A to Z of auction insights in Google ads.

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A to Z of Auction insights:

The auction insights report has many hidden gems.

One of the exercises my firm does when we start working on a new account is identifying the brand that has never been able to crack Google ads or Google ads used to work well for them until sometime back but it doesn’t give the desired result now.

In case the latter is the issue, a retrospective Auction insight report can unravel many signals.

In today’s newsletter, I will attempt to simplify each metric under the Auction insight report with the help of an example.

First things first, Why do auction insights matter?

The Auction Insights report is more than just a set of metrics; it's a mirror reflecting your campaigns' health, efficiency, and competitiveness.

Have you noticed a dip in your Google Ads performance? Before you dive into the ocean of data trying to pinpoint the cause, consider this: Your competitors' strategies might be outshining yours, or market dynamics could be shifting beneath your feet.

The Auction Insights report helps you see these external factors, providing a broader perspective essential for a comprehensive audit of your Google Ads account.

In case you are not aware, you will find the auction insights report on the Google ads account under insights and reports > auction insights.

Let’s understand each metric under Auction Insight one-by-one

1. Impression Share

Simple Explanation: Impression Share is like showing up to a party. If 100 people could see your ad but only 70 do, your Impression Share is 70%. It tells you how often your ad appears out of all the possible times it could.

Example: Imagine you're running ads for an Italian restaurant. There are 100 times someone searches for "Italian restaurant near me," but your ad only shows up 80 times. Your Impression Share is 80%.

2. Overlap Rate

Simple Explanation: Overlap Rate shows how often your ad and another advertiser’s ad are shown at the same time. Think of it as running into the same person at different parties. If it happens often, your Overlap Rate with them is high.

Example: You and a competing Italian restaurant are advertising. If there are 100 times both your ads could show together, but they only do 30 times, your Overlap Rate with this competitor is 30%.

3. Position Above Rate

Simple Explanation: Position Above Rate tells you how often another advertiser’s ad shows up in a higher position than yours when both of your ads appear. Imagine you and a friend are climbing a ladder; if they are often above you, they have a high "Position Above Rate."

Example: Whenever your Italian restaurant ad and the competing restaurant ad both show up, if their ad is above yours 60% of the time, their Position Above Rate in relation to your ad is 60%.

4. Top-of-Page Rate

Simple Explanation: Top-of-Page Rate measures how often your ad appears at the top of the search results page. Think of it as getting the top bunk bed. If you're there half the time, your Top-of-Page Rate is 50%.

Example: If your Italian restaurant ad could be at the top of the search results 100 times, but it only gets there 50 times, your Top-of-Page Rate is 50%.

5. Outranking Rate

Simple Explanation: Outranking Rate is about how often your ad shows up higher in search results than another advertiser's ad. It's like being in a race; if you finish ahead of your rival more often, you have a high Outranking Rate.

Example: If there’s another Italian restaurant you’re competing against, and out of 100 times both of your ads show, your ad is higher 70 times, then you outranked them 70% of the time.

The auction insights report is an important report you should consider auditing on a monthly or weekly basis depending on the criticality of the channel.

I give a detailed breakdown of how Auction Insights impacts the efficiency and scalability of your performance marketing approach in my Dream Performance Marketing Masterclass.

Hope to see you on the 4th of May.

Until then, Happy Sunday and Happy Holi!

Cheers,

Apurv