Can you explain how Google ads decide which ads they want to rank?

Short Answer: Google Ads decide which ads to rank based on a formula called ad rank. This formula includes your bid amount, quality score, and the expected impact of ad extensions. The quality score itself is determined by your expected click-through rate, how relevant your ad is, and your landing page experience. Google will prioritize the ad with the best overall optimization to show for each search query.

Full Explanation

The process Google uses to rank ads revolves around the ad rank formula. This formula is composed of three main elements: your bid, the quality score, and the expected impact of ad extensions or other ad formats. The quality score is a critical piece as it reflects how well your ad will perform based on historical data and relevance.

Quality score, in turn, is made up of three components: expected click-through rate (CTR), ad relevance, and landing page experience. Expected CTR predicts how likely users are to click your ad when they see it. Ad relevance measures how closely your ad matches the search intent of the user’s query. Landing page experience considers the quality of the page users reach after clicking, including page load speed, content relevance, and usability.

By combining these elements, Google’s algorithm determines which ad is the most optimized and suitable for a given search. Typically, the ad with the highest optimization score or best overall quality will win the spot on the search results page.

Step-by-Step Breakdown

Bid: How much you are willing to pay for a click on your ad.
Quality Score Components:
- Expected Click-Through Rate: The likelihood users will click your ad.
- Ad Relevance: How closely your ad matches the user’s search.
- Landing Page Experience: The quality and relevance of your landing page.
Expected Impact of Extensions: How much added features like call buttons or sitelinks improve the ad’s effectiveness.
Ad Rank Calculation: Google combines bid, quality score, and extension impact to generate your ad’s rank.
Ad Selection: Google selects the highest-ranked ad to show for a given search query.

Real Examples

While specific examples are not listed here, the general principle is that if two ads compete for the same keyword, Google will prefer the ad with a higher quality score, even if the other ad has a higher bid. Similarly, an ad with better landing page experience and relevant content is more likely to rank higher than a less optimized ad.

Common Mistakes

Focusing only on bid amount without improving ad relevance or landing page quality.
Ignoring the expected click-through rate by creating ads that do not resonate with users.
Neglecting the impact of ad extensions, which can boost the ad rank significantly.
Using generic or unrelated keywords that reduce ad relevance and lower quality score.

FAQs

What is the most important factor in ad rank?: While all components matter, the quality score, which includes expected CTR, ad relevance, and landing page experience, is vital for a better ad rank.
Can a lower bid win against a higher bid?: Yes, if the ad has a higher quality score and better expected impact of extensions, it can outrank ads with higher bids.
How do ad extensions affect ad rank?: Ad extensions can improve your ad’s visibility and user interaction, thus positively impacting your ad rank.

Key Takeaways

Ad rank is determined by bid, quality score, and expected impact of ad extensions.
Quality score consists of expected click-through rate, ad relevance, and landing page experience.
Google prefers the most optimized ads rather than just the highest bids.
Improving ad relevance and landing page quality can lower costs and increase ad visibility.