I have some questions about Google Adwords campaigns.
When evaluating ad performance in a Google Adwords campaign, which is more important: The actual number of clicks on each ad or the Click Through Rate (CTR) of each ad?
What is “% Served” and should we be paying attention to the “% Served” of our ads?
Finally, I read in the PPC101 reading material about Google’s “Average Position” but I’m a bit confused by this because the ads running in my campaign that have the lowest Average Position are not the ads that are performing the best. In fact, there seems to be no correlation between the ads that are performing best and their Average Position. The ads that are performing the best are not the ones with the lowest Average position. I don’t understand how to utilize this “Average position” if it’s not indicating how the ads are performing. So, I guess the question is: How should we utilize an ad’s “Average position” in the grand scheme of things?
To answer your questions briefly:
1) The CTR and conversion rate are always the figures you should be looking at when it comes to measuring the effectiveness of your ads. So ads that attract more clicks will have a high CTR, but this doesn’t mean much unless the clicks end up converting to customers / sign ups.
2) % served shows the rate each ad is served compared to other ads. So if one ad has 70% served against it, that means 70% of the time one of your ads is shown, it’s this one. The other ads make up the remaining 30% of ad displays. Google only show the best performing ads over time, so they will gradually phase out ads that don’t attract many clicks in favor of the ones with a higher CTR. That’s why the percentages seem much higher for some ads.
3) Average position relates to your ad position within the search results. So if your bid is high enough, your ad will appear in a higher average position. Ads that don’t perform well or don’t have a high enough bid rate on their trigger keywords will show in a lower average position. You don’t control this particular metric – it is controlled by your ad positions as determined by Google.
Hope this helps!
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