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Baidu PPC’s ad bidding strategy

Facebook’s and google’s ad bidding strategy are different. What would other internet company’s ad bidding strategy be? will they have any difference? This article introduces what ad bidding strategy is used by ┬áBaidu PPC, the advertising system of China’s biggest search engine company, and what other factors affect the result of the selection of advertisers in a very efficient way. Similar to google, Baidu PPC charges advertisers for every click of the advertisement. Each advertiser provides the price they are willing to pay for the click, and the one with highest price wins and pays with the lower price. However, bidding with the highest price does not mean that the advertiser could get the slot. In fact, Baidu PPC also involves trust score and quality score for the actual selection. A higher trust score indicates that the business which wants to advertise is quite trustworthy; and a high quality score means the ads and landing page of the business have a good quality. The business that wins the bid not only needs to have a good price but also needs to show both a high trust score and a high quality score. Overall, the article makes concepts like CPC and the structure of Baidu PPC account very understandable using simple languages. Readers could definitely learn the core idea of Baidu PPC’s ad bidding strategy.

This article indicates that the strategy for bidding the cost per click is widely used by lots of internet companies. It must be efficient at some level. Moreover, the article promotes the lecture material by introducing other standards companies also use to select which advertiser could get the slot. This suggests that in the real life, ad bidding strategy is quite complicated and does not only depend on price.

Information introduced in this article is closely related to what we learned in class. The core idea of Baidu PPC’s ad bidding strategy is ┬ávery similar to Google’s, which is discussed in the lecture. In addition, we learn from the lecture that Google also values ads quality. Baidu PPC’s quality score is related to this fact and indicates the importance of ads’ quality.


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October 2018