Are Adwords Cost Per Click Dropping?
There was a time in Google Adwords was considered to be the easiest and most legitimate way to make money, and the modus operandi was very clear. You just had a number of ads sprinkled discreetly all over your website and the moment, somebody clicked on one ad, you would get a fixed amount of money depending on how “costly” that particular ad was. The cost per click was added to your Google account balance and send to you after a given period of time.
Many people are under the impression that Adwords cost per click are dropping, but as they say, “it ain’t necessarily so.” The cost per click is going to depend on your particular niche and market. It is also going to depend on how popular your product, services, content and the advertisements pertaining to that particular service and product are. That means that you are selling a product that gets only one click in a day, ah well, it is the luck of the draw. On the other hand, if you are lucky to have advertisements with high-paying keywords sprinkled throughout the ad, there is a chance that you are going to be earning more per click.
Many people who have based their business online on profits made through Adwords may be disappointed because a large number of advertisers have begun moving out thanks to the global economic meltdown. This had a negative impact on costs per click. That is the reason why Google showed a decrease in income last year. Nevertheless, now is the time to take full advantage of retaining a profitable ad position, as well as the top page position ranking. This is the way you are going to do it systematically -
It is time to do a bit of cost per click reviewing, and drop the bids, per click. You have to make sure that this does not have any negative impact on your profitability. Drop your bid from .10 cents to a dollar. Hot keywords are still going up, but the overall market trend shows downward drops in CPC.
Google is trying it is best to stem this downward trend by looking at ways and methods in which they can increase CPC for their advertisers. This might take the form of looking at bidding at minimum cost per clicks that Yahoo has already begun on a number of keywords.
The point is - you have to make sure that you have plenty of conversions as well as more traffic coming on to the website so that you can have adequate compensation for supposedly falling click through rates, and CPC changes. This can be done by defining your content and looking at the conversion reports to see which keywords got clicked more often. Then fresh new content with relevant information is going to bring more traffic to your website. You would also need to improve your landing pages, and look to your PPC campaign strategies to see if any modification and innovations need to be done to get the most out of CPC and Google Adwords adverts.
Image Courtesy: http://www.pjlighthouse.com/2007/04/page/2/
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