Google Come Up With A New Way To Make Buckets Of Extra Money (‘Enhanced’ AdWords Campaigns).

Here is a screenshot of what I get when I attempt to ‘upgrade’ one of my AdWords campaigns. :-

enhanced-adwords-campaigns-mobile-bids

mmmm…. a 10% decrease in mobile bids ‘based on bids from similar advertisers’. That sounds plausible. But wait, let’s look at the history for this campaign segmented by device type :-

adwords-device-cpcs-before-enhanced-campaign

OK I know that there is not a huge amount of conversion data for mobile devices on this campaign, and that the Max CPC is not directly related to the actual CPC, and some people may look on their mobiles and then come back later and buy on their computers (in which the case the conversion won’t be measured (something that Google are currently working on apparently)) but nevertheless, the actual average CPC for mobile devices for this campaign so far is not very far off 50% less than for computers, and the cost per conversion is not far off 100% higher!

So if I was to accept the recommendation of a 10% bid reduction for mobile devices, not only would I be getting a bad deal, but if the majority of other AdWords users also accept the recommended bids, then CPCs for mobile devices are going to increase a *huge* amount! (Great news for Google shareholders, bad news for the average AdWords user). Larry Page said recently in an interview that he was optimistic that mobile CPCs would rise. Now we know why he was so optimistic!

We’ll leave aside the issue that you cannot bid separately on tablets any more (for now).

 

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