How much you pay for Adwords Ads compared to your competitors is the basis of the Ad Rank Algorithm. In simple terms, the best Ad Rank gets the no.1 position in Adwords for the best price.
In the past your Ad Rank = CPC Bid x Quality Score. CPC Bid is how much you are prepared to pay for a click and Quality Score is classed as the quality of your Ad and the relevancy of the Landing Page.
The new Ad Rank Algorithm now takes into consideration the impact of Ad Extensions and if they are being used successfully within your Ads. Ad Extensions include Phone Numbers for Mobile Searches, Store Addresses, Sitelinks, Offers, Social Extensions and Review Extensions.
Now, if Google thinks your Ad Extensions are better performing, more relevant and will get better click through rates than your competitors, your Ads are likely to be shown higher.
If you have not yet moved to Ad Extensions, now is the time to adopt this functionality to ensure you can compete successfully against other businesses buying for the same keywords. Let Business Catalyst SEO analyse your Adwords to ensure you are making the most out of Ad Extensions.