Last month Google announced some changes in how Quality Score is being reported in Google Adwords.
While the changes only affect the reporting of Quality Score and not how it is calculated, the topic itself has promoted advertisers people to ask to question:
[toggles accordion=”true”] [toggle title=”Short Answer” id=”b1″] Quality Score (abbreviated as QS) is a metric that Google employs to determine the effectiveness of your ads compared with competitors. Ads with higher Quality Scores pay less per click than ads that are less effective. Position = Bid ($) x Quality Score (QS) It is perhaps the most important aspect of PPC as it determines how much you pay per click, which ultimately determines how much profit you generate from your Adwords campaign. [/toggle] [toggle title=”Long Answer” id=”b2″] Put yourself in Google’s shoes for a moment: would you rather put an advertiser bidding $1 per click who gets 1% of clicks (earning $1 per hundred clicks) at the top OR an advertiser bidding $0.50 per click who gets 50% of clicks (earning $25 per hundred clicks)? So really, Quality Score is largely click through rate (CTR) normalised by ad position. It has less to do with quality and more to do with profit. In other words, think of “Quality Score” as Google’s “Profit Score”. [/toggle] [/toggles]
What is Quality Score and why is it important?
For best results, Alpha Digital optimises client accounts to make most efficient use of Google Adwords’ Quality Score algorithm. An emphasis is put on achieving the highest click through rates possible to establish high Quality Scores, which allows us to bring the average cost per click down over time, which in turn increases profit.
We improve Quality Score to reduce CPC and increase traffic, so that our clients generate MORE orders with MORE customers for LESS cost!