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New Keyword Status & Minimum Bid Change...

keyword status minimum bid update this summer

         

mothner

8:56 pm on Jun 22, 2005 (gmt 0)

10+ Year Member



So I heard a little whisper from one of my buddes that just started working at AdWords that there is a fairly major change coming sometime this summer (July allegedly, though there could be delays).

It's actually rather interesting...

The change will be twofold (and related):

1) From the current Normal/In Trial/On hold/Disabled status for keywords to simply Normal and Inactive. So, if a keyword's predicted CTR falls below the predetermined threshold (as it currently stands) it becomes inactive. However, unlike the current state of disabled wherein it is very hard to get that keyword going again anywhere in that account -- since Google has a memory of every KW every in an account -- this is not the end of the road for these keywords!

2) Keywords moved to "inactive" will be able to be counteracted (the keyword made normal again) by raising the bid on the keyword so that the adjusted AdRank (CTR * Max CPC) hits that threshold. Effectively, this is like an adjustment in the minimum bid, where new keywords with low bids disabled due to low pCTR will be able to be made active by raising that bid.

Related to this change will be the ability for minimum CPC to fall to as low as $.01, which should be very interesting. So in a campaign in which we have a keyword at a $.05 minimum bid with a 20% CTR (which believe it or not, does exist, however rare), the price we pay for click would fall to as low as $.01 because our CTR is so much higher than that minimum threshold.

Anyhow, should prompt some interesting changes in the bidding and marketplace dynamic.

What are your thoughts?

Mike

mark1111

11:15 pm on Jun 24, 2005 (gmt 0)

10+ Year Member



It only makes sense. If keywords go in trial or on hold, the pink box tells you to improve them. How? By rewriting the ad or raising the cpc ... which has no immediate effect on the keyword status. At least this way we can do something to keep it going if we want to. I'm just surprised it took them this long to implement it, by way of the "in trial--on hold" detour.

patient2all

12:01 am on Jun 25, 2005 (gmt 0)

10+ Year Member



Mike,

Am I hearing right, good news? Or am I hallucinating?

Rare good news but welcomed!

In fact prior to your post, if I knew you had a friend at Google I would have invited you both to meet me in the back booth of a side-street pub called Buddies. I would have been willing to hand over a suitcase of cash to get a few words enabled :) (joke!)

Now I lost some valuable words (titles of works) early on because I had like 4000 impressions and 2 clicks. I couldn't figure out why this kept happening. Then I read a post that suggested that you include in your negative keyword list some or all of the following:

-allintext
-allinanchor
-allintitle
-allinurl

Problem never recurred. Folks I would suggest using these in your AdGroups unless you want to absorb all those "probe" queries as impressions and leave the hits for me!

patient2all

vincevincevince

12:05 am on Jun 25, 2005 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



A lower minimum bid doesn't sound good for Adsense publishers...

RedWolf

2:59 pm on Jun 25, 2005 (gmt 0)

10+ Year Member



But .01 sounds about like what an adsense click might be worth to me. I turned one campaign on at .05 and am beginning to think that that is still too much.

dave741

5:20 pm on Jun 25, 2005 (gmt 0)

10+ Year Member



Mothner,
I would just love all of that points.

I wouldn't be surprised if they turn the On Trial/On hold thing off. Even they are not able to handle it:
[webmasterworld.com...]
It would be very good news!

The possibility to "resurect" a dead KW seems great, too.

$.01 minimum bid is just over my dreams :-)

Again: I would just love all of these changes.