Cost per Click
- Quality Score
Google will position ads with the highest Ad Rank at the top of the search result page of a relevant search term. Those with lower Ad Ranks are positioned lower, and those that do not meet eligibility criteria will not be shown.
Why Is Ad Rank Important?
Google has minimum Ad Rank thresholds that determine whether your advertisement will show up or not. Advertisers have to compete for the top position on SERPs because their positions dictate their click-through rates and leads.
Cost Per Click
Cost per click is the price you pay for each click on your ad. It works by recognizing your maximum CPC, your actual CPC, and your average CPC. Your maximum CPC is the most you are willing to pay per click. Your actual CPC is what you actually have been charged and can be less than your max CPC. Lastly, your average CPC is your average amount charged per click. This can help determine your maximum CPC and budget. Ad Rank can affect your actual CPC because Google Ads takes into account your quality score and the rank of the advertiser below you to calculate your pay.
The quality score determines the quality of your ad compared to others. Advertisements that have relevant and useful information to the search query achieve a higher score. Google uses this method to bring out the best results for users. There are three factors that dictate your quality score: Expected CTR, landing page experience, and ad relevance.
Expected CTR predicts the ads click-through rate. This helps Google determine which advertisements will perform the best in a relevant search query. Users who find your website’s landing page useful and relevant add to your landing page experience. Ad relevance measures how useful your ad is to users’ search intent. Ad Rank is based on your advertisement’s Quality Score–the higher your score, the higher your ranking.
Contact Boston Web Marketing
If you are not sure how to run an ad on Google, our team at Boston Web Marketing can help you! We are a team of SEO specialists determined to help businesses in any industry achieve higher search results and more business leads. Give us a call today at (857) 526-0096, or fill out the contact form on our website for a free SEO audit!