because for niches like MLM its well over 1$ a click and its way cheaper on yahoo, so it it because its saturated or does google always have high prices like this? whats up with that..
What you must understand is that it's not the search engines setting and affecting the prices. It's us advertisers.
It is because google has more advertisers, the more advertisers the more competitive the keywords are, therefore the more expensive they become. Google has nothing to do with the prices, its like supply and demand in the economy, if the demand rises the prices rise also, simple ruses of economy.
If many advertisers are willing to bid the keyword to more than $1 a click, that means they are making money on that keyword.
You would think so. But maybe not all realize they are not making money. Also, just because you are paying $1 or whatever, doesn't mean that every one is paying that. Quality does count and better quality ads may be paying just half of that.
Some keywords can cost a few cents, to many dollars. As a adsense publisher you want to make sure you get high value keywords. And as a adword, save money per clicks. Its about what people are willing to pay, and competition. Dearly, fdamours
Yes agree... I should have explained clearer. If there are many PPC advertisers filling up that entire page and the average CPC is high, it means that there may be money to be made in that niche. With better CTR, it is possible to bring down the CPC. Some of my best keywords in position 1-2 is about $1.50 despite good CTR and running for months, in competitive niches with many advertisers. I bid $10 to keep away the competitors to stay in top position, but actually paid $1.50. It's worth every cent as my ROI is 100%. That said, I do have golden keywords that costs $0.20 in position 1, with only 5-6 advertisers in the niche. At the end of the day, nothing is cast in stone, just need to TEST, TEST, TEST.