I don't understand how is it possible that some keyword has very high CPC cost when there's very few people advertising for that keyword. For example. the keyword "David Yurman" on google keyword tool shows average cpc cost of around $9 dollar per click. How could the keyword cost $9 a click when only 4 advertising are being displayed? I thought the keyword are bidded, so if only 4 advertiser are bidding on that keyword, how could it be so expensive? Can anyone please explain this to me? TIA!
The reason is this kind of keyword bring big revenue to the advertiser, therefore they set them high.