Australian Internet Advertising.

A Quick Guide to The Working of The Search Ads


Paid advertising on the internet has been revolutionary in the marketing industry. The huge pool of users, which the internet holds make it an excellent platform for advertisers. Google is one of the leading search engines and consequentially, the most famous platform of internet marketing.

Search Ads are effective because unlike conventional advertisement methods, they do not shadowbox in the air. Internet marketing is very precise because it caters to the explicit requirement of a user. This naturally increases the likelihood to generate a conversion for your business.

If you are looking for someone to manage your advertisement campaigns, you must consider Australian Internet Advertising. They offer assistance in digital marketing to customers all over Australia. AIA was the first agency in Australia to be certified by Google. Additionally, AIA is also the marketing partner of Facebook, Bing, Shopify, etc.

What Does a Search Ad Mean?

While using the search engine, you might have come across the sponsored ads. In the case of Google, one of the most common ads is search ads. At the top of the SERP, a few banners appear which resemble an ordinary search query, but at the top left corner of the banner, they have the word “Ad” mentioned. This signifies that they are paid ads.

Working of Search Ads-

While using Google Ads, the advertiser pays Google each time any user views or clicks on the Ad. The paying modes are further of two types:

1- PPC- Stands for Pay-per-click. The advertiser pays to Google each time the Ad is clicked on. No matter how many times your ad appears in the SERP, you will be charged only when it is clicked on.

2- CPM- abbreviation for Cost-per-mille. The advertiser pays a specified sum to Google every 1000 times the ad is seen. No matter the ad is clicked or not, just its appearance is relevant.

There are four main types of matches in Google Ads viz:

1- Exact match- similar to the keyword stuffing technique, in this method, you look for the exact match of the phrase.

2- Phrase match- in this case, words can be added to the exact search query.

3- Broad match- in this method of targeting, much is left to the intellect of Google. Here, the result is shown in the exact search phrase, in the words added to the exact search phrase, and also in a broad variety of search queries which Google thinks, are relevant.

4- Modified Branch Match- this is the latest addition to the PPC campaign. It is on similar lines to the broad match. The only difference is that you can tell Google that what words are to be added.

How Are Ads Ranked?

Multiple factors are at play to determine the rank of an ad. The bid of the advertiser, the quality of the ad, and the ad’s impact determine the rank of the ad on SERP. Google uses a second-prize auction method which essentially means that the advertisers are not required to pay the full price.

Instead, they have to pay the amount, which is required to beat their nearest competitor. If Google simply sold the ad ranks to the highest bidders, the SERP would be deluged with irrelevant ads. Google doesn’t want that because it gives high priority to the user experience. Thus, the Ad quality is the dominant factor in determining the rank.

A few factors which determine the Ad rank are:

1- Expected click-through rate- Google draws an estimation of the likelihood of someone clicking on your ad. This is done by an AI system that learns from the user behaviours. The ads which are clicked are upvoted in the system and Google shows only those ads which the user is likely to click on.

2- Landing page exp- Google gives high value to user experience. If the landing page is fast in loading, has the relevant content which the user needs, is easy to navigate, is free from pop-ups, etc. then the rank of the ad automatically gets boosted.

3- Relevance of the ad- Google is determined to show only the relevant content to the user. The content of each ad is analysed in relation to the quality of the search query. This ensures the relevance of the ad and user query.

4- The format of the ad the expected impact of the ad is also one of the determining factors.


Paid marketing is an efficient method of expanding the horizons of your business. You must incorporate it in your conventional marketing tactics.

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