Change in Adwords minimum bids

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Post 3+ Months Ago

Information based off of info provided by Google. However, it's still my interpretation of what they intend, and some details could be inaccurate/changed by the live date.
Minimum bid changes

Keywords will have minimum bids associated with them.

These minimums are based off of the Quality Score as previously stated.

Minimum bids will be different for each account and each keyword within that account.

Minimum bids will be dynamic. They will change at most once per day.

Minimum bids can change due to changes in search volume, changes in CTR for that keyword, etc. This can make it so that you can have a keyword below the minimum bid inactive, but if the minimum bid drops, your keyword will suddenly become active.

Slowing of accounts will be gone.

Christmas widget
Off season, low quality keyword with low CTR, higher minimum bid.
During season, CTR is higher, keyword is more relevant, lower minimum bid.
Disabled Keywords

If a keyword is currently disabled, it will remain disabled in the new system.

After approximately one month, the disabled keywords will be deleted.

You can delete the disabled keywords yourself and add them as active keywords once the new system goes live.

In trial, on hold keywords will go active. If you're bidding high for them in effort to make them show - fix it now.
Keywords which would have been disabled, and therefore you couldn't bid on them no matter what you did, will now have a minimum bid associated with them so you'll be able to bid on that keyword no matter what.

You can add keywords with bid prices. If fluctuations happen that means they're above the min price, they'll show. If the min price goes above the max bid, they'll be inactive (paused). This also makes it so that you can leave keywords you'd like to bid on, but aren't essential, in your account and let the system kinda take care of it.

Side effect
You can pause individual keywords by making a keyword bid below that minimum bid.

Bidding Changes

The adwords discounter (paying $0.01 above your competitor) is still in effect.

If your minimum bid is above what you should pay based on the ad discounter, then you will pay the minimum bid. (i.e. if the discounter says you should pay $0.15, however, your minimum bid is $0.20, then you will pay $0.20).

There will be an active/inactive keyword report.
This report will also be available through the API.

Interface change

In the interface, where you see 'normal', 'in trial', etc right now, it'll be replaced with 'active' or 'inactive'. The 'inactive' is now a link where you'll be able to get more info about the keyword.

In the interface, you'll see the minimum bid prices next to the keyword level bid price.[/li]

Bulk Upload
A new bulk upload sheet will be necessary once the new system is implemented. It will have an additional line for minimum bid per keyword.

Approximately one month.
Google will make another announcement before the change actually happens.

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