Google: Ad position doesn't affect conversion rates

[$5 submissions]

This might be good news for people running adwords campaigns. Less emphasis on jacking up your bid or fucking with the quality score. More focus on writing ads that get clicked!

http://adwords.blogspot.com/2009/08/...h-with-ad.html

We have used a statistical model to account for these effects and found that, on average, there is very little variation in conversion rates by position for the same ad. For example, for pages where 11 ads are shown the conversion rate varies by less than 5% across positions. In other words, an ad that had a 1.0% conversion rate in the best position, would have about a 0.95% conversion rate in the worst position, on average. Ads above the search results have a conversion rate within ±2% of right-hand side positions.

[PornMD]

This might be good news for people running adwords campaigns. Less emphasis on jacking up your bid or fucking with the quality score. More focus on writing ads that get clicked!

http://adwords.blogspot.com/2009/08/...h-with-ad.html

We have used a statistical model to account for these effects and found that, on average, there is very little variation in conversion rates by position for the same ad. For example, for pages where 11 ads are shown the conversion rate varies by less than 5% across positions. In other words, an ad that had a 1.0% conversion rate in the best position, would have about a 0.95% conversion rate in the worst position, on average. Ads above the search results have a conversion rate within ±2% of right-hand side positions.

Heh, if I were paying for some higher spots, I'd be kinda pissed reading that.

[Pleasurepays]

Heh, if I were paying for some higher spots, I'd be kinda pissed reading that.

no... because the placement gives you more clicks.

[corvette]

good read, love these types of threads of yours

[beemk]

its the amount of traffic, obviously the quality of the traffic is going to be the same if its coming from the exact same page.

[EscortBiz]

they need to start placing advertisers on top of regular listings

[Iron Fist]

If thats the case why does Google charge you an arm and a leg on "Quality Score"...

Rip off...

[ztik]

From my data that is not true at all

If you have an ad say in spot 6 vs spot 1 you will be getting 1) users who are more selective and looking for something very specific or(they kind of go together) 2) users who have already visited the ads before and not found what they wanted

[NY Jester]

I agree that just because you're listed with Google doesnt guarantee clicks, but I disagree that higher positions dont make better ratios. The concept is that traffic = conversions. So theoretically the higher you are in the SE's the more clicks therefore the more conversions.

[DonovanTrent]

I agree that just because you're listed with Google doesnt guarantee clicks, but I disagree that higher positions dont make better ratios. The concept is that traffic = conversions. So theoretically the higher you are in the SE's the more clicks therefore the more conversions.

I think they're talking conversion RATE, not NUMBER of conversions. %, not quantity.

[DamageX]

...unless the ones placed above you sell the same thing.

[beemk]

they need to start placing advertisers on top of regular listings

they already do. havent you ever used adwords?

[$5 submissions]

Heh, if I were paying for some higher spots, I'd be kinda pissed reading that.

That's an understandable sentiment. It's also obvious that this makes ROI analysis even more important in light of the difference.

[seeandsee]

google know based on what?

[96ukssob]

I believe this is true. But make sure you read this and understand that there is very little correlation between average position and conversion rates.

However, it will have an impact on your cost per acquisition. If your in a higher position you will pay more per click and vice verse for a lower position. If you are in a market where you have a surplus of traffic, then there is really no need to bid for top position, but if there is a shortage, then its the other way around.

[$5 submissions]

google know based on what?

[PR_Sebas]

Thanks for that. Just started looking into buying some of those ads.

[GatorB]

Heh, if I were paying for some higher spots, I'd be kinda pissed reading that.

who are you going to be pissed at YOURSELF? The advertiser chooses what he wants to pay. Also any advertiser with a little common snese would be testing his ad at different posisitions anyways. Also an advertisor with a very good quality score might not be paying that much for a top ad anyways.

[PornMD]

who are you going to be pissed at YOURSELF? The advertiser chooses what he wants to pay. Also any advertiser with a little common snese would be testing his ad at different posisitions anyways. Also an advertisor with a very good quality score might not be paying that much for a top ad anyways.

It could just be my lack of experience in advertising and buying traffic, but with most things people buy, the more you buy the better rate you get (or better quality or SOME kind of benefit over someone buying in lesser amounts). However looking at this, you'd be expected to pay a higher amount per click simply to get more clicks and you wouldn't get any additional benefit per Google's own analysis (okay, slightly higher conversion but nothing significant). Just sounds like going to Costco and paying MORE for bulk, but I'm sure I'm missing something with this.

