On Tuesday, Google announced an improvement to the Ad Auction that will provide more relevant information to the searcher, consistently. Ad Extensions will now be an important factor in the overall rank of the ads. This improvement will force advertisers to provide more relevant and useful information to the searcher if they want to maintain strong positioning.
Previously, ad rank was determined by max CPC, what you are willing to pay for a click and Quality Score (an estimate of how relevant ads,keywords and landing pages are to the searcher.) By factoring in the expected influence in performance from ad extensions, Google is insisting that ads connect with users more easily.
Google says, “You may see lower CPCs if your extensions andformats are highly relevant, and we expect a large positive performance impactrelative to other competitors in the auction.” It’s our opinion that relevant adextensions will play a large role in determining rank and cost per click. Take alook inside AdWords here.
For a local business owner, this is a substantial development for anyone spending marketing dollars on AdWords. It’s Google’s idea to always display the ad with the most useful information as the top performing ad. This means, including hyper-local extensions, like a call extension and a location extension is even more critical to drive new customers to you online and grow your business.
At RevLocal, we believe this change adds to the emphasis of local search marketing online. Our paid advertising goal is to deliver our clients a positive return on investment by showing their ads to the most relevant search traffic. This improvement has been highly anticipated and adds to the importance of having a strong internet marketing partner to help manage the always changing environment. See what local search marketing can do for your business online today!