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If you use Google AdWords personally or for your clients, you must be aware of the recent changes in AdWords layout.

The question under discussion among digital marketers and webmasters is that how Google AdWords layout change will impact advertisers?

Here is what has been changed.

Google has removed right side ads instead it now shows four ads at the top.

Google has been testing four AdWords ads since 2006 and recently stepped up those tests in late 2015. Now, according to Search Engine Land, Google has confirmed that they are switching over from showing ads on the right side to having four ads at the top.

Google will no longer show ads to the right of its search results, instead it will show four ads at the top with two exceptions. Google will show PLAs (Product Listing Ads) and ads in the knowledge graph on the right hand side.

This is the talk of the SEM industry, which has been buzzing about it all weekend.

Source: Search Engine Round Table

According to experts and webmasters, these changes will impact in three different ways to marketers.

There will be winners, losers and unaffected advertisers.

Winners:

  • Heavy ad testers: You no longer have to figure out if your sitelinks were showing, not showing, etc. The ads are now consistent.
  • People who have a bid system in place. It’s easy to get into a bid war unnecessarily, and with fewer ad slots, it’s going to happen more and more; so those who let math dictate parts of their account over emotions are going to do OK; but they might get less conversions from search as they get fewer clicks
  • Position 4 ads: The CTR on position 4 is skyrocketing. Depending on the keyword, position 4 is going to have a 400%-1000% CTR increase.
  • Ecommerce: Expect to see more shopping ads on a consistent basis.

Losers:

  • Aggregators: Often the large SMB premier partners want to show ‘proof of advertising’; and having less ads on the page is going to make that harder. With fewer ad slots, those who are managing 10-20+ companies in the same geo vertical will have problems as there are less ad impressions to go around.
  • Low sophistication advertisers in competitive verticals: With fewer ad slots, advertising becomes more competitive, and those who are bidding just to show vs bidding for a business purpose are going to eventually run into issues.
  • Low margin businesses/arbitrage: The 1st page bids will be higher with fewer ad slots; so companies with thin margins are going to have a lot of words fall to page 2.

Unaffected:

  • Brand based bidders
  • Niche companies
  • Any display & video campaigns
  • Primarily mobile advertisers. Mobile got another ad slot last year.

Read full article here.