[who]

Of course it doesn't affect conversion rates. Unless you consider the fact that a lower position attracts more of the potential converters than a higher position, which attracts purely higher numbers...

[BestXXXPorn]

Google is Fail IMO... I have been completely disillusioned by them.

I can't think of a single service they're offering that someone else isn't doing better.

Their customer service is the worst I have ever experienced on any level at any company anywhere... They over billed me, I can't even get in touch with them, and I have no recourse. They take a week to respond to emails and you can't talk to anyone over IM or phone... horrible. I'm just stuck paying the bill...

The quality score is complete BS, their UI design sucks, and the way they treat their customers is the worst in the industry. They're spreading themselves too thin by trying to involve themselves in every market and their innovation is shrinking by the day.

Fuck Google and the horse they road in on...

[GatorB]

It could just be my lack of experience in advertising and buying traffic, but with most things people buy, the more you buy the better rate you get (or better quality or SOME kind of benefit over someone buying in lesser amounts)..

I suggest reading up on how adwords actually works.

[who]

Google is Fail IMO... I have been completely disillusioned by them.

I can't think of a single service they're offering that someone else isn't doing better.

Their customer service is the worst I have ever experienced on any level at any company anywhere... They over billed me, I can't even get in touch with them, and I have no recourse. They take a week to respond to emails and you can't talk to anyone over IM or phone... horrible. I'm just stuck paying the bill...

The quality score is complete BS, their UI design sucks, and the way they treat their customers is the worst in the industry. They're spreading themselves too thin by trying to involve themselves in every market and their innovation is shrinking by the day.

Fuck Google and the horse they road in on...

I only agree that the AdWords interface is horribly fierce and ugly (the new one, not the old one). Basically if you throw money their way, they will hop up and down trying to catch it. Just make them aware of the numbers involved... and they will be very willing to help you.

[BestXXXPorn]

I only agree that the AdWords interface is horribly fierce and ugly (the new one, not the old one). Basically if you throw money their way, they will hop up and down trying to catch it. Just make them aware of the numbers involved... and they will be very willing to help you.

I tried that approach as well, I even had a $5k a day spend limit in there... didn't do me any good.

My statements also hold true to other areas... Google Maps... Every street address I've lived at has been completely wrong... Bing, Map Quest, any other maps sites; they're all correct.

Google's search UI has been the same for how many years? Sure they've added Products / Shopping and other features but everyone else that focuses on that feature is doing it better. Even Bing is better than Google, AJAX load on page scroll for images, play clips from the search page, etc... while they still arguably have the best "results" algorithm. That could change overnight. The only thing that's propping them up is their brand. When people want to search for something they're preprogrammed for Google.

Everyone is advancing but Google is so broad and is trying to push in so many directions that they aren't doing ANYTHING really well. It's an old rule of business that you focus on what you do really well and deliver. Spreading yourself too thin dilutes your efforts and produces a ton of mediocre results. That's what I'm seeing from Google now...

[gideongallery]

google know based on what?

probably analystics

[kektex]

Sadly, after regular organic traffic, adwords traffic has to be one of the best available.
Neither Yahoo Search Marketing or Bing (msn) come close to matching it in quantity or quality.

I have been doing some mainstream PPC marketing for a while now and if the people in adult are surprised at cross sales and shady shit, you should see the kind of stuff people in mainstream are pulling. Endless rebills for BS pills like acai, putting a fake Oprah endorsement on the landing pages,etc.

Google is cracking down HARD on rebills for a few weeks now and the people in mainstream that were running that bullshit Acai thing are panicking. But most of them made a shitload of money.

I am still trying some other stuff on PPC that does well, but for some reason I keep coming back to adult

But the money is much easier in mainstream no doubt. The past two years were insane in mainstream.

[ExLust]

Thanks for sharing.

[DamageX]

It could just be my lack of experience in advertising and buying traffic, but with most things people buy, the more you buy the better rate you get (or better quality or SOME kind of benefit over someone buying in lesser amounts). However looking at this, you'd be expected to pay a higher amount per click simply to get more clicks and you wouldn't get any additional benefit per Google's own analysis (okay, slightly higher conversion but nothing significant). Just sounds like going to Costco and paying MORE for bulk, but I'm sure I'm missing something with this.

When it comes to advertising and traffic there are other advantages related to getting the lion's share of the exposure. Namely, not only do you get the traffic, YOU ALSO PREVENT THE COMPETITION FROM GETTING IT. Get used to it, paying a premium for bulk (targeted) traffic is here to stay.