Word stream quality score cheat sheet


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Word stream quality score cheat sheet

  1. 1. Why Does Google Use a Quality Score Google Ad Auction Pricing Model:in Determining Ad Position? Pre- and Post-Quality ScoreGoogle wants to display the most relevant advertiser ads to their Google Ad Auction & Bidding:searchers. That makes users happy because they get more relevant PRE-QUALITY SCORE & Highest Bid Buys Best Ad Positionads, makes advertisers happier because they get better results, and Advertisers set a max bid but the price they actually paid for a clickmakes Google happier because happy users and happy advertisers = was equal to the bid of the advertiser below them, as detailed below:more people using the Adwords system. Actual CPC Max Bid (price paid) Ad Position Advertiser #1 $4 $3 1 Advertiser #2 $3 $2 2 Advertiser #3 $2 $1 3 Advertiser #4 $1 Not displayed Google Ad Auction & Bidding: POST QUALITY SCORE & Introduction of Ad Rank Max Bid times Quality Score equals Ad Rank and Ad Rank determines Ad Position. Highest Ad Rank = Highest Ad PositionWhat Are the 3 Components to and the better the Ad Position the higher the CTR which improvesGoogle Quality Score Calculation? Quality Score even further (the QS Virtuous Cycle). Quality Ad1. Click Thru Rate (CTR) – Most important component Max Bid x Score = Ad Rank Position of Google Quality Score calculation Advertiser #1 $4 x 1 = 4 Not displayed By allowing users to vote thru clicks Google has millions of Advertiser #2 $3 x 3 = 9 2 people helping decide which ads best match particular search Advertiser #3 $2 x 6 = 12 1 queries. You need clicks to improve your quality score; therefore Advertiser #4 $1 x 8 = 8 3 new advertisers often have to start their campaigns with higher max bids to ensure they have good asd position out of the gate. As they gain clicks and improve their quality scores they can Actual Cost per Click Calculation Example: reduce their max bids and still preserve their good ad positions. Quality Actual2. Relevancy – Second most important component Max Bid x Score = Ad Rank CPC of Google Quality Score calculation Advertiser #1 $4 x 8 = 32 (24/8) = $3 Relevancy of the keywords to the search query as well as ad text Advertiser #2 $4 x 6 = 24 (12/6) = $2 is important to Google. They determine relevancy by analyzing Advertiser #3 $4 x 3 = 12 Minimum language and context of test ads and landing pages to determine price how well it relates to the search query, therefore the likely searcher intent. Cost per Click Equation:3. Landing Page Quality – Third most important component of Google Quality Score Calculation P1 = (B2 x Q2)/Q1 An ad is only useful to a searcher if the landing page helps them Where P1 = CPC of Advertiser #1 to find the products or information they are looking for. A high B2 = Advertiser #2 Max Bid quality landing page should have original and relevant content Q2 = Advertiser #2 Quality Score related to the search query, fast load time, be easy to navigate, Q1 = Advertiser #1 Quality Score and be transparent about the nature of the advertisers business and how they plan on using a site visitor’s information. Therefore: P1 = ($4 x 6)/8 = $24/8 = $3 Increasing your quality score decreases your cost per click as Components illustrated below. Where Quality Score increased from an 8 to a 10, of Quality Score the result is a decreased CPC from $3 to $2.40. Calculation Quality Actual Max Bid x Score = Ad Rank CPC Advertiser #1 $4 x Q1 (10) = 40 ($4 x 6 /10) = $2.40 Advertiser #2 B2 ($4) x Q2 (6) = 24 © 2010, WordStream Inc. All rights reserved. WordStream technologies are protected by pending US patents.