Understanding the Google Ad Auction

One of the most mis-understood and frequently mis-represented concepts in online marketing is how the Google Ad Auction works in terms of pricing and the impact of Quality Score on pricing.

I’ve probably heard 100+ different explanations of this over the last few years, and almost all of them were wrong in some way or another.

How to find good information?  Go straight to the source!  In this video Hal Varian, the Chief Economist at Google, explains how the auction system works in very plain English.

I’d highly recommend that you check out many of the other related videos from Google.

Mike

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