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Can you please explain the cost per click?

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# 1
Visitor ✭ ✭ ✭

I am new to AdWords and have set my budget to .10c a day to try it out. That is 2 clicks? So what happens if I get more than 2 clicks? Do I pay more than my daily budget?

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Accepted by MosheTLV (Top Contributor)
September 2015

Re: Can you please explain the cost per click?

Top Contributor
# 2
Top Contributor
Hi Jan G,

I'm guessing you have a Max bid of $.05. With a budget of $.10 a day, you most likely won't even get impressions, let alone clicks. It's just not realistic to test an advertising campaign with a budget of $.10 a day. But that's not why you won't get impressions.

First, let's assume that your ads are eligible to show with a bid of $.05. Google doesn't show your ad to one user at a time. It shows your ad whenever it is eligible to appear. That means it could be showing to several people at the same time. So let's say you ad is shown to 3 people at the same time, just as an example. If all three of those people click on your ad, you could have spent $.15 total, 150% of your daily budget. Google will only over-deliver up to 20% in a day. This means your ad can't be shown anywhere at any time or they risk going over their guarantee.

On to the other part of the question. Google will over-deliver up to 20% a day. You pay for every click. When your budget is exhausted, your ad stops showing. Google also guarantees it will not go over your daily budget * 30.43 days. (I'm not sure of the exact number). So, when your derived monthly budget reaches the limit, your ads stop showing for the day.

Might I suggest upping your daily budget to at least $1. Then you'll be able to figure out if your $.05 Max CPC bid will get impressions.

Best of Luck!

Pete
petebardo -- Deadhead doing AdWords

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Marked as Best Answer.
Solution
Accepted by MosheTLV (Top Contributor)
September 2015

Re: Can you please explain the cost per click?

Top Contributor
# 2
Top Contributor
Hi Jan G,

I'm guessing you have a Max bid of $.05. With a budget of $.10 a day, you most likely won't even get impressions, let alone clicks. It's just not realistic to test an advertising campaign with a budget of $.10 a day. But that's not why you won't get impressions.

First, let's assume that your ads are eligible to show with a bid of $.05. Google doesn't show your ad to one user at a time. It shows your ad whenever it is eligible to appear. That means it could be showing to several people at the same time. So let's say you ad is shown to 3 people at the same time, just as an example. If all three of those people click on your ad, you could have spent $.15 total, 150% of your daily budget. Google will only over-deliver up to 20% in a day. This means your ad can't be shown anywhere at any time or they risk going over their guarantee.

On to the other part of the question. Google will over-deliver up to 20% a day. You pay for every click. When your budget is exhausted, your ad stops showing. Google also guarantees it will not go over your daily budget * 30.43 days. (I'm not sure of the exact number). So, when your derived monthly budget reaches the limit, your ads stop showing for the day.

Might I suggest upping your daily budget to at least $1. Then you'll be able to figure out if your $.05 Max CPC bid will get impressions.

Best of Luck!

Pete
petebardo -- Deadhead doing AdWords

Re: Can you please explain the cost per click?

Visitor ✭ ✭ ✭
# 3
Visitor ✭ ✭ ✭
Thanks Pete. As far as I know I don't have a Maximum bid set up, I'll go check.

Re: Can you please explain the cost per click?

Visitor ✭ ✭ ✭
# 4
Visitor ✭ ✭ ✭

Pete, I don't know where to go to change my max bid? Can you help?

Re: Can you please explain the cost per click?

Visitor ✭ ✭ ✭
# 5
Visitor ✭ ✭ ✭
Dont worry, I found it Smiley Happy

Re: Can you please explain the cost per click?

Top Contributor
# 6
Top Contributor
Hi Jan,

Sorry I didn't get back to yo on this. I've been out of commission for the last couple weeks. Glad you found it.

Pete
petebardo -- Deadhead doing AdWords