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How does Adspert determine CPC bids?

Adspert adjusts CPCs for every keyword daily in order to reach the maximal profit. Adsperts’ core optimization is based on the market curve theory. Additionally Adspert takes bid adjustments into consideration.

CPC bids for short head keywords

The bids for short head keywords are regulated on the basis of the chosen conversion value.

Adspert decides autonomously which time period is used for the analysis. To model seasonalities the data amount has to be statistically significant. For this reason it is beneficial if data of at least one week exists.

Seasonal keywords, which are possibly only important for a certain period of the year, as “snowboard”, are not paused but “doze” with low bids in the account. If volume and conversion rate increase during an appropriate season Adspert increases the bids automatically and reasonably. That is possible because the keywords are not paused.

Keywords are never deleted and only rarely paused. Normally, bids are reduced if there are keywords with low performance. Keywords are paused if they are either very inefficient or if the same keyword already exists in another ad group and is a lot more efficient there.

CPC bids for long tail keywords

Bids for long tail keywords are regulated with well-tried inheritance mechanisms. Historic data is inherited from the superior element (ad group, campaign or account) with adequate data basis and will not be replaced until a given keyword has generated enough own data.

With the mechanism of information inheritance, suitable bids for keywords with very few impressions and clicks can be determined. Information inheritance refers to conversion rate as well as seasonalities and conversion delay.

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