SEM Tycoon

**mason** · 08-09-2006, 06:44 PM

I want to start an info site on a niche that doesn't have too much competition. I used overtures tool to see how much the bids were and none of them went past $.60.. should I still make it? What's a good bid amount that I should be looking for?

**Slevin** · 08-09-2006, 09:14 PM

how many searches does it get. $.60 will probably get you somewhere around $.40 per click. Just work backwords.

say 1000 searches per month.
For arguments sake say you get 8/10s of the searches (being at num 1 SERP)

800 visitors per month
5% CTR: 800/100 * 5
= 40 clicks per month
40*.40 =$16 monthly

follow that plan and see if you are happy with the figure. Ofcourse it is all theoretical

**Hobbit** · 08-09-2006, 10:02 PM

.40 cents isn't that bad, it's actually pretty good. Some of my clicks are barely over 5 cents.

**TDXkev** · 08-10-2006, 01:19 AM

It's always good to have a high bid amount, however I think you also have to factor in:

- How much effort it takes to maintain the site.
- How much it will cost to run the site.
- How much of the market can you grab.

If you have a site that costs little to run, with little to no maintenance, and where you can grab a good portion of the market than the bid amount almost doesn't matter. Definitely take these factors into consideration when putting together you site.

Good luck!