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Setting a CPC Max Keywords Process

Visitor ✭ ✭ ✭
# 1
Visitor ✭ ✭ ✭

Hi Guys, 

 

I am building a campaign for a search campaign for a niche market and I am kind of lost regarding the CPC Max for each keywords. Some of the keywords do not have data except the average traffic per month. Do you know how can I decide of my CPC Max Should I put a random one ? 

 

 

1 Expert replyverified_user
Marked as Best Answer.
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Accepted by Krisha (Community Manager)
May 2016

Re: Setting a CPC Max Keywords Process

Top Contributor
# 2
Top Contributor

Hi @Maxence M while it may sound crazy, sometimes just putting in a random figure is the easiest way to go - as long as you're monitoring carefully and are not going to spend a huge sum in ten seconds...

 

Normally, there will be clues to the sort of figure you can expect.  If a specific Keyword isn't showing a CPC suggestion, it's still likely that others will, so you can get a "ball-park" figure.  Alternatively, if you're selling online, you can actually work out a rough limit for your CPC using the formula:

 

Max CPC = conversion rate * net profit per item

 

(for example, if your net profit is $30 per sale and you have a conversion rate of 10%, you cannot afford to pay any more than $3 per click to make a profit). Unfortunately, you'll probably have to guess a conversion rate until you get some data flowing in, but if you use a figure of 2% (0.02) you'll probably be close.

 

Much of AdWords is about optimisation after setup, rather than being something you can set up perfectly right from the start, and this issue of Max CPCs is just one demonstration of that!

 

Jon

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Re: Setting a CPC Max Keywords Process

Visitor ✭ ✭ ✭
# 3
Visitor ✭ ✭ ✭
Thanks @Jon_Gritton really helpful !