Reply To: How would you determine the optimal bid for your keywords?

    Satoru
    Enhanced
    JP

    My technique would be to decrease the bids with regard to the ACOS, supposedly our target ACOS was 50% (just a random figure) & current ACOS is around 120%, I would not directly opt. to reach 50%, as that can make our ads less effective than they should be, so I will decrease the bids in the interval, suppose our bid is currently set to $1.1 ($1.05 is our CPC), I will cut around by $.10 or $.15, you will have to continue the behavior till either the ACOS become 50% or the keywords stop getting clicks & sales (this would tell you that the minimum bid to get sales almost equal amount is that current bid and should you move on with the keyword or not).