[Inside AdWords] AdWords myths: understanding the AdWords auction

[Inside AdWords Crew]

Over the past few weeks, we’ve covered a few common areas of confusion related to AdWords, including billing and spending, and keywords. This week, we’d like to wrap up this blog series by offering some helpful info on the AdWords auction.

If you have questions about how the AdWords auction works, a great place to start is with this introductory video from Hal Varian, Google’s Chief Economist.

(click to watch on YouTube)

One of the most important factors in deciding your ad’s position within the auction is its Quality Score. To learn more about how Quality Score is defined, and how to improve it, you can visit the Search Ads Quality Getting Started Guide.

Finally, remember that if you’d like to understand how bidding can affect your ad's performance in the auction, you can use the bid simulator. It will provide you with click, cost, and impression data estimating how your ad could have performed over the last seven days had you used a different bid.

These resources should give you more insight into how the AdWords auction works.

This concludes our AdWords Myths series. We hope it’s helped clarify a few things you may have been wondering about AdWords.

Posted by Miles Johnson, Inside AdWords crew

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Posted By Inside AdWords Crew to Inside AdWords at 8/25/2010 06:00:00 AM