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Why is AdwordsCPC higher when the daily search is low

Visitor ✭ ✭ ✭
# 1
Visitor ✭ ✭ ✭

Why is AdwordsCPC cost higher when the daily search is low?  eg. Keyword A could have a search of 266 with a CPC of 0.77, whereas Keyword Z  will have a search of 5 with a cost of $24.95 any reason?

Re: Why is AdwordsCPC higher when the daily search is low

Explorer ✭ ✭ ☆
# 2
Explorer ✭ ✭ ☆
Hi Shamal,

This could happen as the keyword may be very niche or specific to any particular industry. In this scenario, there are chances that the search volume for this keyword will be low. In another scenario, the other keyword would be very generic to all. Hence, the CPC for this keyword would be very low. When it comes to specific v/s generic, you do have to pay extra for targeting specific keywords or target audience.

I hope this helps.
Kapil M

Re: Why is AdwordsCPC higher when the daily search is low

Participant ✭ ✭ ✭
# 3
Participant ✭ ✭ ✭
Hi Shamal

Welcome to the community!

#First of all, the impressions numbers which you are getting in your Adwords account is not the total numbers of searches that keyword is being searched on Google in your targeted location. Like you have mentioned that keyword A is showing 266 impressions, it doesn't means that keyword A is searched only 266 times on Google in your targeted location, its the number on which your ad is shown. To know how much % share you ads are getting please add search impression share and search lost share metrics in your Adwords account from customise drop down menu.

# Secondly your cost per click is decided on the basis of current competition which is calculated from the formula Ad Rank not impressions. We can't neglect the fact that higher the searches, the higher will be the competition but there are cases where the consumer market is very less. I suggest try to improve your quality score and ad some ad extensions to boost your ad rank.

Hope this helps!

Abhishek