By: Ernst Borges On: April 12, 2019 In: Blog Comments: 0

Understanding Auction ads “SEM”

One of the most common misconceptions about search engine marketing is that anyone with the largest advertising budget wins
Although a large advertising budget can certainly be useful, especially when targeting highly competitive keywords,
They are far from achieving success in SEM,
This is because all ads go through a process called “Ad Auction” before appearing next to search results,
To be practical, we’ll focus on ad auction on Google’s ad engine.

How does the ad auction work?

The auction process occurs every time someone enters a “Search Query” on Google,
To enter into the ad auction, advertisers select the keywords they want to bid on,
And show how much they want to spend (per click) to show their ads next to the results associated with those keywords,
If Google determines that the keywords you bid for are related to the words that the user is searching for,
Your ads are entered in the ad auction.

How does your ad win the auction?


An ad will not appear for every search performed on Google or others
This is because the ad auction takes into account a variety of factors when determining whether or not to show ads,
That’s because not every word has a sufficient commercial goal that makes Google show ads next to results

However, Google’s two main factors as part of the ad auction process are:

Maximum bid:
The maximum bid is the maximum amount you set and is willing to pay for a click
Quality Score for your ads Quality Score:


Quality Score is a measure that depends on the overall quality of your ad.
Google calculates the metrics during the ad auction to determine the priority of ad impressions.
The result of this account is known as your ad’s maximum price + your ad’s Quality Score (Ad Rank)

Importance of Quality Score in SEM


Because Google’s Quality Score is about half of the Ad Rank,
It is an important metrics that any marketer should focus on
High-Quality Scores can help you get a better ad rank at lower costs,
Because Google prefers ads largely related to “queries” users.
You can understand that although 1 Advertiser has a minimum bid limit,
It has the highest quality score,
This means that their ads are given priority in terms of Ad Rank during the auction:

Quality Score is the most important metric in search engine marketing.

Conclusion


Because search marketing puts you directly in front of users who are now looking for what you offer,
Search engine marketing is an excellent investment for your business,
It’s a huge advantage to top every search result on Google, even if you pay per click.

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