Google AdWords’ New Ad Rank Formula

Google Ad Rank

matters notably and at the same time plays an important role as it determines your Ad position by


and bid for every search query. Google has come up with new Ad Rank Algorithm in order to give the best experience possible to all visitors and searchers, to push organic results and further down the


and last but not least to increase competition in the


space. Earlier, Ad Rank was comprised of two components,

Max CPC Bid

(the most you were willing to pay per click) and

Quality Score

(Google’s assessment of the quality of your keywords, ads and landing pages).

But now transformation has been done and now onwards it will be comprised of three components, namely, your Max CPC Bid, your Quality Score and the expected impact from ad extensions and formats.

The ad extensions are free to use and thus you do not need much money in using them. But at the same time you are supposed to know that which extension is to be used at which time. This for sure enhances your click through rates and Quality Scores and thus using extensions is even much simpler. Before you get started with any of extension, have a glimpse over few points-

  • Analyse your Ad Groups

If you are already done with optimisation to achieve better quality scores, you may have to setup your bids to get your extensions to show because

Ad Rank

is very important in determining whether your ad is shown with extensions and formats. Thus increase your Quality Scores or Bid or both to get the proper appearance of Quality Scores.

  • Concentrate on Importance or Application

If you are a less relevant advertiser then you will be forced to pay more for more attention.

  • Have a Better Understanding with Quality Score

Make it sure that your Ad campaigns are in the best possible structural shape with the best possible ads.

  • Enable yourself to Use Extensions

Ad extensions and formats will for sure influence the position of your ads on search engines. Make sure that you are using accurate extensions which will take you at higher position than others.

  • Revisit your KPIs Internally

Google’s new Ad Rank Formula may not show your ad to certain searchers unless your relevant extension is on. Apart from all this, with the new change Google has changed its previous pretty simple message

“be relevant”

to more vague i.e.

“be relevant and use more of Google’s features”.

Thus this major change being added to

Ad Rank Algorithm

will determine the order of paid search ads on each SERP as well as how much advertisers pay in the ad auction.

Google Adword

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