what is the cpc if two competitors have the same quality score of one keyword

Discussion in 'Google AdWords' started by dailyearn, May 22, 2012.

  1. #1
    what is the cpc if two competitors have the same quality score of one keyword
     
    dailyearn, May 22, 2012 IP
  2. Lynne A

    Lynne A Guest

    Messages:
    42
    Likes Received:
    2
    Best Answers:
    0
    Trophy Points:
    0
    #2
    CPC depend on how much people are willing to pay for the click.

    I still don't understand your question.
     
    Lynne A, May 22, 2012 IP
  3. AdWords-Team

    AdWords-Team Peon

    Messages:
    39
    Likes Received:
    0
    Best Answers:
    0
    Trophy Points:
    0
    #3
    Same quality score not mean same CPC. it's also depend on position and other factors as relevant, ROI, click, impression...
     
    AdWords-Team, May 23, 2012 IP
  4. Lucid Web Marketing

    Lucid Web Marketing Well-Known Member

    Messages:
    2,012
    Likes Received:
    41
    Best Answers:
    0
    Trophy Points:
    140
    #4
    The basic formula for what you pay is as follows:

    Cost = QS(a) * bid(a) / QS(b)

    where QS(a) is the QS of the ad below you, bid(a) their bid and QS(b) your own QS.

    Therefore, two advertisers with same QS will pay differently as they could have different competitors, different ads below them. Ad rank is determined by the multiplication of your QS and bid.

    Remember too that QS is shown as a whole number but Google calculates to many decimal places. It is virtually impossible for two advertisers to have the exact same QS down to the last decimal. Chances are, their bids will be different too so one will be ranked higher, even if that were the case.
     
    Lucid Web Marketing, May 23, 2012 IP
  5. Natively

    Natively Active Member

    Messages:
    163
    Likes Received:
    5
    Best Answers:
    0
    Trophy Points:
    58
    #5
    Here's what Lucid Web Marketing said explained in a video by Google's chief economist:
    http://www.youtube.com/watch?v=qwuUe5kq_O8
     
    Natively, May 24, 2012 IP