AdWords Advertiser Competition - Higher or Lower is better?

[YesBrilliant]

When choosing your Keywords at Google AdWords, selection Keyword Search Volume, which one is the best to pick, regarding us domainers:
- The ones with More Competition (large bars)
or
- Less Competition (smaller bars, less colour).

I understand that more Competition (Competitors/Advertisers) would increase the price/CPC of a Keyword since they are fighting and wiling to pay more to be by the top.

However, some places say that less competition is better. Maybe they are talking about web sites that contain that term/keyword.

What is your oppinion?

Keywords Search Volume ---- The Higher, The better
Advertiser Competition --- ???

Thanks in advance.

 

[YesBrilliant]

Anyone?

 

[billinchina]

There is an art to this.

1) You want high paying keywords
2) You want ads that are relevant (so people will actually click)
3) You want a search term (keywords) that has a high enough volume of search inventory, that it would be worth advertisers' time to bid on it (this stabilizes the bid price)
4) You want a search term that has a large number of advertisers bidding on it (this stabilizes the bid price)

Basically, find all the highest paying terms relating to your domain. Then, determine (or guess) which ones visitors would likely be interested in (who cares about high paying ads if nobody clicks). Then, make sure that moderate advertiser competition exists (at least some green on the Google Keyword Tool). Finally, make sure that the term is searched for by Internet users frequently (at least some green on the Google Keyword Tool).

You are the artist, now go out and paint...

 

[robertjr]

Bill- Nice post! I have been using Adwords for several years now for my clients, affiliate programs and myself. This is a clear, to the point and simple way to look at it. :great:
If you do not mind, I'll likely "borrow" the concept when trying to explain it to others.

 

[billinchina]

If you do not mind, I'll likely "borrow" the concept when trying to explain it to others.

Go right ahead; I'm glad you enjoy!

 

[YesBrilliant]

Thanks a lot, Bill.

I already found all of the above, including keywords with high paying average CPC in my area, with clickers... now just have to find Less Competition - meaning Competitor Websites offering those keywords - and then I am done for the first part.

Thanks again!

Repd!

 

[Broker]

I put my bid at .05 for my keywords then they asked .15 to activate my campaign. Then they deactivated my keywords and now want.40 cents reactivate?

Any help apprecited, just dont understand this.

 

[DNabc]

I prefer non-competitive keywords. Had too much clicks and no conversions with the other expensive ones.
But be sure to have a good landing page, one that Google system analyzer likes, or you will be required to pay higher bids.

 

[billinchina]

I think I may have posted the wrong suggestion above. I meant to help domainers with optimizing their domains. If you are an advertiser using AdWords, then you want (2) & (3), but instead of (1) & (4), you want cheap clicks and less competition. Actually, targetted traffic is so finicky, that you probably just want to bid on all possible related search terms across the board. Then, you can identify which ones actually convert for you. Then, of those which convert, find which bid prices maximizes your ROI.

 

[YesBrilliant]

I think I may have posted the wrong suggestion above.

No, you posted correctlly.

Let's just clarify what is what:
- Advertiser - The person who Pays Google/Yahoo... to have their ads showing in other people's websites (the websites belonging to Publishers). Advertisers are usually Not us, domainers.
-Publishers - The person who owns the website and allow Google/Yahoo... to place ads on that website, so when a visitor clicks on any of those ads then that Publisher receives a payment for each click. The money for the payment came from the Advertiser above. Publishers are mostly us, domainers.

Then:

Better for the Advertiser - Less competition, the bid price will be lower.

Better for the Publisher - More competition, so the Ad bid price will be higher and us, the domainers, will receive more money for each click.


There are more factors involved but, in any case, the more people visiting, specially targeted visitors, the better for everyone.