Ad rank is a value used in search engine advertising to determine the position in which an advert appears in search results. This value is calculated by a combination of various factors, including the advertiser's bid amount, the quality of the advert and the expected impact of ad formats and extensions.

The bid amount is the maximum amount that an advertiser is willing to pay for a click on their advert. The higher the bid, the better the chance that the advert will receive a higher position. But the bid is only one part of the equation.

The quality of the advert is usually determined by the quality score, which is measured on a scale of 1 to 10. This value indicates how relevant and useful the advert is for the user, based on the search term, the landing page and other factors. Higher quality can lead to lower costs per click and better ad rank positions.

In addition, Ad Rank also takes into account the expected impact of ad formats and extensions, such as additional links, phone numbers or location information that may be displayed below the advert.

The ultimate goal of Ad Rank is to create a win-win situation for all parties involved: Users receive relevant and useful ads, advertisers reach their target audience efficiently and search engines maximise their revenue. Therefore, a good understanding of Ad Rank is essential for advertisers to create successful campaigns.