A paid search algorithm update by Google has led to an improvement in the performance of PPC adverts that include an ad extension.
But overall the new AdWords Ad Rank update actually caused a slight decline in ad performance.
The update, which was announced back in October, altered the way that Google determines the order of paid search ads by adding in a third variable alongside the maximum bid and quality score.
This new variable is the expected impact of ad extensions and formats, and it has apparently had a notable impact on PPC results. So in effect, the use of ad extensions and formats can now influence ad position in the SERP.
The elements that are considered when determining the potential impact of extensions and ad formats include relevance, click-through rates, and the prominence of extensions and results on the SERP.
The results of the study are summarised below, but firstly here’s a run through of the ad extensions that Google takes into account.