In part 2 of this post, Bradd provides a simple, visual means for determining your optimal bid from Google’s Bid Simulator. Then, uses some straightforward math to show you how to calculate the optimal bid (and CPA and ROI) for Dr. Varian's example of online retailer selling digital cameras. [...more]
Dr. Hal Varian produced a Google AdWords bidding tutorial in which he outlines a 4-step process for determining your optimal bidding strategy. The video includes a number of best practices for any PPC manager to follow, but also leaves out critical information and makes numerous simplifications. Bradd has identified the best practices and limitations from Dr. Varian's tutorial and translates this insight into actionable tactics to improve your campaign performance. [...more]
