AdWords is now Google Ads. Our new name reflects the full range of advertising options we offer across Search, Display, YouTube, and more. Learn more

Ads
3.6K members online now
3.6K members online now
Get started with Google Ads - learn the basics to get set up for success
Guide Me
star_border
Reply

How is the cost per click calculated if I am the only bidder?

Visitor ✭ ✭ ✭
# 1
Visitor ✭ ✭ ✭

Say I want to drive traffic to my personal website in which no other advertiser (or any one else) is interested, so I am the only one bidding for those specific keywords. As the price is calculated based on the next-best bid - which doesn't exist - who does Google calculate the CPC for me? Is there a floor / minimum cpc?

2 Expert replyverified_user

Re: How is the cost per click calculated if I am the only bidder?

Participant ✭ ☆ ☆
# 2
Participant ✭ ☆ ☆
What a great question!

I don't know the correct answer, I have never seen this touched by Google in any of their literature. I think at that point Google looks at the cost of other similar ads/search terms and creates an average? In Keyword Planner a similar thing is done, so I'm guessing but I'd say that makes the most sense?

If a term has no other ads showing for it, the closet possible relevant data Google has will probably be used? I'll do some research and hopefully find the right answer, if not I look forward to someone else telling us for certain!

Re: How is the cost per click calculated if I am the only bidder?

Top Contributor
# 3
Top Contributor

Hi @Mark R;

Long gone are the days of a minimum bid of 1 US cent...

 I doubt if there were in English  a keyword  which no one has bid on.

For each keyword, Google sets a minimum ad-rank as a threshold for the ad  to be shown. Hence, even if you currently have no competitors your ad-rank has to meet the threshold.

Moshe, AdWords Top Contributor , Twitter | Linkedin | Community Profile | Ad-Globe
Did you find any helpful responses or answers to your query? If yes, please mark it as the ‘Best Answer’

Re: How is the cost per click calculated if I am the only bidder?

Top Contributor
# 4
Top Contributor
Hi Mark R,

I just want to add a little to Moshe's answer.

No ads on a SERP for a certain search query or keyword rarely means no competition. More often if means other advertisers have used the keyword with little or no success. What's the QS of your keywords?

Best of Luck!

Pete
petebardo -- Deadhead doing AdWords