Google confirms that they are no longer showing AdWords ads on the right hand side of its search results. Instead, Google now displays 4 ads at the top of the search results and 3 ads at the bottom.
Where is Google headed?
Google has made an important step toward mobile-first design. Mobile devices do not display the right-hand column; Google seems to be implementing the same structure across devices.
Side ads have very low user interaction rates and drive mostly impressions, rather than clicks. By adding another high-performing top ad on relevant queries and removing the low-performing side ads, Google is increasing the overall effectiveness of the ad placements on the search results page.
What should Adwords advertisers expect?
At this point, we believe this will affect advertising on Adwords. By restraining the amount of ads from 11 to 7, this change will trigger more competition for the four top slots and result in higher Cost-Per-Clicks. Advertisers may have to increase their Google Adwords budget to maintain their online visibility.
This change will also impact organic search results as listings will continue to get pushed down the page. However, as the cost of advertising on Google increases, Search Engine Optimization will become increasingly valuable.
Are you prepared?
Online Marketing is an ever-changing industry and business owners will need the help of a professional agency to keep up with the changes. If you are a business owner and have questions about how this change could affect your website, contact us.