Online marketing terms

What is a Bid?

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Bid is a marketing strategy where you place a bid for placing an ad via Google Ads. 

What is a Bid?

In online marketing, it is used to place an advertisement. A bid in this case is the maximum amount an advertiser is willing to pay for each click on the ad. This concerns bids on keywords. For placing an ad in Google Ads, not only the amount of the bid is important, but also the relevance of the ad and the quality of the page linked to this ad. Google ultimately multiplies the bids by the Quality Scores to determine which ad gets the highest value in the SERP rankings.

Bid strategies

There are various Google Ads bid strategies, namely:

  • Conversions: the costs that arise when performing an action, or a conversion;
  • Clicks: the cost per click is meant to get people to the website. You only pay when the ad is clicked;
  • Impressions: To increase a brand’s visibility, it may be preferable to display the ad high;
  • Views: the costs incurred for video views.

Tips

How do you handle bids now? We have some tips for you.

Google Ads has a feature that estimates how much you need to bid on a particular keyword to make sure you land on the first page. Here you have to focus on that bid and even go a little above it to give yourself a chance.

There is also a tool where you can see what the competitors within the industry are bidding on certain keywords. By understanding this, you save yourself from going over budget to stay competitive.

Finally, you can easily calculate the Cost per Click (CPC). Multiply the number of visitors by the cost. That way you know exactly how much you should bid.

 

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