Google is testing a new feature that lets a single advertiser have two ads appear on the same search results page. While this might seem like a win for visibility, it comes with some serious potential downsides for your ad performance and costs. If you’re not careful, this change could lead to unexpected increases in ad spend, especially if you’re bidding on high-CPC keywords or have weak negative keyword targeting.

Via Anthony Higman on LinkedIn

Here’s what’s happening, how it could impact your business, and what steps you need to take to stay ahead.

What’s Happening?

Google’s new test is simple: one advertiser can now have two ads displayed on the same search results page. Previously, this wasn’t allowed—only one ad per advertiser could appear at a time. Now, the door is open for businesses to double their visibility in search results, which could mean more opportunities for clicks.

Via Advertising Policies Help

But here’s the catch: more visibility could also lead to higher costs, especially for advertisers bidding on competitive keywords or with poor negative keyword lists. If you’re not careful, you could end up paying more for clicks that don’t drive results. If you’re bidding on crap terms, theres a chance you’re going to show twice for crap terms. 

Why It Matters

This change might sound great at first glance, but it could create significant challenges for advertisers:

• Increased Costs: Doubling your ad placements could mean doubling your exposure—but it could also double your clicks. If you’re bidding on expensive keywords, your ad spend could skyrocket unexpectedly.
• Irrelevant Clicks: Poorly managed negative keywords could lead to your ads showing up for irrelevant searches. This means paying for clicks from users who have no intention of converting.
• Budget Burnout: Without careful monitoring, you could blow through your budget faster than expected, leaving you with less room to invest in more effective strategies.

This isn’t just a minor tweak—it’s a shift that could seriously impact your ROI if you’re not paying attention.

What Should You Do?

To prepare for this change, here’s what you need to focus on:

1. Refine Your Negative Keywords
   Go through your negative keyword lists with a fine-tooth comb. Make sure they’re updated to block out irrelevant searches that could waste your budget.
2. Monitor High-CPC Terms
   If you’re bidding on expensive keywords, watch them closely. Track how this change affects your CPCs and adjust your bids accordingly to avoid overspending.
3. Set Budget Alerts
   Use budget alerts in Google Ads to notify you if your spending starts to spike unexpectedly. This can help you catch runaway costs before they get out of control.
4. Optimize Your Ad Strategy
   Double-check your ad creative and targeting to ensure you’re making the most of this increased visibility. Strong, relevant ads will help maximize your ROI even if costs rise.

What’s Next?

This test is still rolling out, but if it’s successful, Google could make it a permanent feature. That means now is the time to adjust your strategy and prepare for the possibility of increased competition and costs.

Let’s Talk

Google’s new double-ad placements could shake up your campaigns—and your budget. If you’re not sure how to adapt, we’re here to help. Reach out to us today, and let’s make sure your campaigns are ready to handle these changes without missing a beat.