Google Slightly Changes AdWords Ranking Algorithm

Apr 29, 2005 • 11:31 am | comments (2) by twitter Google+ | Filed Under Google AdWords

There are two basic components to how an AdWords ad is ranked in the sponsored section of the search results page. Cost per click (the bid) and click through rate, those two numbers make up your "rank number" or the position of your PPC ad.

A well moderated WebmasterWorld thread named Changes in Ranking Formula discusses a change made to the CTR (Click Through Rate). Basically, the thread reports that Google now looks at each individual ad copy's CTR. So instead of simply looking at an overall keywords CTR, they break down the keyword into your ad copy groups and use the CTR x the CPC to rank that specific AdWords ad.

There are some strong reactions to this change at the WebmasterWorld thread. As you can imagine, some like it and some dont.

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04/30/2005 12:07 pm

One thing I have found when taking over clients PPC Adwords campaigns is they have 100's to 1000's of keyword terms with one ad written. They then wonder why the keyword terms are soon disabled and do not understand that Google uses relevancy to determine whether the ad is shown. What baffles me even more is there are many marketers out there who don't understand this concept and it makes me wonder if people paid attention to search engine optimization related information.... relevancy is key to having your ad listings displayed, whether paid or free! Clint


02/22/2007 03:30 am

How does it affect one's ranking when algorithm is changed?

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