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Google AdWords Pricing Change Goes Into Affect

8/15 1:00pm PT

     
8:26 pm on Aug 15, 2005 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



I guess it just went through... refreshed and this appeared.

Message:

We've simplified our keyword status system.
Your keywords will now either be active (triggering ads) or inactive (not triggering ads). Quality remains the most important factor in your keywords' performance. Each keyword will now have a minimum bid that is based on the quality of your keyword and ad text. If your maximum CPC doesn't meet this minimum bid, your keyword will be listed as inactive.

What you should do differently:
If a keyword is listed as inactive, improve its quality through optimization, delete it, or raise that keyword's maximum CPC to the minimum bid indicated. (Raising the bid will re-activate the keyword.) If your keyword is active, you don't need to do anything.

8:39 pm on Aug 17, 2005 (gmt 0)

WebmasterWorld Administrator ewhisper is a WebmasterWorld Top Contributor of All Time 10+ Year Member



FYI - I'm seeing $0.02 and $0.03 as examples for brand new keywords that have never once been in an account before.
8:50 pm on Aug 17, 2005 (gmt 0)

10+ Year Member



Well, the extrotion begins. Keywords in position 1 to 3 with .05 to .10 bids and CTR's in the 1% to 5% range for this month are going "inactive" and saying I need to either increase the "quality" of the ad, or bid .20+ to make the active again.

I hate to praise Overture, but at least they had the guts to call a min bid increase a min bid increase, not a great new feature.

8:58 pm on Aug 17, 2005 (gmt 0)

10+ Year Member



I restarted my campaign today to see how it would go. I thougth I could get less than 5c CPC for a number of keyfrases as I am the only one bidding on them and have an historical CTR of 10, 20 30 or even more %. But no way, still making me pay 5c. Well just have to stop the campaign again....
9:00 pm on Aug 17, 2005 (gmt 0)

WebmasterWorld Administrator ewhisper is a WebmasterWorld Top Contributor of All Time 10+ Year Member



well, i don't know if this is a bug or what; however...

every keyword i've seen where the min cpc is higher than the current average, i've been able to delete the keyword and readd it immediately to the adgroup for a min bid of $0.05 or $0.10.

seems quite silly that keywords with position 1.1 and $0.12 average cpcs are having new mins at $0.40-$1.25+ when a simple copy, delete, and paste makes it look like the old system.

9:02 pm on Aug 17, 2005 (gmt 0)

10+ Year Member



"every keyword i've seen where the min cpc is higher than the current average, i've been able to delete the keyword and readd it immediately to the adgroup for a min bid of $0.05 or $0.10."

this happens but not for all my keywords. some stay inactive and require me $.30 to activate.

9:08 pm on Aug 17, 2005 (gmt 0)

10+ Year Member



WHY are some words still 'disabled' after deleting and re-adding them? ( only some )

its driving me nuts :-)

9:18 pm on Aug 17, 2005 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



Quality remains the most important factor in your keywords' performance. Each keyword will now have a minimum bid that is based on the quality of your keyword and ad text.

Hello? Anybody out there? As an Adsense publisher, I run a niche site that currently has very few Adwords advertisers. I'm tired of people bidding on my key phrase just because it's cheap and noone else is bidding on it. My visitors are willing to pay money for supplies they need to participate in my niche. If only the Google ads showed adverts for such advertisers, we could all make a few bucks.

Adwords users who are bidding on keywords just because they are cheap, but those keywords have nothing to do with their site... are the only ones who have to worry about this change?

[edited by: spaceylacie at 9:25 pm (utc) on Aug. 17, 2005]

9:25 pm on Aug 17, 2005 (gmt 0)

10+ Year Member



thanks eWhisper, the delete and readd trick seems to work.
9:39 pm on Aug 17, 2005 (gmt 0)

10+ Year Member



eWhisper, are you talking about keywords NEW TO YOUR ACCOUNT or keyword NEW TO GOOGLE ADWORDS SYSTEM?
My interpretation is that if keywords are new to you but not google, you may get a below 10 cent, but if the keyword is new to your account AND google's system, it's a 10 cent minimum.
For instance, I tried bidding on "used green reaganites" because I am 100% sure no one bids on this phrase and it's a 10 cent minimum. So far everybody who says "I am bidding on something nobody would ever bid on" gets a 10 cent minimum
10:46 pm on Aug 17, 2005 (gmt 0)

10+ Year Member



As I suspected...the prices are going up already. Minimum bids to activate for a keyword was .04 cents yesterday. Notice it was not showing today and yes of course it's now .40 to reactivate when there are only 3 ads showing and 2 of those are not even related to the keyword (except they put it in the title) (40 cents) for a product that sells between 1.75 & $3.95 effectively stealing all the profit. Yah like that's worth it.

Fine...I'll live without it. The only people here that are happy are the BIG players because now the rest of us are no longer in competition. Way to go Google. Yah you really fooled us into thinking this was a good thing. NOT

The only way we will get their attention is for all the smaller companies that are hurt (one thing we have is numbers) to reduce our campaigns as far as we can. Once a few hundred million is not showing on the books on the quarterly reports....then they might get the message that we are not happy. I have reduced our campaign by 50% to start and now looking at other ways of spending the ad money.

DO NO EVIL INDEED

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