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Google Ad Auction Insight.

Google's chief economist talks about, Google ad auction. For the first time he has given some valuable insight into quality score. How it works at ad delivery level, and pricing level. Important Revelations are:

1) It is not the actual price that your second closest competing ad pays, but the bid, and quality score of your competitor, which determines what you would pay. Watch for his explanation of equation: P1 x Q1 = B2 x Q2 implying, P1 = (B2 x Q2)/Q1.
or, P1=Ad Rank of Next Ad / Q1.

2) Quality Score Ingredients are: CTR, Relevancy and Landing Page, weighted in decreasing order. Relevancy is a different factor from landing page, it is about relevance of Keywords in your account to the ad and Searched Query. Up to here, it has nothing to do with Landing Page. Landing Page is a separate factor which are judged according to Relevant Original Content, Ease of Navigation, Quick Load Time, Transparency about business and what you are going to do with information collected from users.

3) Also Look for how Ads are disqualified from showing. He possibly reveals with this presentation How with Ad rank Formula, which includes Quality Score, which includes Relevancy factor, Google chooses the span of search queries to be matched against ads and keywords. Broad match comes to Mind!!!

1 comment :

roopa said...

Very good Video, this mainly help ful for the beginers alot i feel, simple too gud explanation... thanks google

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