PPC Management: The Value Of Relevance | Internet Marketing
By KirtChristensen
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Word Count: 457
In summer of 2005, Google advertisers panicked as Google started implementing a new policy of keyword status. Every keyword in Google's system now has a minimum required bid. It can vary wildly, from two cents up to a dollar or more in some markets.
Google will just put the keyword in your ad on inactive if you don't want to put up a minimum bid that meets the requirements, then your ad wont show when people come searching on that term. If you are willing to put up the bid, then your ad will show up.
There was a hoard of people who saw their cherished 5-cent minimum bids raise all the way to 10 and 20 cents or more. There were some who had based their sales plan completely on 5-cent click who believed it would ruin their productivity.
It didn't. If Google deactivates keywords and demands higher bids for them, you've got two options, not just one: (1) Bid what Google asks, or (2) tweak the copy of your Google ad to convince Google's computers that the ad is relevant, thereby lowering the minimum required bid.
Before you choose the first option, you had better be sure that it's necessary, and that you can afford it. If you're going to choose the second option-and we strongly recommend that you do-then the trick that works best is this:
Place the term and put into your ad in the headline.
If doing that messes up your ad and creates havoc for all your other keywords in the ad group, then you can try 'peel and stick' Remove that keyword from your list and create a new ad group for that word alone and write an ad using that keyword in the headline.
That will convince Google's computers that you're writing relevant ads, and you are likely to be allowed to bid a lower price. More importantly, you're all but guaranteed a higher CTR by doing this.
The reality is that your ads aren't really being judged on true relevance but on perceived relevance. Your great CTR won't get Google to lower your minimum bid price; only the fact that you use your keyword in the headline of your ad will get you a lower minimum bid.
It all boils down to whether the Google computers see you as relevant. It is not on any actuality of your ads being relevant.
Still, by setting up its system this way Google is now forcing you to do with your keywords and ad groups what successful advertisers already do: break everything down into small, tight groups.
You may be penalized by Google if you have keywords on your list that arent relevant to your ad. They will do this by making those keywords inactive.
About the Author
Need to optimize or "fix" your Adwords & PPC campaigns? Kirt Christensen manages over $600k in PPC spending & knows what it takes to make your account hum! When you want a adwords qualified professional, he's the man!
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