How to calculate cost per click in block and VCG auction

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nusaiba130
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Joined: Thu Dec 26, 2024 5:49 am

How to calculate cost per click in block and VCG auction

Post by nusaiba130 »

First, let's figure out what a VCG auction is. A Vickrey-Clark-Groves auction is a one-round closed auction where competitors do not see each other's bids. If earlier, places in the placement blocks were linked to bids, now this strategy has changed. Now the main thing is the traffic volume:

VCG auction

But the calculation of prices for clicks is the same, through the VCG auction and depends on the quality of the ads. New interface:

Calculating Cost Per Clicks

Guarantee – To whom? When? Why?
The Guaranteed Impressions block is famous for its low cost per click, thailand telegram data compared to the display in special placement. If the volume of traffic received by the site is not so important, and other indicators are more significant, then you can safely use this strategy. Conversions are much more important to the mass of advertisers, and they do not depend on the display position.

Start by participating in the auction. You will be assessed based on the already familiar metrics:

Traffic volume – the ad may be shown in an extended format. To make this happen, fill out the ad add-ons. When you click the question mark, the user will see a hint. And the traffic forecast will show the number of clicks per month.
Click-through rate, CTR – the ratio of the number of clicks to the number of ad impressions. Use the CTR predicted by Direct and strive to increase this indicator.
Quality Score – improve your ads, achieve relevance of keywords, ads, offer pages, monitor statistics.
What's the bottom line? If you want to hang in the Guarantee block, work on the usefulness and relevance of the ad, optimize and improve it to attract more users who will order the product or service. Good luck!☺
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