Last week, Google started rolling out some of its biggest changes to AdWords yet –it removed right hand ads, whilst also adding an extra one to the top of the page on Google Search Network.

From now on there will be four top ads on desktop, whilst the right hand section will only feature PLAs (Product Listing Ads).

Whilst it is quite early to assess the overall impact these changes will have on companies using AdWords, it is expected that the competition for the top four positions will increase even more, which might lead to higher CPC (cost-per-clicks) and bids in an attempt to secure a top position. In order to avoid extremely high CPCs, advertisers should consider improving the quality score of their ads as much as possible, and one way of doing this is by ensuring that their landing pages are optimised, especially for mobile, as Google seems to place increasing importance on mobile-optimised websites.

Another result of these massive changes is the growing value of PLAs and Shopping Feeds as they remain on the right hand section of the page. Furthermore, they also tend to appear in top positions on mobile searches, where they seem to take precedence over text ads. If you’re a B2C business and you haven’t already invested in a Google Shopping Feed campaign, now is the perfect time to do it, especially as CPC tends to be lower for PLAs than it is for text and display ads and if it is properly optimised a Shopping Feed campaign can offer considerable ROAS (Return on Ad Spend) .

Overall, these new changes to Google AdWords highlight the increasing importance of paid search as a vital channel for companies looking to thrive online in an extremely competitive environment. This is why businesses who want to keep a competitive advantage and secure top positions in Google search are expected to invest even more in AdWords.

To learn more about how we can help you improve your AdWords account and make the most of paid search, contact our team of AdWords certified experts today on 0116 326 1116.