Google has just made a big change to the way it displays search ads which could have significant impact on your business. The right hand side of search results will no longer display search ads and will only display Product Listings Ads (PLAs) on highly commercial searches. Find out what this could mean for your business, and how you can utilize these changes to your advantage.
In the past a search engine result page (SERP) would show three paid advertisements above the organic listings, a handful on the right hand side and some underneath the organic results. With the new changes, up to four advertisements will be displayed above the organic search results and there will be no ads shown to the right of the results, except for PLAs in highly competitive commercial searches (such as insurance or airfares). According to Google, the click-thru-rates (CTRs) of ads on the right hand side was poor and this new change is expected to benefit advertisers in the long run, while creating a more user friendly search experience for browsers.
The biggest change this will have for advertisers is unless you are in the top four positions- it is very likely your impressions and CTRs will diminish. Competition for the top four spots will increase resulting in higher bids needed to obtain these spots. Those businesses who do manage to snag a spot in the top four ad results will likely see an increase in impressions and CTRs. Businesses who don’t have a budget to position in the top four will need to be more selective with their keywords and compete on words with a lower CPC or will face being buried underneath organic search results.
These changes will also affect organic search results as an additional ad displayed above organic results will limit the space for organic results on each page. This and the increase of ad extensions will encroach on dwindling organic search result space. Some experts believe the new changes may actually increase the CTR of organic results on the first page as the portion of web traffic that click on right hand ads (5.61%), may now click on organic results instead. Either way vying for that sought-after first page of Google will be more difficult for organic and paid results alike.
The new changes will take on the same layout as mobile searches and will affect advertisers across all languages and around the world. The changes were rolled out on February 18th 2016, and were some of the biggest changes Google has made to the SERPS in years.
So how can you use these changes to your advantage? Paid advertisers need to be selective on their key words and bid competitively. Maintaining a high quality-score through relevant ads, keywords and landing pages, using ad extensions and maintaining strong click thru rates will help secure a top spot. Those selling products can take advantage of the product listing ads to the right and top of the browser. Businesses relying on organic search results need to ensure their SEO strategy is rock solid to compete for a first page rank. As users become more sophisticated and business categories become more competitive it will take expertise and strategy to be displayed on the coveted first page of Google.
Need help with your Adwords (PPC) or SEO? Cloud9 Marketing creates and implements results driven digital marketing strategies using the latest trends and innovations in online and search engine marketing. Contact us today and see how we can help you.