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Why are a selected few keywords 50c min? It's not as if they are hugely popular keywords, they only have one other bidder on them.
Anyone know why?
I have emailed them about it but don't expect a reply for a few days from experience. Not nice.
"Minimum bids for Overture Australia range from AUD 0.10 to AUD 0.50 to AUD 1.00 per click and may vary from one keyword to another. Overture incorporates many different methods in order to derive an appropriate value for each search term. These methods include understanding current Australian marketplace dynamics, performing detailed online advertising
industry analysis as well as leveraging Overture?s experience in other globalmarkets.
These factors help us to determine the value of each term to advertisers in each segment. The search term "car audio" for example, has a higher market
value and, as a result, requires a higher minimum than the baseline minimum of AUD$ 0.10."
I disagree with this completely. The bidding price should be determined by the advertisers that bid on the keywords. The market should demand the price not Overture.
The keywords I questioned them about were not even bidded on, there was NO competition. I wanted to bid the min 10c as that's what I was prepared to pay for them considering there was no competition!
Why Overture WHY!?
I have been using Overture for a couple of weeks now. I have had Adwords campaigns for 2 years and I am not completely happy with Overture but it is good. I just don't like these hidden "features" I keep finding.
If you are struggling to sell inventory, then a minimum bid will not help.
I could understand it if it was to try to reduce the amount of time required for editorial on advertisers that are never going to spend. For this to be the case though the artificial minimums would have to be on terms where there are already plenty of competitors. Perhaps there are lots of broad matches though who would pay more for the terms?
Of course, there are plenty of marketing psychology issues involved - if they can lure advertisers in at a cheap price, there's a good probability that the terms will get competitive. As soon as a competitor sees the sponsored listing, he'll want to find out how his listing can be there or higher.
It's much like eBay, where a high reserve price may ensure that bidding never gets off the ground.
Holy smoke! What a concept!
Reality....They have both being playing these markets for several months......and there wasn't much any individual could do to stop them.
You signed up for AdWords, you signed up for Adsence, you did similar on Overture in search of the holy grail....actually all you really achieved was to tell your true competitors and their middlemen how much advertising was worth to you. Which was the recipe to the secret source.........now they have it, and you can expect to pay to buy it back!
Sorry to those in pain, but you have to see the funny side of this ;)
Next time (and there will be one) think before you leap!
If Overture is setting the PPC market based on data they collect, this is not a good thing. Advertisers should learn that the less a company knows about you, the better. Overtures artificial minimuns will come crashing down with MSN leaves them and starts their own PPC next year. Think about it - Gates will start MSN with a minimum bid of .01. Going to shake up the entire industry. Competition is GOOD.
jd
Keywords are worth what advertisers are willing to pay, not what Overture or Google think they should be paying.
End of story.
You have to wonder why they were so persistent. Also I've had conversations with them that it's unwise to share the info; not surprisingly they became very defensive.
Do NOT share.
They can not generate enougfh traffic to make it worthwhile so they have introduced a minimum billing of Euros 25 per month.
We would love to have more traffic at reasonable prices however even at Euros 0.15 (min) per click we can not get our billing to the minimum unless we bid high on general terms and throw the ROI out the window.
If we were to stay with Over DE we would be paying the equivalent of US$0.31 for traffic we get from Google for US$0.07 and from Over US for US$0.10.
To heck with them.
We are down to less than Euro 1 in our account and when it runs out we will close the account which we have had since the first day they opened this market. I'll give the extra money to Google.
