Google is constantly maintain a healthy tension in the results page of the search engine (SERP ) between real estate ad more space and less advertising space. More advertising space means more opportunities for advertisers to reach their audiences, while less advertising space enables a cleaner user experience, less crowded.
The last set of changes Google made in February 2016, aimed to address this tension. Google has updated the display of the SERP deleting standard text ads right rail and by increasing the number of text ads above the organic results in four (from the previous maximum of three) for certain queries ” very commercial. ” This change applied to the desktop SERPs.
Overall, how does the impact of the change in the market?
It seems that advertisers spend the same budget amount for the same volume of clicks. The top of the listing positions cost a little more -. No surprise here
For smaller advertisers that have relied on low volume, long tail terms, the change will cause problems. It will cost more to reach a top position, and they will see fewer impressions and clicks for the cheaper lower positions. Their overall volume will decrease.
In general, the changes continue to grow search marketing to a more complex and competitive environment. The ability to manually manage campaigns becomes much more difficult -. The need for machine learning aligned with granular data becomes the norm (automated trading as the stock markets)
Change is good: less clutter and more relevant ads is a good thing. Advertisers pay only for investments that produce results, which means that consumers get the value of ads.
The current results should show a slight increase in turnover – granted, this is the POV of research data from Adobe. Delays in fewer impressions, high CTR and change in CPCs in the positions giving the indication that Google has done a good change.
(Also, it has not yet examined the impact of PLA investments, which remain in the railway right. We could see higher performance there with a cleaner right rail .)
What are the data?
Let’s dig in a little data.
Advertisers issue had on their minds was whether these changes lead to fewer consumers clicking on ads.
First, the argument was that by showing fewer ads, users experience less ad impressions – and therefore, advertisers would not be able to spend their budgets effectively . Moreover, the argument was that by showing fewer ads, only the most relevant ads are shown. In response, consumers click on more impressions, as well as the total number of impressions would be less than before.
After nearly three months, we here at Adobe have developed the first results by examining aggregate data / anonymous of our search advertising clients. Overall, the change seems to have had a positive impact for most advertisers / consumers and will likely result in a slight increase in the activity of Google. Explain why.
As expected, the volume of total printing fell 10 percent in the United States. Fewer ads displayed equals fewer ad impressions. The absence of right rail ads, combined with the fact that Google does not always display an advertisement in the fourth position, led to a significant change in the behavior of advertisers by forcing them to advertise on the second and third positions.
Now the big question: How the new SERP display changed CTR, CPC and overall performance
CTR changed in positions 1, 3 and 4 to US, while position 2 remained unchanged.
- Position 1: 13 percent
- Position 2: unchanged
- Position 3: 2 percent
- Position 4 : 18 percent
Note that the higher clickthrough rate means that on average, consumers are more likely to click on an ad when they see one. This, we believe, is because with fewer ads, consumers are faced with less choice and are more likely to click on the available options.
SCD increased slightly for positions 1 and 2, but fell for positions 3 and 4.
Based on the change in the positions we have seen we believe that advertisers place a higher value on the first two positions, and they are more competitive than the positions 3 and 4. as seen the new layout is familiar, that could change.
- Position 1 + 6 percent
- Position 2: +7 percent
- Position 3: -10 percent
- Position 4 : -8 percent
regarding ad performance for advertisers, we need more time to determine a conclusive result, because users are still adjusting their buying behavior for new ad formats.
This post originally appeared on SearchEngineLand.com.