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As the bid decreases, two possible outcomes can occur.
- First, the reduced cost per click may make the keyword profitable since the expenses per click will be significantly lower.
- Alternatively, the keyword will no longer receive any clicks if the bid drops to zero.
- In the future, if you receive an increased number of reviews and your product starts converting better, you have the opportunity to raise the bid again and retest the keyword's performance.
- This allows for ongoing optimization and assessment of the keyword's effectiveness based on evolving factors such as reviews and conversion rates.
Example:
- See the bulk sheet below. You sort by ACOS and sort by spend.
- You have one which is $45 spent and zero sales. Someone might say that this should be a negative. You spent $45 on it, no sales in two weeks.
- All you’re going to do is you’ll take this $3.02 and I can drop it down a little bit lower. Instead of $3.02, you’ll make it $2.90 or $0.93 and then set it there and see what happens.
- If a keyword continues to incur spending, the strategy is to keep reducing its bid until it starts generating sales and becomes profitable. In this case, there is no immediate need to add it as a negative keyword.
- It is possible that in the future, your product may gain a high ranking for relevant search terms like "keto electrolyte powder," leading to increased sales. Therefore, instead of negative matching, it is advisable to lower the bid for now and reassess its performance in the future, allowing the opportunity to raise the bid again when conditions are more favorable.
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