Pay Per Click Bidding - Premium Positions

April 22, 2002

Pay per click bids that fall into these positions generally receive significantly more visitors than the other positions. They also receive more ‘just visiting’ clicks. These positions are coveted because of the amount of traffic they send, but if you do not have a high converting website, they can cost you a lot of money.

Websites that do well in the premium position are those that make up the difference between the high bid cost and lots of ‘just looking’ visitors by more total sales and increased branding that causes visitors to return at a later date.

Sites that do well in this position have one or more of the following:
? High conversion percentage
? High profit per sale
? Website goal of high visibility
? Have a lot of return customers (see Lifetime Customer)
? Little competition
? Website goal of branding over ROI

Biggest advantage - High amounts of visitors and visibility.

Biggest disadvantage - Higher bid cost.

Note. For niche keywords, it is possible to have a low cost keyword in a premium position. Also, what is a premium position at Yahoo! is not necessarily what is a premium position at MSN. You need to check out the various partner sites to see the actual displayed positions for your keywords.

Related Information:

« Pay Per Click Bidding - Middle Positions

Pay Per Click Bidding - Low Positions »

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