Real Improvement to Google Quality Score Calculation
November 24th, 2008 by Click Consult
As a PPC campaign manager it is very pleasant to see Google make a change to Adwords that actually will help a PPC advertiser like myself with what seems like little gain for themselves. I feel that while Google are an excellent company at providing the best service to its customers it is constantly finding new ways to get more money from PPC advertisers.
The change to the Quality Score calculation that is now in place basically takes into account the position of your ad against click-through-rate (CTR). Because ads in higher positions tend to have a higher CTR in the past these would accrue a better Quality Score than a potentially more relevant ad below purely because an advertiser has a higher bid. This is now not the case as the fact an ad is in a lower position is taken into account in the CTR part of the Quality Score calculation.
This change leads to the overall aim of preventing PPC advertisers from bidding their way to the top and continuing to reward better quality ads regardless of position a higher quality score. Thanks Google, I often see much less relevant ads appearing above my customers’ ads purely because the competitor can afford a much higher bid, hopefully this will stop happening in the future.
The biggest change that this will make to actual PPC campaign management is when I set new campaigns live. In the past I would also start with a high bid, monitor it very closely and lower it down through the first few days. This would help the campaign gain a good early CTR and start to build a good Quality Score. Now I can start campaigns with lower bids in the knowledge that their average position will be taken into account and Quality Score will still start to build up despite a potentially lower CTR.
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[...] Keywords and ads have an accrued performance history and if you make sweeping changes it can negatively affect the PPC account. This means if all your ads in a group are amended your Quality Score may dip. [...]