Improved top ad placement formula now in effect

[GuyFromChicago]

According the AdWords blog, the new formula for determining top placement is live.

Snippet:

To recap, the key change to the formula is how we consider price. Like the formula used for ranking ads alongside Google search results, the top ad placement formula now considers an ad's maximum CPC. Previously, the formula for top placement considered an ad's actual CPC. Since actual CPC is determined, in part, by the bidding behavior of the advertisers below you, your ad’s chance of being promoted to a top spot could have been constrained by a factor you couldn't influence.

Share your thoughts, observations and comments here.

[Nacus]

I have noticed two things. First, there are far fewer of the top ads in search results for the keywords I use in my campaign. In some cases, there are no top ads in the results, which is very unusual. The second thing I notice is that the first page of results is totally different than what I am used to seeing. Usually, the first page contains the usual suspects, but not so much today. I do not know if this second point is related to the top ad issue, but there it is.

[mathewsassn]

Originally Posted by Nacus

I have noticed two things. First, there are far fewer of the top ads in search results for the keywords I use in my campaign. In some cases, there are no top ads in the results, which is very unusual. The second thing I notice is that the first page of results is totally different than what I am used to seeing. Usually, the first page contains the usual suspects, but not so much today. I do not know if this second point is related to the top ad issue, but there it is.

Thank u for your sharing

[CustardMite]

Great. Just what I need the day before a Bank Holiday weekend, is that.

Assuming that nothing's showing up in today's reporting, it'll be next Tuesday before I see the impact...

Do Google ever change things just before a National Holiday in America?

[GuyFromChicago]

Originally Posted by CustardMite

Do Google ever change things just before a National Holiday in America?

Yea, but they're getting better at not doing it. I think it was a year or two ago when they rolled out some major changes right before the holiday season here in the states.

[CustardMite]

Wouldn't be so bad, but I'm moving house at the moment, and I don't have internet access at home.

Oh well, what's the worst that can happen?

I'll have to agree with Nacus, I just scanned the results for 3 niches I pay close attention to - not one ad on the left top.

Personally, for one of my client campaigns, I've seen a drop in average position of 1 full slot over the last 7 days. Although I can't scientifically attribute that to this algo change. I posted a few screenshots at my blog.

Anyone else seeing anything?

[CustardMite]

Just noticed that for one of my campaigns, where the advert appears at the top (and always has), the cost per click just doubled.

Not totally pleased about that...

[rustybrick]

Jeremy,

You notice any increases in costs for your top ad spots?

[GuyFromChicago]

Originally Posted by rustybrick

Jeremy,

You notice any increases in costs for your top ad spots?

I'm seeing some minor changes but nothing earth shattering so far.
Here's a few examples;

term 1
mtd prior to update - ave pos 2.3, ave cpc $1.43
post update - ave pos 2.1, ave cpc $1.66
max cpc was/is $4.

term 2
mtd prior to update - ave pos 1.4 , ave cpc $7.50
post update - ave pos 1.3, ave cpc $7.26
max cpc was/is $8.

I want to watch it for a few more weeks and gather some more data to see what the "overall" effect is.

[rustybrick]

Ok, thank you.