Beyond the Basics Pay Per Click Advertising
by Conrad Saam
Pay per click, or PPC, is a common method of paying for advertising impressions. People who advertise via PPC only pay when someone clicks on their ad. Google AdWords is the largest PPC provider due to their massive reach. The other major players are Bing (Microsoft) and Yahoo.
The Quality Score
In the early days of PPC advertising, the advertiser who appeared the highest was the one with the highest per-click bid. But now your ad ranking is determined by both your per-click bid and your Quality Score. For each keyword you bid on, you’ll get a Quality Score (QS) between 1 and 10. Your ad ranking for each keyword is based on factors that include both the pay-per-click bid and the quality score for that keyword.
The QS is the search engines’ way of favoring ads that have a high click-through rate. Those ads are favored, both because people click on them (which makes them money) and because they’re likely to be the most relevant ads (which also makes them money). They also want to avoid favoring ads that nobody clicks on or that turn out to be misleading, because that harms the AdWords brand. The QS helps Google to make sure that ads are both relevant and high-quality – that is, so that visitors who click on an ad get to a landing page that satisfies them.
How is QS Calculated?
As with the engines’ methods of determining which pages rank for given queries, the search engines deliberately keep the inner workings of the quality score secret as proprietary information. But Google has released the following list of factors that affect the QS:
• The click-through rate for the keyword and the ad on Google.
• The click-through rate of the ads and keywords in your account.
• The click-through rate for display URLS in that ad group.
• The quality of the landing page that your ad leads to.


















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