Online Marketing Strategies
Bidding And Your Ad Position
June 9, 2009 by World Wide Weller · Leave a Comment
PPC campaign management is a vital part of your advertising campaign. You will need to keep an eye on your PPC campaign if you wish to make serious money from it. An area that requires attention is the amount you are bidding on a keyword.
Because you want a good position for your ads, bidding is extremely important. The amount of your bid will determine the position at which you ad is displayed. Generally, people who use search engines rarely go past the 5th page of results. Knowing this you will want your ad to be on the first 4 pages to make sure it is being seen. Depending on what your budget allows, you don’t need to always have the #1 position. The third position and lower can be significantly cheaper than the first two and still offers great exposure for your ad. A good placement for less money is the optimal situation to achieve maximum profits.
Bidding must be carefully monitored or you will lose a ton of money. Be sure that you do not get into bidding wars with your competitors. Popular keywords can be quite expensive to get into a good position. Only get involved with these if they are really bringing a good number of sales and are profitable. It is no good spending a lot of money per click for just a few sales unless you are selling a high profit margin product or service.
Another factor you need to consider when bidding is profit point. If you are paying more for clicks than you receive for the sales generated by those clicks, you are losing money. By analyzing you sales conversions and your profit per sale, you will be able to come to an appropriate bid which will maximize your profits.
Bids and positions are vital to the success of your campaign. If a keyword in a good position is not performing too well, lower your bid or even put the keyword on pause. However if a keyword in a lower position is pulling good sales you can make the bid higher and improve the position. In this way you will increase your sales and make more profit. By these types of adjustments you can improve your ROI, return on investment.
When you are beginning PPC advertising campaign management, things can get out of control very quickly. For this reason, PPC engines such as Google Adwords offer daily budget options. These budgets will make sure you don’t spend too much money before you have a chance to analyze and tweak your campaign. This option can save you a great deal of money and can be removed once you have things under control.
