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Estimated top page bid???

Follower ✭ ☆ ☆
# 1
Follower ✭ ☆ ☆

Here is example from my account:

keyword  Max CPC 11$, avg pos. 2 - est top page bid 0.30$

I've got 2 impressions and 1 click and that click cost me 10.07$

question is why it so expensive when est top page bid just 0.30$

thank you

 

1 Expert replyverified_user

Re: Estimated top page bid???

[ Edited ]
Collaborator ✭ ✭ ✭
# 2
Collaborator ✭ ✭ ✭

Hello,

 

This is because the top of page consists of 3 competitors for the first 3 slots. So if the 0.3 $ is the estimate it means you can get the lowest "top of page" position no 3 for around 0.3 $ but you never know how much the other 2 competitors bid to get the positions 1 or 2. To understand the avg. cpc. metric, watch this video from Hal Varian ( chief economist at Google ) from min 6:37

 

http://www.youtube.com/watch?v=a8qQXLby4PY

 

So let's say that you have the bid 10 $ and the QS 4/10 , and the advertiser below you at Ad pos. 3 has the bid 3$ but the QS of 10/10 (you have a higher ad rank than him 40 compared to 30) what happens :

 

Your avg. cpc is (his ad rank 3 x 10 = 30) / your QS +1 cent = 30/4 +0.01 = 7.51 $

 

So your competitor at avg. pos. 3 could be paying 3 $ unlike you who are paying 7.51 $ (just as an example)

 

The point is to have a higher QS and the basic ad extensions activated : location extension, sitelinks, call extension as the news about the ad rank say that the ad extensions are used to calculate the new ad rank.

Re: Estimated top page bid???

Explorer ✭ ✭ ☆
# 3
Explorer ✭ ✭ ☆

Hi,

 

This is way too costlier. Probably look at your Location Targeting. Instead of a whole country, look at targeting a city or state. If its a state then move to city level targeting.

 

Also, if you are using very general keywords, then add negatives lots and lots of them. You will get negatives from keyword planner tool itself. Decide which one is a ngeative for you. Instead of Broad Match, user +Broads or even move to exact if necessary.

 

You need more long tail keywords. Dont use single word keywords, you will spend a fortune and wont get enough results.

 

Hope this helps.Man Happy

Re: Estimated top page bid???

Top Contributor
# 4
Top Contributor
Hi Rostik,

Actual Cpc is diffrent from the estimated top page Bid.

Est top page bid gives the estimated minimum bid requirement to keep your ads at top position, based on your quality score, landing page experience.

But there is some other internal & external factor that impact your Actual CPC:-

Relevancy of the search term with Keywords.
Bid and budget of the keywords and campaigns.
Real time ad rank of your ads.
As Quality Score Determine every time when your Keyword matches with the Search term used by user. Thus QS at the time of Bidding.
Competition, Geographical location and Time, when your ads appear on the SERP.

These are the some factors that determine your actual Cpc.

Thus bidding equal to est top page bid does not give always first positions and bidding higher than est top page bid do not guarantee that you will charged only est top page bid.
--Rakesh Kumar, AdWords Top Contributor , Twitter | Linkedin | Community Profile
Did you find any helpful responses or answers to your query ? If yes, please mark it as the ‘Best Answer’

Re: Estimated top page bid???

Follower ✭ ☆ ☆
# 5
Follower ✭ ☆ ☆
my targeting is city and QS for that keyword 7/10
and keyword is long tail phrase match
thank you

Re: Estimated top page bid???

Collaborator ✭ ✭ ✭
# 6
Collaborator ✭ ✭ ✭

Usually a higher bid like yours results in "more top of page impressions" so at 0.3 $ you could be having 1 top of page impression but at 11 $ you could be having 20 top of page impressions.

So my point is to try a lower bid , something around 2$ MaxCPC, it is closer to the top of page estimate and the avg. pos. of the impressions could be the same around 2 just for fewer top of page impressions.

 

 

If the "bid estimator" button is active for this keyword the graph could look like this :

 

bid-simulator.png

 

 

Re: Estimated top page bid???

Follower ✭ ☆ ☆
# 7
Follower ✭ ☆ ☆
what if problem in crossing keywords? (which make competition between each other)

Re: Estimated top page bid???

Explorer ✭ ✭ ☆
# 8
Explorer ✭ ✭ ☆
Alex - don't worry about crossing keywords. It's a pain, but Google's algorithm will sort them out easily. The one that makes them most money at that time wins. No questions asked.

It's you that gets to ask the questions - why did this one work? why did the other not? what was special about this circumstance that got me the click here? all these answers can be reverse-engineered into your campaigns to clarify them (different negatives in your campaigns).

Plus, as mentioned in my previous comment, get interesting with your adwords ads. Scratch the itch, as the direct marketers of old would say. Doing this will attract eyes to the top right of the page. You could try just one word "Painter?" as a headline. Test it against the others. It doesn't matter if it works or not - the very act of testing will give you more ideas about what avenues work, and quite as importantly which ones don't!

When the majority of your QS is CTR, you can boost your QS yourself by nudging up your CTR. The easiest way to do this is by having outstanding ads.

Re: Estimated top page bid???

Collaborator ✭ ✭ ✭
# 9
Collaborator ✭ ✭ ✭

@Alex P

 

To analyze if a Phrase match for example is getting too much clicks for the exact variation ( when you also have the exact match) , it helps to go in the Keywords tab and use the Segment by "Search terms Match type". This way a phrase match keyword can reveal how many "phrase match" clicks and impressions it received vs. how many "exact match" . Also a broad keyword can receive clicks for all match types of the search terms.

 

You do not have problems with keyword competition as you have set different bids per match type (as you explained in another message). You have ad groups with the same keyword in 3 match types , this is the ideal grannular setup. 

Re: Estimated top page bid???

Explorer ✭ ✭ ✭
# 10
Explorer ✭ ✭ ✭

"It's a pain, but Google's algorithm will sort them out easily. The one that makes them most money at that time wins."

 

Gemma, but it's not about "making them most money", it's about higher ad rank. 

 

milda