Are you changing keyword bids too often?

The AdWords advertising system utilizes an auction-like process to decide which advertisers’ ads get to show and in which order. By bidding higher or lower, you can appear at higher or lower positions — depending on what your competitors are bidding.
Account managers use many approaches for setting and tweaking bids over time, and bid optimization is one of the oldest features in the SEM software industry. Automated bidding can work great, but many account managers (particularly agencies and consultants) have neither the budget nor the inclination to pay for an additional system to help them manage their AdWords account, so often the account managers must set bids themselves, which can be a daunting task.
I recently audited a large enterprise account and saw that the account manager had been very busy making bid changes, every three days or so, for the same keyword in many cases ($2.00 –> $12.00 –> $8.00 –> $15.00). Frankly, it looked pretty crazy.

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