Does minimum bid change if Sponsored Link exists?

[sun818]

I tried to create some new AdWords but the minimum jumped from the typical $0.05 to $0.37. There were no other AdWords (right column) but there were two "Sponsored Links". Is that why I couldn't bid $0.05 for those keywords?

[Jon_King]

Have you entered a maximum bid of .05 and started the campaign? My experience is that it will be accepted with fewer impressions.

[sun818]

Yes, I started the campaign. Even after 50 refreshes, there is no sign of the Ad.

[vibgyor79]

Google always had a keyword specific minimum CPC ranging from 5 cents to $1.00! They have some sort of skewed logic behind setting higher min CPC for certain keywords (based on the perceived "value" of the keyword, to give a level playing field to old CPM based AdWords advertisers and so on)

Note that your ads won't be shown in the USA alone (and sometimes Japan) if you go ahead and select 5 cents as your min CPC. Also, ocassionally, goes does display your ads to US surfers. So basically, there is no harm in selecting the keyword and setting the max CPC to 5 cents.

[Tropical Island]

We have one category that used to have a high minimum bid but it was reduced in Jan to 5¢. This heading also has sponsored ads in the USA.

[kila_m]

Personally I think its time to get rid of those bid.. they ar eonly stopping potential bidders.. let the market forces control the price I say.