Bidding High?

Should I just automatically bid high, that's what I have been doing and my cost automatically drop there self when my quality score hits great, but maybe I should bid down to put them in that sweat spot that converts better?

How do you guys usually start out just bid very high in the beginning then let your cost go down?

 

That depends on many variables.

Some products have more popular keywords which require a larger bid just to be within the first ten search results pages, while other keywords have no competition.

When starting a new AdGroup I set all of my Max CPC to $0.05, then depending if the keyword has a poor rank or if it is inactive, I raise the keyword Max CPC to $0.10 per click. I rarely have keywords more than $0.20 per click.

Remember to have different bids for broad, phrase, and exact match keywords though.

Phrase and Exact match keywords are more specific and usually receive a higher sales rate, so you can afford to bid higher on them. Broad match usually receive the most traffic, but are not usually the best performing so I would only bid high on the broad keywords that describe a product exactly.

 

Your cost per click won't drop just because your QS improves (unless you're top). Your advert will move up the rankings. To use the QS improvement to reduce your cost per click, reduce the bids every time your average position improves - that way, your advert will stay in the same place, and your cost per click will gradually decrease...

 

I always over bid and then slow decrease over time to optimal positions.

Doing it reverse seems to be a much more difficult approach and often gets slapped

 

Interseting..

That's what I'm scared about is my score getting slapped after i build my account history up because I'm thinking to my self if I build everything up and my click cost goes down then I'll have to start all over from the beginning again? (like paying out a bunch to build my historical data back up)

 

It's pretty much the number one reason so many struggle for so long with adwords, they do basically everything right then when it comes to forking over money, they set their daily budget to $1 and max bid at $0.05. Then they wonder why nothing happens...

You have to spend money to make money with ppc.

 

Duh I know that, you must not be understanding the question I'm asking.

 

He just answered your question. It was the long version of "yes, bid high".

 

its shameful...

really

 

what do you mean the cost will start to go down automatically after awhile right?

I do know some of my keywords perform better in positions 5-6, so I'll bid down there