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Currency comparison in position algo
How compares e.g. UKú0.05 vs US$.08?

10+ Year Member

Msg#: 2088 posted 6:29 pm on Feb 19, 2004 (gmt 0)

Does Adwords use up-to-date market currency rates when comparing currencies?

1) Ads are ranked partly based on max bid.
2) But max bid can be in any of a range of currencies
3) Adwords needs a way of comparing the value of different currencies.

Does any one know ho up to date the rates are the Adwords compares currencies at? The dollar (what most of my competitors will be bidding in) is now very low against the UK pound, what I bid in(US$1.9 = UKú1, as opposed to hostorial norms of I guess US$1.65?

Does that mean that UK advertisers are these days getting a free step ahead over US competitors? Or is Adwords fairly out of date with its currency comparisons?

We know that the UK min bid of ú0.04 is now 50% higher than the US min bid of $0.05. (UKú0.04 = US$0.076)



10+ Year Member

Msg#: 2088 posted 11:45 pm on Feb 21, 2004 (gmt 0)

I would like to know this as well.. Anyone know?


WebmasterWorld Senior Member 10+ Year Member

Msg#: 2088 posted 1:58 am on Feb 22, 2004 (gmt 0)

I'm pretty sure the bean counters at Google know.

I think it's fair to say that there is probably not that many currency calculations made each month, as the complexity of trying to handle all the CTR/phrase/exact/broad/currency fluctuations across multiple currencies/negative keywords etc.. will only make the process onerous.

Whatever the rates used, the calculations will always have the same factors, if 5p is more than 5 cents then all other things being equal that advertiser is paying more so should be treated better.

You can't toggle between currencies, so there is no mileage in trying to buck the system. Stick with paying in the currency you pay in would be my advice.


10+ Year Member

Msg#: 2088 posted 5:49 am on Feb 24, 2004 (gmt 0)

Well, I run an Adwords account in Australian dollars, and my partner runs one in $US. The minimum bid in $AU is $AU0.09, which currently converts to $US0.069. The US minimum is $US0.05

If you are the only ad, or you just want to pay the minimum, there is a major cost disadvantage from working in the Aussie currency.

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