How much  you bid on  a specific keyword will affect your long term cost of advertising. Of course you will need to work within your budget.

Bidding Low: If your budget is limited, you may want to create keyword lists of keywords that are not being advertised heavily. Here is an example of a list I created  and am currently running on google.  Many of the words I am #1 on the listing and have low bids. Many relevant keywords = more potential visitors. Be sure to create separate adgroups for related keywords. Warning! >> bidding low on a competive keyword could hurt your campaign, read more below.

Bidding High: We know that the top three listings get the most click throughs/visitors. Position 1-3 should be your goal for all your keywords. If you are sitting on the bottom of the page, it is best to bid up to position 1-3, or pause the keyword. Having a well written ad with keyword insertation used should get you a high click through rate, provided you are in position 1-3.  Listings at the bottom of the page have poor click through rates and are often paying more per click than those in position 1-3.

My Case Study: In June 08, I setup a new adwords campaign for generating members. One of the adgroups I set up under my Ameriplan campaign was “AmeriplanUSA.com”. I knew I wanted to have the #1 postion for that specific keyword, so I bid $1.50 per click which got me to postion 3 immediately.

Because my ad (see below) was using a keyword insertation code {KeyWord:AmeriPlan} in the headline and description, AmeriPlanUSA.com would show twice and be boldly highlighted. AmeriPlanUSA.com was what visitors were looking for and they were naturally attracted to my ad, especially if they were looking to join online or speak  with a live person.

As time went on Google dropped the CPC (Cost Per Click) to only 38 cents, because I had  a better click through rate and Google deemed my site most relevant.

AmeriPlanUSA.com Signup
AmeriplanUSA.com Dental & Health
Join online or Call 1-888-670-5190
www.ConnectingBenefits.com 

Note: Having the keyword “ameriplanusa.com” on the main page of my site adds to it’s relevancy for that specific keyword. If you choose to grab top position for “family dental plan”, “ameriplan dental plan” or any other keyword, be sure you have that specific keyword on your site. If you use your mybenefitsplus.com site, you can edit your “save money profile” in your IBO Support to include your specific keyword(s). Example where my Name would normally appear on my website, I have included a paragragh with keywords.