Clip 2 - Understanding Google Adwords (ADS) - Ad Rank

9 important questions on Clip 2 - Understanding Google Adwords (ADS) - Ad Rank

What is the Bid Amount that you can choose yourself when it comes to Keywords?

You pay Google AdWords each time your ad is clicked. The price you are willing to pay for each click is called price-per-click (PPC).

What is the Ad Rank?

A number, or score, that determines the ad position.

Again the bidding you can influence and the quality score is given to you. What kind of an auction are you dealing with in such bidding situations?

A blind auction, you as a company have no idea who else is bidding and what their CPC is.
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How do you calculate the Ad Rank?

Quality Score * Bid

How does Google, based on the Ad Ranks, determine who gets a top spot and who gets the last position of the page?

The highest Ad Rank gets the top spot.

What will an advertiser pay, which would be in his best interest, regarding the Ad Rank?

The lowest amount necessary to beat the Ad Rank of the competitor below them.

How are you certain that you will outbid your competitors?

If you put 0.01 dollars on top of the amount you would have to pay to get the same Ad Rank.

What is another possibility opposed to bidding yourself?

This is to let Google bid for you, they then will bid the amount you need on your behalf.

What is the ultimate benefit of having a high quality score?

Then you can pay less per click and still your ad will show higher than your competitor.

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