The idea of lowering your bids to improve your SEM campaigns may seem crazy, but if you’re running on a set daily budget it just might work. In fact, Bing recently added a tool that will help you find opportunities to employ this seemingly backwards strategy.
I know, you’ve always been told to shoot for the top position with a combination of landing page optimization and bid adjustments. While it’s true that position is very important to the success of an SEM campaign, it isn’t everything. When running your ads you often have to find the right balance between position and cost. Everyone loves being in the first position on the page, but if your budget will only get you halfway through the day then you might need to consider settling for the bronze.
Let’s say you’re on a daily budget of $100 and you’re running ads for “veterinarians san antonio”. The bid landscape might look something like this:
If you’re focused on position one and opt for the $6.36 bid, you’re going to burn through your budget in a mere 15 clicks. But what if you aim for position four? At $1.40 each, you’ll be able to afford 71 clicks a day and you’ll still get a decent amount of exposure on the page. When the strategy is applied across an entire campaign, you could see a major boost in traffic along with a decrease in CPC.
Lower Bid Opportunities
To find out if any of your campaigns meet the criteria for this strategy, you’ll want to look in your Bing Account under the “Opportunities” tab. If any campaigns qualify, you’ll see a “Lower your bids” opportunity on the list:
They even provide an estimate of how many additional clicks you could receive.
If you’re running campaigns that tend to run up against their budget limits, it certainly can’t hurt to give it a shot. Otherwise you might just be throwing away money chasing that number one position.
Updated May 10, 2016