Navah Hopkins, the Microsoft Advertisements Liaison, posted on LinkedIn a little bit of a refresher on how CPCs work with search adverts and Microsoft Promoting. Particularly, why your bid could also be over the configured max CPC you set throughout the platform.
Navah wrote, “I’ve seen a number of questions on Microsoft Promoting bidding (significantly why a bid may be greater than you set as a Max CPC).”
She defined that there could also be a number of bid changes utilized to calculate the efficient value per click on (eCPC). That is when it could lead to your $1 bid costing you $1.44.
She wrote:
To calculate the efficient value per click on (eCPC) when a number of bid changes are utilized, you multiply the bottom bid by every adjustment issue.
Right here’s the way it works:
Base bid: $1.00
Desktop bid adjustment: +15% → multiplier = 1.15
Viewers bid adjustment: +25% → multiplier = 1.25Last eCPC=1.00×1.15×1.25=$1.4375
So, if each the desktop and viewers standards are met, the clicking would value $1.44 (rounded to 2 decimal locations).
“For those who use bid changes, you should set up whether or not you need the bottom bids to be decrease with extra aggressive bid changes; or greater bids with decrease bid changes,” she added. Navah added, “Microsoft honors bid changes, even when utilizing autobidding (Max conversions and Max conversion values).”
Discussion board dialogue at LinkedIn.
