The Google AdWords Bid Simulator Tool just keeps getting better. Google has been working on the features of this PPC management tool for a number of months without stopping, and the developments have been extremely useful for PPC managers in general.
The most recent development concerning the Bid Simulator Tool applies to bidding at the ad group level. Instead of always bidding on keywords at the keyword level, this new feature of the Bid Simulator Tool encourages PPC advertisers to begin setting bids at the ad group level and working with keyword bids in an aggregated manner.
Perhaps you are one of the many PPC managers or PPC advertisers who is used to bidding at keyword level because in this way it seems that you can control the way in which your advertising money is spent to better effect?
It is true that this is the case for many PPC campaigns of many types. It would demonstrate a complete lack of knowledge to even begin to negate this fact in any way. However, the new feature of the Bid Simulator Tool reveals that in some instances the control of bids at the ad group level can be more cost-effective and can result in a better ROI.
To help convince you of this matter, let’s look at analysis of a little data provided by Google AdWords on the effects that bidding at the ad group level can have for a campaign. It is difficult to argue with data and the data provided is very positive.
Take a look at the graph below:
The graph above reveals how in some cases better results within a campaign could have been achieved whilst investing less money in the campaign at the same time. The highlighted yellow row in the chart shows the figures of what actually happened during one week of PPC advertising from that particular ad group.
This ad group received 339 clicks during the week and the cost of the advertising was $182.37.
However, the fact that the yellow circle falls above the green line on the graph to the right means that the same amount of clicks could have probably been achieved for less money if the PPC advertiser had been bidding on keywords in an aggregated approach at ad group level instead of independently at the keyword level.
If there are some keywords within an ad group that do particularly well, you can separate them and bid on them apart from the majority of the other keywords in that ad group at the same time. You can also group together those keywords from that same ad group which have not been doing so well individually and bid on them all at once. Bidding on poorer-behaving keywords in this fashion can save money. You can estimate the effects of bidding at ad group level using the Bid Simulator Tool to ensure that there is less of a risk.
Overall, the idea is to be a little more open to change. Even if you are accustomed to bidding at keyword level, take a look at the estimations of bidding at the ad group level and see if your money could be better spent — thanks to this new feature made available within the Bid Simulator Tool.