Minimum CPC issues--First Time with Adwords

Discussion in 'Google AdWords' started by ovid, May 2, 2006.

0
  1. #1
    Hi - New to Adwords, first time. Have a couple of questions about the minimum cost per click (CPC). When I click on "View Traffic Estimator" after entering my keywords, it tells me that my minimum bid is $0.50 to make the keyword active. Yet, I checked yesterday (I have not signed up for an account yet) and the minimum bid required for an "active" account on the same keyword was $.40. Why would this change from one day to the next? I don't understand how GOOG is calculating the minimum bid required to "activate" the keyword.

    I've also noticed that the daily search estimates using the "Traffic Estimator" are screwed up compared to the daily search counts from GOOG's API. This makes me think that Google's "Traffic Estimator" tool inside the Adwords setup isn't too reliable. Is that conclusion correct, based on your own experiences?

    To the veterans...what can I expect once I "activate" the keyword? Can I decrease my minimum bid once my "campaign" has a CTR track-record? Fifty cents per click is way too pricey for my market!
     
    ovid, May 2, 2006 IP
  2. Micromag

    Micromag Well-Known Member

    Messages:
    1,757
    Likes Received:
    67
    Best Answers:
    0
    Trophy Points:
    165
    #2
    Estimator is a Farse - do not waste your time on it.

    A basic rule from AdWords is that you need to take very care with ROI: As soon you detect that you are paying too high per click - go there and decrease you bid immediately!

    I would:

    1) Change your ad group for $.010 bid

    2) Add more and more keywords, but do not loose the focus on your business

    3) Select some strategic keywords that really convert and bid $0.15 for these specific keywords only

    4) Read the help in how to improve the "Quality Score" - so you can try to keep the similar level of when you use to pay $0.15 but paying less for it.
     
    Micromag, May 2, 2006 IP
  3. ovid

    ovid Peon

    Messages:
    13
    Likes Received:
    0
    Best Answers:
    0
    Trophy Points:
    0
    #3
    Thanks, I thought "Traffic Estimator" wasn't accurate, based on what I was seeing. Good to have confirmation on that.

    I'll adjust my keywords and bids ASAP. I'll also do some more research and try to target less common keywords. Thanks for the advice.
     
    ovid, May 3, 2006 IP
  4. Micromag

    Micromag Well-Known Member

    Messages:
    1,757
    Likes Received:
    67
    Best Answers:
    0
    Trophy Points:
    165
    #4
    oops: $0.10 i meant, not $.010:eek:
     
    Micromag, May 3, 2006 IP
  5. masheruper

    masheruper Peon

    Messages:
    10
    Likes Received:
    0
    Best Answers:
    0
    Trophy Points:
    0
    #5
    If you are not doing this, you might also want to add in phrase and exact matching.

    When I do my campaigns, I usually add - amongst misspellings and no spaces - the same keywords with broadmatch, phrase and exact matching.

    As an example, if I were bidding on the keyword 'monkey pies', I would have the following:
    monkey pies
    "monkey pies"
    [monkey pies]

    Google would pick the best, and cheapest one to use. I have see my Avg CPC at 2p with this technique! 2p!! it feels great:) don't tell Google now.
     
    masheruper, May 4, 2006 IP