PPC ad auctions function through a real-time bidding system. When a user searches for a specific keyword on a search engine, the auction is triggered. Advertisers bid on that keyword, indicating the maximum amount they are willing to pay for a click on their ad. The bid amount, along with other factors like ad relevance and quality, determines ad placement in the search results. The highest bidder doesn't always secure the top spot; ad rank is also influenced by ad quality. When a user clicks on
In theory in a 2nd price ad auction you should be able to win the auction as long as you are bidding higher than the next highest bidder. For example if you are bidding $3 dollars and the next highest bidder is bidding $2.90 you should win the auction with a CPC (Cost Per Click) of $2.91.
Each time an ad is eligible to appear for a search, it goes through the ad auction. The auction determines whether or not the ad actually shows and in which ad position it will show on the page. Here's how the auction works: When someone searches, the Google Ads system finds all ads whose keywords match that search.
Comments (4)
Jeremy E.
1
Online Marketing Expert and Blogger
PPC ad auctions function through a real-time bidding system. When a user searches for a specific keyword on a search engine, the auction is triggered. Advertisers bid on that keyword, indicating the maximum amount they are willing to pay for a click on their ad. The bid amount, along with other factors like ad relevance and quality, determines ad placement in the search results. The highest bidder doesn't always secure the top spot; ad rank is also influenced by ad quality. When a user clicks on
Raman Jattana
2
CEO
PPC company can start your promotion campaign at the lowest cost to help your business.
Leonor C.
7
Marketing
In theory in a 2nd price ad auction you should be able to win the auction as long as you are bidding higher than the next highest bidder. For example if you are bidding $3 dollars and the next highest bidder is bidding $2.90 you should win the auction with a CPC (Cost Per Click) of $2.91.
Robert Smith
7
Technology Expert
Each time an ad is eligible to appear for a search, it goes through the ad auction. The auction determines whether or not the ad actually shows and in which ad position it will show on the page. Here's how the auction works: When someone searches, the Google Ads system finds all ads whose keywords match that search.