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New Adwords Features make bid optimisation essential for success

New Adwords Features make bid optimisation essential for success

Google AdWords is rolling out a new ad extension called structured snippets over the coming weeks. While this looks to be a great feature for advertisers, it also makes your bidding strategy against competitors more important than ever.

Ad extensions are an excellent way to highlight the unique qualities of your company and products or provide useful information to users before they click your ad. Using this feature also creates larger ads that take up more space, pushing other ads further down the page, and possibly even below the fold.

Let’s look at some AdWords ads, so we can see how ad extensions affect the size of your ads.

hotel_booking_with_extensions

This ad contains some extensions, including callout extensions, consumer ratings, review extensions, and their Google+ rating. The total size of this ad is almost three times that of the standard ad (which you can see below).

hotel_bookings_without_extensions

It’s also worth noting that the example above doesn’t even cover all available extensions. You can add extensions that list how many followers you have on social media, your store or office locations, links to additional pages on your website, call buttons, app download buttons and more. The new structured snippets ad extension is a new addition to this already impressive list.

Structured snippets allow you to expand and provide greater context to your ad by highlighting specific information about the product or service you are offering. This information provides users an additional reason to click on your ad instead of a competitor. As with all ad extensions, use of structured snippets may also help to increase your ad rank and improve the position in which your advertisement is displayed on the Google Search and Display networks.

structred_snippet_example
An example of an advertisement using the ‘style’ snippet. Example from Google AdWords Help Centre.

Ad extensions can make a dramatic difference to how an ad appears. Ads displayed in position two can be displayed quite prominently, or not, depending on the ad extensions used by the advertiser above them.

When creating an ad, it’s important to utilise as many ad extensions as you can (and that make sense for your ad). Doing so and bidding aggressively gives you the advantage of being able to claim the majority of space above the fold on most devices. In fact on mobile and tablet devices, you may even be the only result visible without scrolling down.

As with any bidding strategy, though, it’s vital to balance your bidding against the value that the associated traffic delivers. This is where a bid optimisation solution can assist.

By evaluating the profitability of your ads and targeting, bid optimisation technology can automatically increase bids on your most profitable ads, taking up more real estate and claiming a larger share of the market.

On less valuable keywords, it can lower bids to maintain positive ROI, while remaining as competitive as possible. Your competitors will then need to continue to pay the higher advertising costs, potentially to the detriment of their profit margins.

Should your competitors ever drop their bids to reduce cost, your bid optimisation technology is ready to step in and increase your bids to claim the higher position.

Using ad extensions is a great way to gain exposure and claim additional real estate on the Google search results page. However, you still need to have an intelligent bidding strategy to ensure that your most profitable audiences are still seeing your ads. Learn more about structured snippets at the Google AdWords Help Centre.

What do you think about the new AdWords features? Tweet them to me at @nathan5ri
 

If your ads aren’t utilising all possible ad extensions, or you don’t have a bid optimisation solution to ensure you are not missing valuable clicks and conversions, contact Metrixa today! Try our Free AdWords Audit.