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Setting Max CPC for Keywords

Visitor ✭ ✭ ✭
# 1
Visitor ✭ ✭ ✭

Hi,

 

I am running a single campaign with a pretty small budget on the search only network. I was curious what best practices were for setting Max CPC for keywords? Do you recommend increasing max CPC for keywords with higher CTR% or quality score? Or do you look at a combination of both?

 

Thanks!

1 Expert replyverified_user

Re: Setting Max CPC for Keywords

[ Edited ]
Badged Google Partner
# 2
Badged Google Partner

Hi,
Here is a great article that addresses your question. See the full article here: https://support.google.com/adwords/answer/2471184?hl=en

Re: Setting Max CPC for Keywords

Top Contributor
# 3
Top Contributor
Hi Assure,

"Do you recommend increasing max CPC for keywords with higher CTR% or quality score?"

Both may be good proxies to that end, under some circumstances. However, the real value comes from various conversion metrics and ROAS. But they are probably beyond your scope at this initial moment.

Best,
Lakatos

Re: Setting Max CPC for Keywords

Follower ✭ ☆ ☆
# 4
Follower ✭ ☆ ☆
hi
what is your quality source ?

Re: Setting Max CPC for Keywords

Visitor ✭ ✭ ✭
# 5
Visitor ✭ ✭ ✭
Hi
Both are good measures to look, However, I would look at the conversions the keyword is driving. if you are happy with the conversions, check the impression share and increase the CPC to increase your impression share

Hope this helps

A

Re: Setting Max CPC for Keywords

Follower ✭ ☆ ☆
# 6
Follower ✭ ☆ ☆
Hi Assure,

I reccomend you to figure out what maximal cost you can afford for specific keywords or group of keywords.
Common way is to calculate the value of you conversion (Revenue and Profit) and conversion rate (CR) of users that are come to your website from these keywords.
Then
Max CPC = Profit * CR

Bit higher will be unprofitable, bid a lot less will drive you less of clicks and conversions.