SEM “Common Knowledge” Not True
You have a problem. You are desperate to get more clicks on your search engine pay per click campaigns. Forget conversions, you don’t even have enough clicks to generate a conversion at this point. Yet you keep increasing your search engine spending budget and increasing keyword bids. You are spending plenty of money on AdWords or Yahoo Search and starting to wonder why? You increase your keyword bid amounts incrementally with marginal improvement. You don’t know what you are doing wrong. Maybe you can’t afford to play here. Should you bag the whole thing and just focus on SEO?
“Common knowledge” in the world of PPC says increasing click counts requires raising keyword bids and increasing your Google AdWords or Yahoo Search budget. Of course you expect the average cost per click to increase in order to generate more clicks. After all, raising keyword bid prices does yield more clicks.
PPC Ad agencies, PPC software companies and other Google AdWords “experts” all recommend increasing bids to get more clicks. They will tell you more clicks cost more money, no matter what. They also say inexpensive clicks have low conversion rates and that is why they are so cheap. (I had better speak softly “they” might be listening.)
Some of the least expensive clicks yield the most conversions. Why? Because certain keyword strings qualify a prospect so specifically, a targeted, low-priced keyword generates a click from a highly qualified prospect.
Another low cost click from a Google, Yahoo or MSN search might not convert as well as an average click, but it is not evident at first.
How do you proceed? Do you increase budget on inexpensive keywords based on your best guesses? You can try this and it might work. The problem is some inexpensive keywords offer high quality leads and other don’t. Figuring out which is which over the long run is too time consuming to be cost effective. A keyword bid management tool designed with a budget-driven bidding option is an easy, cost-effective and automated way to get the results you want without the financial runaway train effect of constantly increasing budget.
A keyword bid management tool that offers Budget driven keyword bidding to optimize click cost and conversion cost for Google and Yahoo search engine keyword bids and content network keyword bids maximizes clicks and conversions without increasing search engine PPC budgets. The result is more clicks, conversions and lower average CPC (cost per click).