if you bid $2 for a click and the next highest bid is $1.25, how much will you pay?

Q. if you bid $2 for a click and the next highest bid is $1.25, how much will you pay?

A. US $ 1.26

B. $ 1

C. US $ 2

D. $ 1.24

Correct answer:

A. US $ 1.26

Info

if you bid $2 for a click and the next highest bid is $1.25, how much will you pay?

It depends on your ad’s Quality Score and the Quality Score of the ad below.

Your ad rank is determined by the Quality Score x Bid.

If your competitor’s ad has a 1.25 rating and a Quality Score of 10, it will have a rating of 12.5.

Your ad must be at least 7 (7 * 2 = 14) to be ranked higher.

Details: If you bid $ 2 per click and the next highest bid is $ 1.25, you only pay $ 1.26. Google does not automatically charge more than $ 1.26.

Also read

which statistic indicates how often a click has led to a conversion?

optimization score is made up of over 50 recommendations to optimize search campaigns.

Explanation:

Setting your bids is important to understand that your bid and the actual cost-per-click you pay are two different things. Actual cost-per-click (actual CPC) is the final amount you are charged per click. They are usually smaller and sometimes significantly lower than the bid.

In Google Ads, the most you pay for is the minimum required to hold your ad position and any ad format displayed with your ad, such as sitelinks.

In this case, the minimum bid required would be $ 1.25 + $ 0.01 = $ 1.26