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Different countries = different CPCs?

Badged Google Partner
# 1
Badged Google Partner

Hi guys,

 

Every account has it's own currency.
However, I am not clear about the currency CPCs. For example, a year or so ago, I ran an Adwords account for an Eastern country.

However, I set the USD currency and paid with a US credit card. The CPCs were around $0.80 to $1. A month later, they had their own Adwords account set with their currency and credit card with - exactly the same keywords - same structure (basically, everything the same because they exported my account into theirs).

 

Problem? They were seeing CPCs that are equivalent to less than $0.10. On the same search keywords.
So I'm wondering if it's smarter to have a separate account if you are targeting a different country?

 

Thoughts?

1 Expert replyverified_user
Marked as Best Answer.
Solution
Accepted by Eric Gehler (Badged Google Partner)
September 2015

Re: Different countries = different CPCs?

[ Edited ]
Top Contributor
# 2
Top Contributor

 Hi @Mark H;

Simple answer - NO;

CPC is  purely a factor of ad rank (bid and QS) per a geographic location and has no effect of  currency.

 

AdWords  currency exchange rates are calculated at least once a day and hence "currency arbitrage" (i.e opening  accounts in  different currencies to take advantage of the global differences in exchange rates)  would not affect the costs. 

Moshe, AdWords Top Contributor , Twitter | Linkedin | Community Profile | Ad-Globe
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