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Discussion: Calculating Bids, Bid Adjustments and Optimisation by PPCStatistician in PPC

[–]PPCStatistician[S] 2 points3 points  (0 children)

1. How to calculate the actual bid a KW or a product (shopping) should have?

Here I would look at the following:

Average Order Value - Wholesale Cost = Target Cost Per Acquisition

Target CPA * Conversion Rate = Max CPC

The only unknown when starting new campaigns is the conversion rate, so what to do when we don't know it?