Google Quality Score is an important factor to define the rank of your ads.
Google has published a formula of how rank works: RANK = Max CPC X Quality Score
Here is an example explain how the formula works. You bid an ads but you find the price you bid is not the price you actually pay. And you find out its not like “the more you pay the higher the rank is”.
That is because of your Quality Score. Your Quality Score is determined by there elements, click through rate is the most influential one. Read my relevant post what is quality score.
The Clickthrough Rate is the percentage of people searching who actually click. If 100 people search, your ad shows up 100 times, and one person clicks through, that’s a 1% clickthrough rate.
So let’s say I’ve got a 1% CTR and I’m paying $1.00 for position #2.
Let’s say you’ve got a 2% CTR. If you play your cards right, you may only have to pay 51 cents to get position #2 and knock me down to position #3.
That means that you were 2 times as relevant, and you got to pay 1/2 as much!
The rules can be very simple, but the implications are huge.
When you achieve high click-thru rates, you can pull your bid prices down, down, down and yet stay at the same position on the page, while your traffic goes up.
The difference can be quite amazing. Here’s an example of two ads – they are ALMOST IDENTICAL but one got nearly TWENTY TIMES the CTR as the other:
| Popular Ethernet Terms3 Page Guide – Free PDF Download Complex Words – Simple Definitionswww.bb-elec.com |
Popular Ethernet TermsComplex Words – Simple Definitions3 Page Guide – Free PDF Download http://www.bb-elec.com |
|
| 2 Clicks – CTR 0.1% | 39 Clicks – CTR 3.6% |
Notice what happened: All I did was reverse two lines – and the clickthrough rate jumped from 0.1% to 3.6%!
That means that the ad on the right gets more than TWENTY TIMES as much traffic – and I could pull down my bid prices and get that for the same amount of money as I was paying before.
Before I go, there’s one other thing I need to tell you: This is precisely the thing that gets people all tangled up over keywords that Google suddenly labels ‘inactive.’
While Google may tell you simply to bid more, the major reason that keywords get made ‘inactive’ is this: The message in the ad doesn’t match what the person wanted when they typed in the keyword!
How do you fix this problem? By organizing your keywords into narrow themes and by testing different ads that match people’s searches – like I described above.
Then watch as people’s clicks vote on the words that actually sell. This is an absolutely foolproof method of getting your ad placed higher on the page, and there are dozens of variations on this method that you can use right away.
chiccherie 