Posts: 212
Name: GiorgosK
Location: Geoland.org - Greece
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I am not an expert on ADWORDS but, (copying from an actual ad campaign)
The daily budget controls your costs. When the daily limit is reached, on average, your ad will stop showing for that day. (The budget controls the frequency of your ad, not its position.) Raise or lower your budget as often as you like.
You influence your ad's position by setting its maximum cost per click (CPC)
The max CPC is the highest price you're willing to pay each time a user clicks on your ad.
The higher you bid - max CPC - (relative to your competitors) the higher your ad will display
But when you have no competitors (that want to display ads for the same keywords for example) then google charges you way less than your max CPC
So for example
Daily Budget $1
Max CPC $0.05
With much competition
your ad will probably be clicked 20 times in one day and your daily budget will be all used up
Daily Budget $1
Max CPC $0.05
Not any competition
your ad will probably be clicked more 20 times a day without reaching your daily budget (each click will cost you less than 0.05)
Last edited by xprmnt; 12-30-2006 at 08:25 PM..
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