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


    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).