Google ads auction runs every time a search happens or a person visits any of Google’s Networks. You qualify for an auction when your ad is eligible and whenever you’re bidding on keywords relevant to the user’s search query. Your bids, quality Score, and ad relevance will come into play in determining whether your ad qualifies to display on the SERP(search engine result page).

Quality score is the most important metric. Google uses this to determine how relevant and useful your ad is to the user, based on your ad’s CTR, keyword relevance, and landing page experience. The higher your Quality Score, the better: high-quality score keywords will save you money and earn you better ad rankings. 3 main factors in the ad auction determine which ads appear, and in what order.

 Bidding: When you set your bid, you’re telling Google Ads the maximum amount you’re willing to pay for a click on your ads. How much you actually end up paying is often less, and you can change your bid at any time.

The quality of your ads: Google Ads also looks at how relevant and useful your ad and the website are to the person who’ll see it. Google check the quality of your ad by your Quality Score, which you can monitor and improve in your Google Ads account.

The expected impact from your ad extensions and other ad formats: When you create your ad, you have the option to add additional information to your ads, such as a phone number, or more links to specific pages on your site(site links). These are called ad extensions. Google Ads estimates how extensions and other ad formats you use will impact your ad’s performance. So even if your competition has higher bids than yours, you can still win a higher position at a lower price by using highly relevant keywords, ads, and extensions.

Ad relevance: How closely your ad matches the intent behind a user’s search.

Landing page experience: How relevant and useful your landing page is to people who click your ads.

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