Recently, Google launched its new “top-of-page bid estimates,” which indicate what keyword bid may be needed in order for your ad to appear above first-page organic listings. The estimate takes into account the keyword’s quality score, bidding competition and several other factors. It can be seen as a column option on the keyword tab.
It’s important to note that this estimate is based on the keyword in exact match and can be helpful when optimizing bidding for strategic keywords based on match type.
For example, you are running a keyword in phrase and have it segmented out by search match type. The data shows that at your current bidding, searches in phrase have been performing well but the exact searches have not. In this case, the exact searches have an average position well down on the page. By having an estimate on what bid you would need to be in the top three positions, you can determine if adding an exact version at or near the estimated bid would be valuable to test or if it is within your current budget to be in the top three positions.
Consider another example: we have a client that is in the beginning of its peak season. Expecting the bids to increase from the slow summer months, bids were raised. However, we still noticed that average keyword positions had dropped slightly. Rather than guessing what bids would be required to bring important keywords back to the top three positions, this tool provided a quick way to determine how much we would need and how much we would be willing to bid to gain those positions.
It also provides additional insight in conjunction with AdWords’ “Top vs. Side Ad” segment or Analytics’ “Keyword Positions” report by using this bidding tool to optimize keywords based on how they perform on top of the organic listings or along the side.
This is a great new feature that Google has provided which can add value to your bidding strategies.