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Insight27 December 2011

Adwords Unveils new Top-of-Page Bidding Options

Adwords is an advertising platform, which is a major source of revenue for Google. It is estimated that Google will earn advertising revenues in excess of US $ 30 billion this year. Adwords typically allows three forms of advertising. 1. Pay-per-click advertising

  • It allows marketers to advertise products and services. This is done by providing text Ad on the search results page whenever visitors search for a particular keyword which has relevance to the product or service offered by the marketer. These Ads are typically made up of three lines, a title line and two descriptive lines. It also has the URL of the website or webpage of the advertiser. 2. Cost-per-thousand (CPM) advertising. 3. Site-targeted advertising in the form of text, banner and rich-media ads. An internet marketing company utilizes the PPC advertising platform to advertise their client's offerings. Bids are placed for the three prominent positions; top, right and now bottom too. The bidding allows marketers to choose the page as well as the position of that Ad on that particular page. Higher positions typically require higher bidding. Research has shown that users do not scan past the first page for their requirements. Apart from the text Ad, Google also provides search results whenever users type in their queries in the form of keywords. The links that appear on the search results page is called organic search or automatic search. Website owners are likely to get traffic from both paid and organic search. The difference between the two is that the casual surfers are not really interested in any offerings, whereas users clicking the paid Ad more often than not are on the lookout to buy products or services. The AdWords program also has the feature to target Ads for a particular geographic location; which includes local, national, and international options. Advertisers select keywords that they feel have high search factor and which is relevant to their offerings. In this way they are assured of maximum traffic whenever their Ads are triggered. The order of the Ad listing depends on the advertisers' bids and also on the quality scores of all Ads that show up on the results page. Quality scores depend on the following factors. 1. Click rates
  • past and current. 2. Advertiser's text Ad relevance to the keywords that are selected for bidding. 3. If an advertiser bids for lower amount the search engine takes into account several related factors such as the quality of the content, its freshness, originality and relevancy. In its recent announcement Google has advised internet marketing services companies to compare the performance between the top of the page text Ads and those appearing on the right and bottom. It also mentions know how high they had to bid for those positions. This feature can be used via AdWords Editor 9.7.1. This tool allows users to see top-of-page bid estimates. They can then raise the bids using advanced bid changes. They can also filter the keywords based on top-of-page bid estimates. Advertisers can now create their bidding by selecting "All online campaigns". Next they need to click on the "Keywords" tab and click on the "Automate" button. Finally, they need to select "Raise bid to top of page CPC" to complete the formalities. Advertisers bidding for such a rule need to bid for the highest.
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