AdWords
3.2K members online now
3.2K members online now
Improve your AdWords performance and boost your ROI, CTR, and Quality Score
Guide Me
star_border
Reply

Lowering CPC increased first page bid, lowered QS

[ Edited ]
Visitor ✭ ✭ ✭
# 1
Visitor ✭ ✭ ✭

I lowered 4 keywords max CPC yesterday from 0.25p to 0.23p, which seems to have reduced my QS and increased my first page bids. Here are the metrics for these four keywords before the change was made -

 

  • The min first page bid - 0.20p
  • Quality Score - three had 10/10 and one at 6/10
  • CTRs - on google.co.uk about 4%, search partners - 1.9%
  • Avg position 2.9
  • Impression Share for Adgroup - 90%

So i reduced the bid to 0.23p thinking it will still be above the min first page of 0.20p and i will happily drop my ad rank to somewhere between 4 and 5. Wanted to lower my costs as these are high search vol keywords and get a lot of clicks and impressions in this campaign. The reduction was done at around 10pm last night, next morning at 7am i found that for all four keywords -

 

  • Min first page bid has increased to - 0.25p
  • Quality Score decreased - three keywords at 7/10, one keyword at 5/10
  • Avg position - 7

I have never read anywhere that QS looks at max CPC too? There are no other changes ive made to this campaign, all other metrics have stayed the same.

 

I am trying to get my head around this, is it that i am not a big spending adwords advertisor whereas most of the other guys who are on page 1 are, they are big companies whose campaigns are probably in some big PPC companies account who spend thousands a month for various clients. Because they have long term account histories and good "account" quality scores - they get cheaper first page bids. And because i happen to be competing with them, google has an arbitary figure i need to pay for these keywords, or is it something else....

 

3 Expert replyverified_user
Marked as Best Answer.
Solution
Accepted by Mini-CM (Community Manager)
September 2015

Re: Lowering CPC increased first page bid, lowered QS

Top Contributor
# 2
Top Contributor

Hello cartman and welcome;

This is very interesting: I should say that I have seen this phenomenon in the past, with small accounts, and haven't been able to find the answer.

My personal conclusion is that you lowered the bid below a certain threshold required by the system, or lowered the bid too fast. (Though in your case you lowered by only 2p - this is 8% - could be too high for the system. 5p is certainly a drastic change...)

I do not count much on "first page minimum bid". I see it only as a "good first shoot".

What I have found, is that it takes the system some time, after changes are made, to "get back to equilibrium", with the proper QS. So I would wait for 48 hrs.

 

Keep us posted . It's interesting.

 

-Moshe

Moshe, AdWords Top Contributor , Twitter | Linkedin | Community Profile | Ad-Globe
Did you find any helpful responses or answers to your query? If yes, please mark it as the ‘Best Answer’

Re: Lowering CPC increased first page bid, lowered QS

[ Edited ]
Top Contributor
# 3
Top Contributor

Hi Cartman,

 

>> it takes the system some time, after changes are made, to "get back to equilibrium" <<

 

That's the right clue coming from fellow TC Moshe. A small account is more vulnerable to changes hence this re-adjustment is more manifest in them. It may actually take a few days in most cases, for the metrics to get re-aligned. Perhaps a bit more if you are outside the US. 

 

In other respects I can assure you that your bids are not considered in the calculations of the QS and the First Page Bid.

 

Your other assumption is absolutely correct in that large and old accounts may get better deals from Google but that is typically happening via the calculation of the QS. Your decreasing the bids did not change anything in this respect.

 

Best,

Lakatos 

Re: Lowering CPC increased first page bid, lowered QS

[ Edited ]
Visitor ✭ ✭ ✭
# 4
Visitor ✭ ✭ ✭

Hi Moshe and Lakatos

Thanks for your reply. Yes ill leave the campaign un-touched for the next couple of days and see if any metrics change.

 

Regarding small accounts - i kind of have a feeling that its a very major factor, and this is what's affeting my performance. If the same keyword was added in two different accounts, say A and B.

  • Account A has had a long history and has been spending lots of money, decent performance etc etc.
  • Account B has only got a few months history, i would imagine A would see lower first page bids and CPC from the very start. Assuming account B is following all best practices, has tight ad groups, relevent ads, landing pages, high QS - all that, he will still pay more.

 

I can see how it makes sense from Google's perspective, and is a safer bet for them to show A above B (and reward A in a way with cheaper CPC), but its kind of bad from my perspective as i am that account B. Its a barrier to entry. This logic implies smaller businesses are better off being in an established company's PPC account.

Re: Lowering CPC increased first page bid, lowered QS

Top Contributor
# 5
Top Contributor

>> smaller businesses are better off being in an established company's PPC account <<

 

Good idea. However, not every one has access to or can afford participation in a large account, and also many prefer independence.

Re: Lowering CPC increased first page bid, lowered QS

Visitor ✭ ✭ ✭
# 6
Visitor ✭ ✭ ✭

Do you think becoming a google certified partner company will lower your account's CPC as your account will be seen as a certified partner - he

Re: Lowering CPC increased first page bid, lowered QS

Top Contributor
# 7
Top Contributor

To put it direct and simple : Not at all.

The certification program  has nothing to do with CPC

Moshe, AdWords Top Contributor , Twitter | Linkedin | Community Profile | Ad-Globe
Did you find any helpful responses or answers to your query? If yes, please mark it as the ‘Best Answer’

Re: Lowering CPC increased first page bid, lowered QS

Top Contributor
# 8
Top Contributor

Unfortunately....Robot LOLRobot LOLRobot LOL

Marked as Best Answer.
Solution
Accepted by Mini-CM (Community Manager)
September 2015

Re: Lowering CPC increased first page bid, lowered QS

Top Contributor
# 9
Top Contributor

Hi Cartman,

 

You CPC bid does not affect the QS directly, but indirectly it may. Your lower bid means lower ad rank and a lower position on the SERP. That change could lower the predictive score (about which we know little), which in turn lowers the QS. After all analysis, the QS really comes down to the expected CTR of the ad.

 

Best of Luck!

 

Pete

 

petebardo -- Deadhead doing AdWords

Re: Lowering CPC increased first page bid, lowered QS

[ Edited ]
Top Contributor
# 10
Top Contributor

 >>> You CPC bid does not affect the QS directly, but indirectly it may. <<<

 

Yep, that's kind of correct. Usually not an instant effect though that the OP had on mind. The predictive CTR may perhaps have almost immediate impact but that's an animal we know pretty little about. Also factor in that basically this impact could be balanced by that fact that Google claims they consider the effect of lower Ad Positions in the calculation of the QS. Again a factor we know nothing about the details.