An Easy way to reduce keywords' CPC

Reducing keywords CPC can be a hard process. Indeed it is a tricky task because reducing the Maximum bid will most of time drop the average position of the text ads and therefore reduce the volume of click, even worth it could reduce the number of impressions drastically.

An easy way to reduce CPC without changing your maximum bids is to use Google Adwords Matching options. That is not a new thing for most of you.
However I have done some experiments by using all matching options on one keyword.

The Principle
The idea is simple and lies on the following principles:

- Maximizing the traffic and the reach by keeping broad match.

- Reducing the CPC for the most common search phrases by introducing phrase match

- Reducing the CPC for really expensive keywords by using exact match.

Example
If you are targeting the keyword 'roses':

- Use the broad match to make sure that any variations of the word will be targeted and that your ad will be displayed.

- Use phrase match for popular search phrases such a 'white roses', 'cheap roses'. When a person will type white rose and click on your ad, Google will charge you the CPC for the phrase match ( It will be lower than the broad match one. Therefore you will pay less for all the variations such as 'cheap white roses' or 'buy white roses'

- Use exact match for popular phrases which converted in the past. For example use exact match for 'buy white roses' or 'cheap white roses'. The CPC on those keywords will be low and will contribute to reduce your overall average CPC.


I have use this tactic on my last Google Adwords campaigns and it has really contributed to reduce the overall cost per click. Thanks to that, I managed to generate more traffic with the same average position...