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Feb 20, 2011
A Great Quality Score Improves your Add Rank
Your Ad rank refers to how Google determines where your add position will be placed on a page. By increasing your quality score, you can reduce you ad click costs.
For Google an ad's position on the their Search Network is based on the keyword's CPC bid times its Quality Score.
Many factors affect a keywords quality score:
Clickthrough rate (CTR) on Google
The relevance of the ad and keyword to the search query
Historical keyword performance
and other relevancy factors that Google won't tell us about
For ad placement in top positions above Google search results, they use the same formula, based on your Quality Score and CPC bid. However, only top-ranked ads --- ads that exceed a certain Quality Score and CPC bid threshold - are eligible to appear in these positions.
The CPC bid threshold for an above the search results placement is determined by the keyword's Quality Score. The higher Quality Score, the lower the CPC threshold. This ensures that quality plays an even more important role in determining the ads that show above search results.
To improve you quality score, make sure you AdGroup only includes specific keywords that all relate, your ad text should include your keyword and relevant descriptive text and your landing page and supporting pages on your website should support the relevancy of these keywords and ad.