AdWords Tips for Holiday Advertising - #4 - Adjust Max CPC Bids
Yesterday we talked about how advertisers need to adjust their Daily Campaign Budgets to prepare for the increased Impressions that their Keywords will receive as we get closer to the Holidays. Today we have a related tip to help prepare for the increased competition - Adjust Max CPC Bids.
AdWords Holiday Tip #4 - Adjust Max CPC Bids
As we get closer to the Holidays not only do Impressions increase, but competition does also. Other advertisers know that the Holidays bring two things they seek - opportunity (Impressions) and motivated shoppers (Conversions). Because many advertisers realize the importance of Holiday shoppers, and because many of them make a substantial amount of sales during the Holiday Season, many advertisers plan budgets to be strong during the Holiday Season.
As more advertisers enter into the auctions for our Keywords, often times Actual CPCs will increase during the Holidays. That's not necessarily a bad thing because Conversions are also likely to increase as we approach the Holidays. However, advertisers must have their Max CPC Bids prepared to compete with the increased competition. Without making any adjustments to their Max CPC Bids advertisers are at risk of seeing decreased positioning and/or falling off the ever important first page.
Here are three things advertisers can do to evaluate their Bids, and make adjustments if necessary -
- Estimated First Page Bids - Estimated First Page Bids tells advertisers the least amount they'd have to set their Max CPC Bids to in order to appear on the first page for their Keywords. If Max CPC Bids are below the First Page Estimates, Keywords will likely not serve Ads, thus miss valuable Impressions. Setting Max CPC Bids to at least First Page Bid Estimates is a good first step for staying on the First Page.
- Monitor Impression Share Reports, specifically Lost Impression Share due to Rank - Impression Share tells advertisers the percentage of time their Ads appeared vs the amount of times their Keywords were queried. Typically advertisers will want to have a high Impression Share, meaning their Ads appear often when their Keywords are queried. If Daily Campaign Budgets and/or Max CPC Bids are not high enough, advertisers can lose out on valuable Impressions. The Impression Share due to Rank report tells advertisers the amount of times that their Bids not being high enough is restricting their Ads from appearing. Knowing your Impression Shares, and knowing why you're losing Impressions is important when determining where to focus your effort on your Max CPC Bids.
- Automated Rules/Flexible Bid Strategies - Automated Rules and Flexible Bid Strategies can help advertisers automate the process of adjusting Bids in order to stay on the first page of the Search Results, and to target ideal Positions and/or bid to a target ROI goal. What's so nice about Automated Rules and Flexible Bid Strategies is the automation they bring - instead of advertisers having to manually monitor and update Bids multiple times a day, these do all the heavy lifting for advertisers, allowing them to spend more time on other activities to help increase sales during the Holidays.
This Holiday Season, make sure to evaluate and monitor your Max CPC Bids, paying careful attention to staying competitive in your Keyword Auctions. This is a good practice to ensuring that your Ads are there when your Keywords are searched.
In closing, it's important to remember not to set Max CPC Bids for more than a Click/Conversion is worth to you. You still must maintain profitability through AdWords and your Max CPC Bids can help regulate that. Conversion Tracking is an important tool for understanding and analyzing your profitability and performance from AdWords.