Understand Ad Rank
This is basically the placement of your ad on the search engine results page (SERP). Some placements (starting at No.1) are more potent than others, depending on where they appear in relation to organic search lists. To secure the best ad ranking, you need to know how to bid for keywords.
Competition for the most effective keywords is understandably fierce. To secure them, you need to show how much you are willing to pay, either for individual keywords or ad groups/placement. This can be a bidding process tied to CPC (cost per click) or Target CPA (cost per action) which is a more strategic solution.
Decide on a Campaign Type
Having secured the ideal keywords for your campaign, the next step when working with an effective Google Ad agency would be to model the ads most likely to be noticed and to create a positive response from searchers. For example, ads integrated into search results, display ads that appear first on SERPS, or video ads.
Optimize Your CTR & CVR
The best Google Ad campaigns can be easily analysed, measured and amended as required. This hinges on your Click Through Rate (CTR) which shows the ratio between ad response and ad appearance. As the campaign progresses, a formula known as CVR can be used to calculate the number of conversions, measured against ad impressions.