How Your Ad Rank is Calculated - Google Adwords Tips to reduce cost
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How Your Ad Rank is Calculated – Google AdWords Tips to reduce cost Ad rank is what controls whether or not your ads are eligible to show, and …

How Your Ad Rank is Calculated – Google AdWords Tips to reduce cost

Ad rank is what controls whether or not your ads are eligible to show, and the position they are in when they do show. It is based on your maximum bids, and your quality score. If you use ad extensions they will be measured into your ad rank as well.

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Maximum Bids

This is the easiest aspect of ad rank to understand. Your maximum bid is, as has been discussed, the amount of money you are prepared to pay for each click your ad receives. First page bid estimates and top of the page bid estimates were discussed at the end of chapter three. These estimates, that AdWords provides, come directly from ad rank calculations. To get these numbers, AdWords takes into account your quality score and the level of competition, and gives you the amount you have to spend to make your ad rank score higher than competitors who want the first page, and top page spots.

Quality Score

Quality scores are calculated every time your ad is prompted by a search. There are many factors considered when Google gives you a quality score. Two of those factors are your expected click-through rate, which Google estimates based on your previous history of impressions and clicks, and your display URL’s click-through rate, which Google finds estimates based on your previous history of impressions and clicks obtained by your display URL. Both of those calculations are Google’s prediction of how many clicks your ad will get.   Another factor Google considers when assigning quality scores is the quality of your landing page. Landing pages must be clear, user-friendly, and relevant in order to receive a high score. The ads you have will only be successful and useful, if they lead customers to a page where they can find what they are looking for. Ad/Search relevance is also factored into quality scores. You have to provide relevant ads for your customers’ searches. Google works hard to ensure that you and your customers have a good experience. Customers searching for goods and services will not have a good experience if the ads that appear from their searches are nowhere close to what they are looking for, and you, as an advertiser, will not have a good experience if you are constantly receiving low scores due to irrelevance. How well your ads perform in your targeted geographic locations, and on your targeted devices, impacts your score as well. Targeting the right locations and devices can, and will make a huge impact on the overall success of your account. Where you target geographically and device-wise will depend on your business needs, but you must be sure to make careful well-thought decisions in these areas. Making improvements in these areas will improve your quality score, and along with that your ad rank. It is a good idea to keep track of your quality score as it often changes. You can check your score with a keyword diagnosis, or by looking at the quality score column.

Clearly, having high quality ads is crucial to getting a high ranking, and having a successful campaign.   A good quality score and ranking are extremely important, but they are also quite easy to obtain. Here are some best practices when creating your ads. The key word when dealing with ad quality is “relevant.” Specific ad groups that key in on an individual good or service will help keep your ads relevant. Along with specific ad groups, wisely selected keywords can help your ads stay relevant. Keywords should be somewhere in your ad text as well. When a possible customer sees the word they searched in your ad text they will be more likely to click, because they will see that your ad is directly related to their search. Straight-to-the-point and appealing ads that layout exactly what you have to offer, and what sets you apart from competitors will get a good quality ranking. Another thing that will attract customers to your ads is a “call-to-action.” Putting words like “buy,” “sell,” “sign-up,” etc. If you carefully consider all of these things when creating your ads, then you will have a high quality ad.

ppc online advertising - google adwords
PPC . Online Advertising using Google AdWords

Ad Extensions

If you use ad extensions, they will be factored into your ad rank. Ad extensions show extra information about your business in your ads. An ad extension could be your business phone number, address, reviews, and the list goes on. AdWords will calculate the anticipated effect that your extensions will have. Your ad will likely be given a better position over your competitors if your extension projection is better than theirs.

Ad Rank

AdWords will multiply your maximum bid by your quality score. This number, the higher the better, defines your ranking. Because AdWords factors in more than one number, you could potentially spend less than your competitors for a spot higher than theirs. This is exactly how having a great quality score will save you money.

How to Check Quality Score with Keyword Diagnosis

  1. Sign into AdWords
  2. Go to the “Campaigns” tab
  3. Go to the “Keywords” tab
  4. Click on the speech bubble next to a keyword’s status- this will show your ratings for expected click-through rate, ad relevance, and landing page experience- these are your quality score details

How to Check Quality Score Column

  1. Sign into AdWords
  2. Go to the “Campaigns” tab
  3. Go to the “Keywords” tab
  4. In the Statistics table go to the Quality Score column- you will be able to view your quality score details on this column

How to Add the Quality Score Column

  1. Go to the “Columns” drop-down menu (tool bar on top of the statistics table)
  2. Choose “Customize Columns”
  3. Choose “Attributes”
  4. Select “Add” (beside Quality Score)
  5. “Save”

How to Find Your Average Ad Position

  1. Sign into AdWords
  2. Go to the “Campaigns” tab
  3. Look at the “Statistics” table and find the “Avg. Pos.” column

*Go to the “Ads” tab to see your average position by ads

*Go to the “Keywords” tab to see your average position by keywords


Hopefully now you will be ready to start and run a successful AdWords account. This article is written to teach you the fundamentals along with some tips and best practices. As you continue to work in your account and get more familiar with AdWords, you will learn techniques that will help you improve your account.


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