SEM PPC Campaign Management 4 — Questions and Answers
Question 1: What is 'bid adjustment' in Google Ads?
- Changing the maximum CPC of every keyword simultaneously
- A percentage modifier that increases or decreases bids for specific signals like device, location, or time (Correct answer)
- The automated process of lowering bids after budget is exhausted
- Adjusting bids only during A/B ad copy tests
Correct answer: A percentage modifier that increases or decreases bids for specific signals like device, location, or time
Bid adjustments are percentage-based modifiers applied to base bids for specific targeting dimensions such as device, location, audience, or time of day.
Question 2: An advertiser uses 'Target Impression Share' bidding. What is this strategy designed to achieve?
- Maximize total conversions regardless of cost
- Achieve a target percentage of eligible impressions in a specified location on the results page (Correct answer)
- Lower CPC to a target level set by the advertiser
- Automatically match competitors' impression share
Correct answer: Achieve a target percentage of eligible impressions in a specified location on the results page
Target Impression Share automatically sets bids to help your ads appear a defined percentage of the time in a chosen position on the page.
Question 3: What is the 'Auction Insights' report used for in Google Ads?
- Analyzing the historical bid amounts needed to win impressions
- Comparing your ad performance metrics against other advertisers in the same auctions (Correct answer)
- Viewing the exact bids competitors are placing
- Identifying which keywords have the highest auction competition
Correct answer: Comparing your ad performance metrics against other advertisers in the same auctions
Auction Insights shows how your impression share, overlap rate, and outranking share compare to competitors participating in the same auctions.
Question 4: Which of the following best describes 'ad fatigue' in a PPC campaign?
- A technical error that causes ads to stop serving after a set number of impressions
- Declining performance caused by the same audience seeing the same ads too many times (Correct answer)
- Budget exhaustion that temporarily pauses ad delivery
- A penalty applied by Google when ad copy is too repetitive
Correct answer: Declining performance caused by the same audience seeing the same ads too many times
Ad fatigue occurs when a target audience sees the same ads so frequently that engagement drops, leading to lower CTR and higher CPA.
Question 5: In PPC campaign structure, what is the recommended relationship between an ad group and its keywords?
- Each ad group should contain as many keywords as possible for maximum reach
- Keywords within an ad group should share a tight, common theme that aligns with the ad copy (Correct answer)
- Ad groups should mix broad and exact match types in a 50/50 ratio
- Each ad group should target a single geographic region
Correct answer: Keywords within an ad group should share a tight, common theme that aligns with the ad copy
Tightly themed ad groups ensure keywords, ads, and landing pages are all highly relevant to each other, improving Quality Score and performance.
Question 6: What does 'frequency capping' control in display or video PPC campaigns?
- The maximum CPC allowed per impression
- The maximum number of times a single user sees your ad within a given period (Correct answer)
- The minimum budget required for a campaign to be eligible for display placements
- The cap on how many ad creatives can run in a single campaign
Correct answer: The maximum number of times a single user sees your ad within a given period
Frequency capping limits how many times a specific user is shown your ad in a set time frame, preventing overexposure and ad fatigue.
Question 7: A PPC advertiser notices a high number of clicks but very few conversions. Which area should they investigate FIRST?
- Increase daily budget to attract higher-quality traffic
- Review landing page relevance, speed, and conversion path (Correct answer)
- Raise bids to achieve higher ad positions
- Expand the keyword list with more broad match terms
Correct answer: Review landing page relevance, speed, and conversion path
When clicks are high but conversions are low, the disconnect most likely lies in the post-click experience — the landing page's relevance, UX, or load speed.
What is 'bid adjustment' in Google Ads?