Understanding Google Ads Ranking
A guide to how ads are positioned and what determines their visibility
What is Ad Rank and Why Does It Matter?
Ad Rank is Google’s system for determining:
- Whether your ads are eligible to show at all
- Where your ads will appear on the search results page
Understanding Ad Rank is crucial because it directly impacts:
- Your visibility to potential customers
- How much you pay per click
- Your overall return on advertising investment
How Ad Rank Works
The 6 Key Factors That Determine Ad Rank
- Your bid amount – This is the maximum you’re willing to pay for a click, but you often pay less.
- Ad quality and landing page experience – Google evaluates how relevant and useful your ads and landing pages are to users.
- Ad Rank thresholds – Minimum quality requirements an ad must meet to appear in certain positions.
- Auction competitiveness – How your ad compares to competitors targeting the same keywords.
- Search context – The person’s location, device, time of search, the nature of their search terms, and other factors.
- Expected impact from ad assets and formats – How additional elements like phone numbers or sitelinks affect performance.
Why Your Ads Don’t Always Show in the Same Position
Google recalculates Ad Rank for every search query and for every page of search results. This means:
- Your ad might appear at the top of page 1, but lower down on page 2
- Your ad might not appear at all on some searches
- Your position can change even if your bid remains the same
Think of it like this: Each search triggers a new auction with potentially different competitors and contexts. Just like in a real auction, the winning bid and position can change each time based on who’s participating and what they’re offering.
Understanding Quality Score: The Key to Better Positions at Lower Cost
Quality Score is a diagnostic rating (1-10) that indicates the quality of your ads, keywords, and landing pages. Higher scores can lead to:
- Better ad positions
- Lower costs per click
- Eligibility for ad extensions and other formats
The 3 Components of Quality Score
| Component | What It Means | How to Improve |
|---|---|---|
| Expected Clickthrough Rate (CTR) | How likely users are to click your ad when it’s shown | Create more compelling ad text with clear calls to action |
| Ad Relevance | How closely your ad matches what the user is searching for | Group similar keywords together and create specific ads for each group |
| Landing Page Experience | How relevant and useful your landing page is to visitors | Ensure landing pages deliver what your ad promised and load quickly |
Example: How Quality Score Can Beat Higher Bids
Advertiser A
Bid: $2.00
Quality Score: 10
Ad Rank: 20
Position: 1st
Actual CPC: $1.01
Advertiser B
Bid: $4.00
Quality Score: 4
Ad Rank: 16
Position: 2nd
Actual CPC: $2.01
In this example, Advertiser A gets a better position at half the cost because of their higher Quality Score.
5 Practical Ways to Improve Your Ad Positions
What You Can Do Right Now
-
Improve ad text relevance
Make sure your ads directly address what users are searching for. Include the keywords in your ad text when appropriate.
-
Reorganize your keywords
Group similar keywords together into tightly themed ad groups. This allows you to create more specific, relevant ads.
-
Enhance your landing pages
Ensure they load quickly, are mobile-friendly, and clearly deliver what your ad promised.
-
Test different ad variations
Create multiple versions of your ads to see which ones perform better, then focus on the winners.
-
Consider selective bid increases
Once you’ve improved quality, strategically increase bids on your most important keywords.
Common Questions
Even with an unlimited budget, you cannot guarantee top positions 100% of the time. This is because:
- Ad position depends on both bid AND quality
- Google recalculates Ad Rank for every search query
- The auction context changes with every user search
- Different searches may attract different competitors
Google runs a separate auction for each page of search results. Your ad’s performance on previous pages can affect its Ad Rank on subsequent pages. This means your ad might appear in different positions across different pages.
In your Google Ads account, you can view your Quality Score and its components (Expected CTR, Ad Relevance, and Landing Page Experience) for each keyword. Look for components rated “Below average” or “Average” – these are your opportunities for improvement.
Quality Score updates are typically reflected within a few days to a week after changes are implemented. However, significant improvements in ad position may take longer as Google gathers more data on your ads’ performance.
Pro Tip: Rather than focusing exclusively on being #1 for every search, consider your overall return on investment. Sometimes, a slightly lower position with a much lower cost-per-click can yield better overall results for your business.
Summary: The Path to Better Ad Positions
Remember these key points:
- Ad Rank determines your ad position and is calculated using both bid amount AND quality factors
- Google recalculates Ad Rank for every search query and page of results
- Improving Quality Score often leads to better positions without increasing bids
- Focus on creating relevant ads and useful landing pages that match user intent
- Track performance over time rather than focusing on individual searches
The most successful advertisers balance strategic bidding with continuous quality improvements to achieve the best possible ad positions at the lowest possible cost.
