Q: Singh’s marketing company has created an enticing ad that receives many clicks. What effect will the ad likely have on the Google Ads auction?

A) The advertiser will receive more bids in the auction.
B) The higher expected click-through rate will lead to a higher Ad Rank.
C) The ad will lead to a higher cost-per-click for the advertiser.
D) The quality of the ad will ensure the ad’s cost-per-click will be reduced by at least 40%.

Correct Answer is B) The higher expected click-through rate will lead to a higher Ad Rank.

Explanation:

When an ad receives many clicks, it is likely to have a positive effect on the Google Ads auction. The Google Ads auction is a real-time auction that takes place whenever a user performs a search that matches the keywords associated with an advertiser’s campaign.

In the auction, Google uses a combination of relevance, bid, and ad quality to determine which ads to show to users. If an ad receives many clicks, it is considered to be high quality and relevant, and this will likely increase its chances of winning the auction and being shown to users.

Additionally, the high click-through rate (CTR) of the ad can also increase its Quality Score, which is a rating assigned by Google to measure the overall relevance and quality of an ad. A higher Quality Score can result in lower costs-per-click (CPC) and improved ad positions for the advertiser.

In summary, if Singh’s marketing company’s ad receives many clicks, it is likely to have a positive effect on the Google Ads auction by increasing its relevance, quality score, and chances of winning the auction and being shown to users.

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