I've never seen so much confusion about how to determine the offerings from Google.
Some people believe that you pay what your offer is the highest and others believe that you pay a penny more than the
lowest paid person.

None of these are actually true. It is rather a combination of these. This confusion has led many to pay so much for the supply position, because they see no need in following tenders.

Let me give you an example:

Bidder 1: Maximum Offer is 0.55 but it pays 0.51 per click.
Bidder 2: Offer maximum is 0.50 but it pays 0.21 per click.
Bidder 3: Maximum number of tender is 0.20 but it pays 0.06 per click.
Bidder 4: Maximum Offer is 0.05 but it pays 0.02 per click.
Bidder 5: Maximum Offer is 0.01 and pay 0.01 per click.

Hopefully we're seeing a pattern here. The truth is that they actually pay only a penny below the maximum bid.

But then why is it important to monitor the deals you can ask if Google makes you pay only one cent more than the maximum bid of the person beneath you?

In the senario above the position of best value is # 2 # 2, is already paying 30 cents less per click than bidder # 1. The difference between the gap of supply position # 2 and # 3 is only 15 cents.

So you can have almost as many clicks as the # 1 position for more than half the cost. If you have 1,000 clicks # 1 position is paying $ 510 and the # 2 is paying only $ 210. You are saving more than half of what it means to increase profit margins for your company.

But here a bidder can use a dirty trick to increase the amount you are paying for bid with a little known technique that I call Hit!

Let's say it Bidder 2 and you get used to paying 21 cents per click.

If Bidder 3 is smart (and bidders over and over) could increase what you are paying.

He / she can increase their maximum bid 49 cents, while only paying 6 cents per click. Suddenly you're paying more than twice for each click than they did before.

With Google increasingly competitive is it happens more frequently and used to pay more for your clicks, put out of business or the fall of his position, so that they can take over the # 2 position at a lower cost what you are paying.

To prevent this from happening to you, you really need to control all your bids to make sure no one is "shock" you. However, as everyone is always changing their bid prices in the keywords you have, it is almost impossible to keep up with monitoring this software without specific ...