{"id":21564,"date":"2020-01-30T10:58:39","date_gmt":"2020-01-30T10:58:39","guid":{"rendered":"https:\/\/www.arimetrics.com\/glosario-digital\/ad-auction"},"modified":"2026-06-26T18:01:19","modified_gmt":"2026-06-26T18:01:19","slug":"ad-auction","status":"publish","type":"encyclopedia","link":"https:\/\/www.arimetrics.com\/en\/digital-glossary\/ad-auction","title":{"rendered":"Ad Auction"},"content":{"rendered":"<p><strong><img decoding=\"async\" class=\"boxpad wp-image-24263 size-full alignright\" src=\"https:\/\/www.arimetrics.com\/wp-content\/uploads\/2021\/11\/ad-auction.jpg\" alt=\"Ad Auction\" width=\"300\" height=\"300\" srcset=\"https:\/\/www.arimetrics.com\/wp-content\/uploads\/2021\/11\/ad-auction.jpg 300w, https:\/\/www.arimetrics.com\/wp-content\/uploads\/2021\/11\/ad-auction-150x150.jpg 150w\" sizes=\"(max-width: 300px) 100vw, 300px\" \/>Definition:<\/strong><\/p>\n<p>The <strong><em>ad auction <\/em><\/strong>is the pricing process of online advertising on a pay-per-click basis, in which there are different bids to place your ads in locations delimited by advertisers.<\/p>\n\n<h2>How the ad auction works<\/h2>\n<p>In online advertising services, prices are usually not fixed, but are variable depending on supply and demand. Pricing is therefore done in a PPC auction in which the price is set based on the price for which advertisers bid. If an advertiser wants to be ahead of another, they must normally bid above the current bidder.<\/p>\n<h2><strong>Google Ads Auction <\/strong><\/h2>\n<p>Each time\u00a0 <a href=\"https:\/\/www.arimetrics.com\/en\/google-ads-agency-spain\">Google Ads<\/a> ad is eligible to show up in a search, it goes through the ad auction process. The auction determines whether the ad is actually displayed and in what position it will appear on the search page.<\/p>\n<p>How does that auction work? When<strong> a user performs a search,<\/strong>the Google Ads system finds all the ads whose keywords match that search. Of all these ads, the system does not take into account those that for various reasons are not suitable. For example, all ads that target a different country or are rejected for policy violations.<\/p>\n<p>All other ads can only be shown if they have a high enough <strong>ad ranking.<\/strong> This ad ranking is a combination of bid, ad quality, ad ranking thresholds, the context of the person&#8217;s search, and more.<\/p>\n<p>If the competition bids higher than yours, you can earn a higher position at a lower price with keywords and highly relevant ads. Because the auction process is repeated for all <strong>Google<\/strong>searches, different results may appear in each auction each time depending on the competition at that time.<\/p>\n<p>&nbsp;<\/p>\n<h2>Frequently asked questions about Ad Auction<\/h2>\n<div class=\"geo-faq-block\">\n<details class=\"geo-faq-item\">\n<summary>What is Ad Auction?<\/summary>\n<p>Definition: The ad auction is the pricing process of online advertising on a pay-per-click basis, in which there are different bids to place your ads in locations delimited by advertisers.  How the ad auction works In online advertising services, prices are usually not fixed, but are variable depending on supply and demand. In the Arimetrics glossary it is placed in a digital marketing context to clarify its role, uses and practical implications.<\/p>\n<\/details>\n<details class=\"geo-faq-item\">\n<summary>What is Ad Auction used for in digital marketing?<\/summary>\n<p>It is used to better analyse an action, tool, channel or behaviour related to acquisition, measurement, communication, sales or user experience. Its value depends on applying it to a concrete decision.<\/p>\n<\/details>\n<details class=\"geo-faq-item\">\n<summary>How is Ad Auction related to a digital strategy?<\/summary>\n<p>It is related to digital strategy when it affects objectives, data, content, technology, campaigns or conversion processes. That is why it should be reviewed together with the business context, not as an isolated term.<\/p>\n<\/details>\n<details class=\"geo-faq-item\">\n<summary>What should be considered when working with Ad Auction?<\/summary>\n<p>It is advisable to review its definition, context, associated metrics, limitations and possible risks. It is also useful to validate whether the concept has a real impact on performance, user experience or decision-making.<\/p>\n<\/details>\n<\/div>\n<p><script type=\"application\/ld+json\">\n{\n  \"@context\": \"https:\/\/schema.org\",\n  \"@graph\": [\n    {\n      \"@type\": \"DefinedTerm\",\n      \"@id\": \"https:\/\/www.arimetrics.com\/en\/digital-glossary\/ad-auction#definedterm\",\n      \"name\": \"Ad Auction\",\n      \"description\": \"Definition of Ad Auction in the Arimetrics Digital Glossary.\",\n      \"inDefinedTermSet\": {\n        \"@type\": \"DefinedTermSet\",\n        \"name\": \"Arimetrics Digital Glossary\",\n        \"url\": \"https:\/\/www.arimetrics.com\/en\/digital-glossary\"\n      }\n    },\n    {\n      \"@type\": \"FAQPage\",\n      \"@id\": \"https:\/\/www.arimetrics.com\/en\/digital-glossary\/ad-auction#faq\",\n      \"mainEntity\": [\n        {\n          \"@type\": \"Question\",\n          \"name\": \"What is Ad Auction?\",\n          \"acceptedAnswer\": {\n            \"@type\": \"Answer\",\n            \"text\": \"Definition: The ad auction is the pricing process of online advertising on a pay-per-click basis, in which there are different bids to place your ads in locations delimited by advertisers.  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