There have already been some discussion here about this issue (QS). It’s simply that AdWords is a bit different animal then you would expect. After having Google for so many years in PPC, it seems that new accounts are out of luck, at least at the beginning.
First thing I found is that approval takes longer than before. If you are aiming top positions, you’ll be on a side for a while, unless you ask for approval. You have a rep?
Secondly, yes, you’ll be paying way more, I mean so more that it looks ridiculous.
Recently I “moved” few accounts from $CAD to $US. Pay attention now, same sites, same keywords, same ads – this means lots of AdWords’ history should be preserved as the system looks into overall performance of certain keywords, ads, sites, etc – then your own stuff comes into place, that’s how your keywords get their mark like Great, OK, or Poor right after you’ve entered them.
Brand new site – holly, if they have no clue about it, it’s like they don’t trust it, just like in organic stuff, you are nowhere.
That’s why you pay more, and still have a headache.
Please note that all of my comment comes based on what I “felt” through managing many AdWords accounts.
Just yesterday it happened I called about one of my new accounts that was in the “black” after I migrated well established campaign. I would run it, then pause it, and swing back to old account that performed well. I did it few times with no luck to see my ads where I was expecting them to be (including one call about week or so ago that ended with “I’ll send you an email by the end of the day to confirm your new ads were reviewed”).
So I called again (yesterday) and asked same thing. I’ve got so mad after that I took Professional exam and passed it with >91%.
Long story short, if established site, ads, and keywords have a hard time to get through, you can expect new sites to have it even harder.
I totally disagree with that but it looks to be what it is.