SAScon June 2014 - PPC Quality Score

Date // Version 1.0 // Copyright 2014 Latitude Digital Marketing Ltd. All rights reserved // Prepared by Latitude for client name

Quality Score – Separating the Myths &

Facts


Introducing…Our Panel

Digital Marketing is our bread and butter.

Entrepreneurial in spirit and natural problem solvers.

Work with businesses from

all sectors and sizes, helping

them grow.

Natural born digital to English

translators.

Dave TrolleHead of Direct Response, Summit

Alistair DentDirector of Paid Media, Periscopix

Ben Wightman, Head of Paid Search, Latitude


Quality Score

Defined


A definition…What is Quality Score?





them grow.


translators.

“Quality Score is an estimate of how relevant your ads, keywords and landing page are to a person seeing your ad.”

https://support.google.com/adwords/answer/2454010?hl=en-GB





A definition…What is Quality Score?





them grow.


translators.

“…quality score shows you how competitive your ads are in the marketplace by measuring how relevant your keywords and landing pages are to customers' search queries and other input.”http://advertise.bingads.microsoft.com/en-uk/help-topic/how-to/50813/what-is-my-quality-score-and-why-does-it-matter

http://advertise.bingads.microsoft.com/en-uk/help-topic/how-to/50813/what-is-my-quality-score-and-why-does-it-matter




QS interpretationWhat is Quality Score?

Quality score is expressed at keyword level as a mark out of 10 for your usefulness to the searcher. The scores might be interpreted as…

10987654321

Vital (usually given to navigational keywords)

Useful (ad answers the query just right)

Relevant (ad gives a less comprehensive answer)

Not Relevant (however ad is somewhat connected)

Off-topic (ad is completely irrelevant)


QS IngredientsWhat is Quality Score?





them grow.


translators.

• Keyword historical CTR• Display URL historical CTR• Account historical CTR• Landing page quality• Keyword-ad relevance• Keyword-search relevance• Geo performance• Image ad performance (per placement)• Device performance


Quality Score Factors (Estimated)

CTR

Ad & Keyword Rel-evance

Landing Page Rel-evance

Other Factors




QS impactWhat is Quality Score?





them grow.


translators.

Quality Score influences:

• how frequently you can enter the ad auction• your actual cost-per-click• keyword first page bid estimates• keyword top-of-page bid estimates• ad position• eligibility for ad extensions & other ad formats

Higher Quality Scores = lower CPC and higher ad positions






Quality Score in

action


In the auction…Quality Score in action




translators.

The Auction Formula: Ad Rank = (Max CPC bid * QS) + extension impact

Let’s suppose three advertisers compete for the top-of-page ad placements as follows and extension impact is equal;

Max CPC Bid Quality Score Ad Rank Ad Position Avg CPC

Advertiser A £10.00 x 5 50 3 £10.00

Advertiser B £8.00 x 7 56 2 £7.15

Advertiser C £6.00 x 10 60 1 £5.61

Advertiser C wins top ad position, while Advertiser A pays the highest cost-per-click!


In the account…Quality Score in action




translators.

1 2 3 4 5 6 7 8 9 10 1 2 3 4 5 6 7 8 9 10

CTR 0.0034469551895825

4

0.0025804866060457

1

0.0092725770419561

2

0.0077525841947315

8

0.0067339268989555

3

0.0066713626229050

1

0.0096448398100461

5

0 0.0150351827048237

0.0175656450695065

CPC 0.537777777777778

0.61952380952381

0.691936193619362

0.530713073005094

0.566047535211267

0.554668411867365

0.56693018955155

0 0.54861982434128

0.499150757838712

£0.05

£0.15

£0.25

£0.35

£0.45

£0.55

£0.65

£0.75

0.1%

0.3%

0.5%

0.7%

0.9%

1.1%

1.3%

1.5%

1.7%

1.9%

Quality Score: Avg CPC vs CTR

Quality Score


Impact on Keyword performance…Quality Score in action



translators.

28-Mar

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1

2

3

4

5

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8

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10

£5.00

£10.00

£15.00

£20.00

£25.00

£30.00

£35.00Quality Score, CPC & Avg Pos: Example Keyword

Quality Score Avg. position Avg. CPC


Quality Score Myths

& Facts


Questions for the

Panel


Thank you….