Have you ever been to a live auction? Maybe a fundraiser for a good cause where you watch people bid against each other for a package or product. The auctioneer raises the bid each time giving the bidders the option to go higher. As the price goes up, many bidders drop out. But two bidders will generally keep it going, raising the offer each time. Finally, one bidder hits his or her limit and stops bidding. The other one wins but may pay more than the items is worth.
Sound a little like your digital campaign? You want higher placement so you increase your bid. Some days, you win. You get more clicks but you may also pay more for those clicks. Other days, you spend more money but don’t necessarily get a higher rank. You lose.
That leaves us with the question of
Do higher bids mean higher placement and ultimately more clicks and leads? The answer is simple. Yes, no, and it all depends.
Yes, if you’re doing managed display.
Yes, a higher bid will help you win if you are phonelist looking for a premium placement and website traffic. For example, with google’s managed placement, instead of using all of the ad networks, you are choosing just a few relevant sites and maybe dictating the time of day to showcase your ad. It’s quality over quantity. That’s why higher bidders win here. You get more quality placement on more relevant sites resulting in better leads.
No especially if you don’t increase your budget
You don’t win if you increase your bid amount but don’t also increase your budget. In fact, you may find you’re paying more per click or even IG Users losing traffic. Why? The search engines know you can’t afford the higher clicks and they don’t even let you compete. You’re out of the game before you even got a chance to play.
If you want to increase your rank, you have to do the same thing with your budget. Raise your rank, raise the amount you’re willing to pay to get it.
