Yahoo! Scraps Minimum Keyword Bid

DOM Team | | ,

You remember that Yahoo! PPC breaking news we broke back in December, do you not? You know, when we got secret inside word of them scrapping minimum keyword bids. And by secret inside word I’m referring to an email we received.

Don’t panic, this isn’t a test and I’m hardly going to ban your IP address if you’re struggling to recall. So, just to remind those of you with selective memories:

Variable minimum bids
Beginning in the first half of 2008, we plan to change our system so that minimum bids will no longer be fixed for all keywords; they may be higher or lower than $0.10. Minimum bids may vary by keyword, ad group and advertiser. EWS 4.0.0 is configured to work with variable minimum bids. If you do not upgrade to EWS 4.0.0, you may not have full control over your ads and keywords.

And here’s the email we received officially confirming the December announcement:

Pricing Update:
Minimum Bids are no Longer Fixed at $.10

Starting today, the minimum bids for some Sponsored Search keywords are no longer fixed at $.10. Minimum bids can now be lower or higher than $.10. Content Match minimum bids currently will remain at $.10. Throughout the next week, you may start noticing new minimum bids on some of your keywords. You will be notified by email and within your account when the status of any of your keywords is affected.

The amount set as your minimum bid on a keyword in Sponsored Search can vary depending on multiple factors, such as:
• The number of bidders and bid amounts in the particular keyword market
• The quality of your keywords, or their relevance to advertisers, as measured by the quality of the ads associated with them

Fingers on the pulse, people.

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