Overture bids

Maximium bid/actual bid

[MHes]

Hi

Please could someone explain how much an advertiser pays o overture if the bids for a search phrase are as follows:

Blue widgets
www.site1.com
(Advertiser's Max Bid: £0.21)

Blue widgets
(Advertiser's Max Bid: £0.20)
www.site2.com

Blue widgets
(Advertiser's Max Bid: £0.13)
www.site3.com

Blue widgets
(Advertiser's Max Bid: £0.10)
www.site4.com

My understanding is that if someone clicks www.site1.com then they pay 21p because the second bid is 20p. But does site2 pay 20p despite site3 being only 13p?

Thanks

[Tropical Island]

Site 2 pays £0.14.

[MHes]

Thanks.

So the rule is you pay maximum bid +1p of the bid below you?

[Tropical Island]

yup!