The document discusses Google Ad Auctions. It explains that each time an AdWords ad is eligible to appear for a search, it goes through an auction to determine if it will show and at what position. The auction considers factors like the bid amount, ad quality, expected click-through rate, relevance, and landing page experience to calculate an Ad Rank value. Ads with sufficiently high Ad Rank values may show, with the top positions going to ads with the highest values. Ad Rank is thus important as higher positions lead to more clicks and conversions.

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2. What is Ad Auction?
 The process that happens with each Google search to
decide which ads will appear for that specific search and in
which order those ads will show on the page or whether or
not any ads will show at all.
 Each time an Ad-words ad is eligible to appear for a search,
it goes through the ad auction.
 The auction determines whether or not the ad actually
shows and in which ad position it will show on the page.

3. How Does Ad Auction Work?
 When someone searches, the Ad-words system finds all ads whose
keywords match that search.
 From those ads, the system ignores any that aren't eligible, like ads
that target a different country or are disapproved based on a policy
violation.
 Of the remaining ads, only those with a sufficiently high Ad Rank may
show.
 Ad Rank is a combination of your bid, ad quality, the Ad Rank
thresholds, the context of the person's search, and the expected
impact of extensions and other ad formats.

4. Ad Auction Pricing Chart

5. AD RANK
 In general, it is the value used to determine the
position of ads.
 It also determines whether ads are eligible to show.
 It is calculated by bid amount and auction time ad
quality.

6. AD RANK

7. AD RANK
 Factors to be considered for calculating Ad Rank
 Bid Amount
 Auction-time ad quality
 Expected click through rate
 Ad relevance
 Landing page experience

8. AD RANK
 IMPORTANCE OF AD RANK
 Ad rank determines the position of ads in search
result page. Hence, top positioned ad has higher
possibility of obtaining higher clicks and conversions.
 Even if our competitors has higher bids, still we can
win higher position at a lower bid amount using
keywords and better ads.

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