Poll: AdWords Prices Increase With Google Algorithm Updates?

Mar 1, 2012 • 8:39 am | comments (4) by twitter Google+ | Filed Under Google AdWords

A WebmasterWorld thread asks a pretty basic question for AdWords advertisers to answer. Does the cost and competitive nature of your Google AdWords campaign get higher soon after major or even minor Google organic algorithm updates?

WebmasterWorld moderator asked it this way:

It would be interesting to know if each algo tweak is followed by a wave of new advertisers. I have no idea one way or the other, but wanted to know from the AdWords crowd if you notice an uptick in costs/competition after each Google Search Algo Update.

Take my poll below:

He references a Google quarterly report showing increases in cost per click prices, while in reality in the last quarterly report the CPC dropped 8%. Again, that might not be related at all and also, were there any major updates in that time range?

You guys know best, take a look, correlate it to Google algorithm updates and take the poll.

Forum discussion at WebmasterWorld.

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03/01/2012 02:05 pm

If cpc is rising, I'm certainly not getting any of the benefit from my sites with Adsense. There have been many major search algo updates over the years but my cpc on established sites have dropped year on year despite increases in traffic.

Scism Marketing

03/01/2012 02:08 pm

We wondered the same thing. We haven't done an in depth case study, but from a quick glance it doesn't seem to have affected our PPC campaigns. I'm sure it's all dependent on the niche / market you're targeting.

Dimitris Bachtsevanis

03/22/2012 04:34 pm

 I agree with you that it depends on the niche. I think that people on competitive niches who were building backlinks were affected by this update and had to increase their ad spend in order to keep a stable traffic.

Joe Bee

02/19/2013 01:40 am

I monitor my accounts with a magnifying glass each day. Every account has been exceeding its budget since the beginning of 2013. I analyzed average CPC, and saw no significant increase. It is the number of clicks that has increased. I assume this is because users are finding less useful organic search results due to the algo updates.

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