How does Google AdWords work? Ad position
Google has published an excellent video explaining how Google AdWords works and gives insight on how ad position is determined. I recommend that any website owner watch this video to understand how he can advertise his website effectively using Google AdWords.
Google Ads are ranked by a metric Google calls Quality Score and the amount advertisers are offering to pay per click. Though many advertisers try to improve the position of their ad by offering to pay more money, improving your ad’s Quality Score is often a better approach. Why? Better quality ads generate more business and save money.
Optimizing for Google’s Quality Score can help you, because the way Google calculates ad quality is generally in the end-user’s (e.g. your customer’s) best interest. Better quality ads are probably going to be clicked more often, result in better qualified leads, and thus are more likely to lead to a purchase.
Again, I highly recommend you watch the entire video!
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