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Great Explanation Of The Google Adwords Bidding Model

Published by Ad Hustler on March 12, 2009

Ever wonder exactly how the bidding model for Google Adwords works?  This is a video from Google explaining it, and it’s a really good explanation.

Ad Hustler

Published inSearch Engines

7 Comments

  1. Josh Josh

    I totally agreed and as soon as I watched it this morning, I sent it to 10 other people. Great video, even for experts in adwords as a refresher.

    March 12, 2009
  4. Matt L Matt L

    Good video, but mmm… I don’t think that max bid is right. I was the only advertiser on a bunch of keywords and bid $0.30 since I thought there was no way I would be the only one.

    I was humming along at $0.23 cpc but finally noticed the dearth of advertisers. I was position 1.0 every time, except when some moron must have broad matched their way into my keywords.

    So, I dropped down to the minimum 1st page bid and – yep, still 1.0.

    I know you know that, but for the noobs or those in more unusual markets…

    March 12, 2009
  5. Ad Hustler Ad Hustler

    @Matt – I dont think the video covers every situation, I think its just a broad explanation. For instance, keywords that have minimum bids aren’t covered here.

    March 13, 2009
  6. Steven Steven

    I highly disagree with him on one thing. Not every advertiser give a crap about providing relevant content to the user. They care about conversions whether its relevant or not (at least, affiliates do). This would only apply to real businesses (even then, only to some degree) and of course users looking for info, products, or services. For affiliates, at least the ones that are looking for money, you hear more of the disgruntle slaps than you do about providing relevancy.

    March 17, 2009
  7. Ad Hustler Ad Hustler

    @Steven – Your totally right, most of us couldn’t care less about providing quality content (including me – i’m paying for advertising not performing an act of charity). I care about conversions. The thing that’s good about this video is at least we can get a peak into their heads and see what the heck they are thinking so we can figure out a way to trick them 🙂 – Rock on Steven.

    March 18, 2009

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