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How google charge when you are the only advertiser?

Visitor ✭ ✭ ✭
# 1
Visitor ✭ ✭ ✭

Hi,

 

I really wonder how google will charged us when we are the only advertiser

 

I have a campaign which contain 2 ads 1 for pc and one for mobile devices and i'm the only advertiser for the keyword that I'm using. Which means no one uses my keyword to advertise ( I can receive click normally and my CTR is pretty high)

 

Now, When i go to settings tabs and under it I choose devices, i tried to lower the mobile device cpc to 80% and one week later my average CPC go down from $1 to only 1 cent. And moreover, I still am at the top of the page in mobile devices but now I was charged only 1/10 as before.

 

Why that happened? I thought google only charge you enough for you to be at the position higher than your competitor (in this case is the 2nd one) but what if there is only me? How google charge me? No one use that keyword to advertise and how google can calculate the amount for me?

 

Please help me solve this. Thank you guys so much

1 Expert replyverified_user

Re: How google charge when you are the only advertiser?

Badged Google Partner
# 2
Badged Google Partner
Hello Minh Tâm N,

just because you are the only advertiser that doesn't mean you don't pay anything for clicks. In fact you do. Google have some sort of max CPC bottom and eventhough there is no other competitor for this keyword than you, you still have to pay this minimum CPC.

For Google Shopping there are different rules. Google won't show ads unless there are at least 2 advertisiers, each with one product.

Ale

Re: How google charge when you are the only advertiser?

[ Edited ]
Visitor ✭ ✭ ✭
# 3
Visitor ✭ ✭ ✭

Hello,
I'm asking here is how google charge us when we are the only one, I did not say google have to charge me nothing if I'm the only one.

My point is

In the 1st week I set my max cpc is $2 and my average CPC is about $1.8 and I am the first one in the mobile page as well as computer page

Now, in the 2nd week I tried decrease my bid for mobile by 80% and at the end of the week my average CPC lower to about 1 cent and I'm still at the top of the page (on mobile of course)

What i mean is base on google policy. They only charge us enough for us to be better than the one below us. Not the maximum CPC that we set. But look at my example above I can see that if I'm the only one google start to charge me base on my max CPC because I'm the only. So i started to wonder what if I set the max CPC to $100 and see what happened. But the cost will be too high for me for just one test so I decided to ask you guys what do you think about it

Re: How google charge when you are the only advertiser?

[ Edited ]
Top Contributor
# 4
Top Contributor

Hi @Minh Tâm N;

I don't think that there is any word in English that was not bid, once. Smiley Surprised

In other words, even if currently there are no competitors, they are there (could be not active). Long gone the days of 1 cent as a minimum bid....

Hence, Google sets a minimum threshold   of an ad-rank, for your ad to  to be shown, even if no other advertiser currently advertising.

Moshe, AdWords Top Contributor , Twitter | Linkedin | Community Profile | Ad-Globe
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Re: How google charge when you are the only advertiser?

Badged Google Partner
# 5
Badged Google Partner
Well if you set max CPC to $100 then Google will charge you the same. Unless you have some strategy for the first page/top of the page and some advertisers will come to the Adwords and push you away from these positions. Then you will pay more. Otherwise I cannot imagine how else you could pay 100$ per click or anything close to if you now pay 1 cent to few dollars now.

Re: How google charge when you are the only advertiser?

[ Edited ]
Visitor ✭ ✭ ✭
# 6
Visitor ✭ ✭ ✭

I'm sorry, I did not mention about the language. I use Vietnamese keyword with geo target on one city only, so there would be less people to compete. I am also aware that i'm not the only one, but I can't see another ad of the others. Moreover, when I gradually increase my bid it is either my ad won't show up because the bid is too low or I am at the top 1 position. So I just assume that I'm the only one (at least the only one eligible to show up on google ad)

All I want to ask is in my case why my charge is different between two weeks although I keep all of my configuration the same, only the bid for mobile was decreased by 80%

Re: How google charge when you are the only advertiser?

[ Edited ]
Visitor ✭ ✭ ✭
# 7
Visitor ✭ ✭ ✭

It just an example to make you guys easier to understand my point. Sorry because i'm not a native English speaker. I run my campaign in a different country with different currency so I to tried make those numbers up for you guys to understand the case and my point. I'm afraid that it's not clear enough. In short, Is there any reason explain why the cost go down with all else the same? With other campaigns with competitors when I lower the bid price the average CPC will go down as well as my position so I can easily understand that. But when I'm the only one my cost go down but the position stay the same. At least, from what I thought i has to disappear because my bid is too low for google

Re: How google charge when you are the only advertiser?

[ Edited ]
Visitor ✭ ✭ ✭
# 8
Visitor ✭ ✭ ✭

Hi i tried to post an image to show my point clearer. From the week of 13 i started to bid my mobile down for 80%

 

Screen Shot 2015-07-16 at 08.58.13.png

Clearer view 

 

Screen Shot 2015-07-16 at 09.01.08.png

 

Screen Shot 2015-07-16 at 09.01.15.png