Google will in the coming weeks to make improvements for handling the ads. What will change is according to Google :
Simplified account management : Keywords becomes active or inactive rather than normal , in trial , on hold, and deactivation. In addition, the accounts no longer receive reduced rate. Currently , accounts reduced rate when they do not meet performance requirements and ads appear rarely in searches .
Quality-based minimum bids : Keywords will be assigned a minimum bid based on its quality performance. Quality Score is determined by your keyword's click through rate (CTR) , relevance of ad text , historical keyword performance , and other factors of relevance.
- Ad Rank will continue to be based on the maximum CPC and quality.
- Looks like Ad-words just gets better and better.