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Do Google Algorithm Updates Increase AdWords Pricing?

Posted by: Daniel Lew , 01 Mar 2012 PPC
DanielLew - is the Founder / SEO Manager of GSEO.net Limited in Australia and for more details about his services you may contact him via www.danlew.com or profile.
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GoogleSearch engine optimization and pay-per-click advertising usually exist in two separate spheres, but it looks like the two worlds could be even more related that we had previously thought. A recent forum thread in Webmaster World asks an intriguing question: do AdWords prices go up each time Google pushes out an update to its search engine algorithm?

This almost makes sense, especially if your web properties were recently punished by Panda or some other Google algorithm update. Google could then artificially inflate the AdWords CPC pricing, since it knows that these publishers will be interested in regaining their traffic. Even if the inflation is real, thanks to an increased "flooding" of advertisers to AdWords, it means that the prices go up.

One forum user, "netmeg," brings up this exact point: "Changes in the algo could increase the number of advertisers because not everyone can afford to wait around to see if their SEO tinkering will bring the traffic back. In the short term, they may turn to AdWords."

Another theory is that Panda punishes the "lower end" publishers and pushes them off the AdSense map, thus reducing the overall inventory from which AdWords can pull. If the number of advertisers stay the same, then the bid prices naturally go up. Or it could all be in our heads.

Poll

An informal poll has been set up on Search Engine Roundtable, and it looks like 37.5% agree that AdWords prices go up after a Google algorithm update, whereas 22.5% say no. The rest don't know. What do you think?

Seo Consultant

Is Google Looking to Kill SEO Altogether?

Posted by: Daniel Lew , 29 Dec 2011 Search Engine Optimization
DanielLew - is the Founder / SEO Manager of GSEO.net Limited in Australia and for more details about his services you may contact him via www.danlew.com or profile.
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If you are reading this blog, then there is a good chance that you either provide SEO services for a living, actively work on SEO for your own web properties, or are otherwise interested in search engine optimization. And easily the biggest search engine we all target is Google.... but Google itself could be looking to slowly but surely devalue organic results.

Aaron Wall recently published a post on his SEO Book blog about this very topic. In effect, he says that all the shopping ads above the fold of a typical Google search results page are actually hurting the consumer by limiting their choices. To the average web user, these ads may look useful, because they're seemingly good for comparison shopping and getting pointed in the right direction. However, these results aren't exactly what they appear to be.

That's because, as you know, Google makes money with all of those ads and every time you click on one, that's money in the bank for the guys and gals in Mountain View, California. All the other links above the fold are to other Google pages that are similarly wrapped in more Google money-making monitor space. They want you to click on any of these and not on any of the organic results below the fold.

A great example of this is Google Flight Search. Consumers think Google is finding them the best possible deal on their next flight to Vegas, but according to Charlie Leocha of the Consumer Travel Alliance, "It is only going to a small select group of airlines and including them in Flight Search... Google and the airlines have a sweetheart deal with each other."

A scarier one? A recent ad that appeared on the Google SERP for the term "SEO" read: "Forget about SEO. To be visible in Google today, try AdWords."

How's that for a slap in the face?





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