Online search campaigns with major search engines are expensive and confusing, and PPC offers are only worthwhile if you can afford to spend them realistically. PPC bid management starts with determining the maximum cost-per-click (CPC) for a keyword phrase. This changes from time to time and varies from one search engine to another. For more information about eCommerce PPC management visit

If you don't know the true value, start with a reasonable guess. Or it can be based on a rule of thumb or on internal factors such as profit margins. Suppose you bid on the keyword "shoes", but you don't know the max. CPC.

First method

One way to evaluate CPC is to take the top 5 opening bids and calculate their average. Current offers range from $0.310 to $0.51. This will be your maximum CPC. Another approach is to use the profit margin as the basis for determining the CPC.

Your profit margin is assumed to be thirty percent and your average retail price for a pair of shoes is $90. That gives you a $27 profit margin on each shoe. Let's say you have a conversion rate of one percent, which means you expect sales per 100 visitors from PPC advertising. 

Second method

Another way to achieve CPC is through revenue-based advertising costs. For example, if you wanted to spend fifteen percent of your advertising revenue, your advertising costs would be about $13.5 per shoe.

PPC is increasingly becoming an efficient, flexible, and fast way to increase online network presence and increase data traffic. Combined with PPC's strategic and special offer management services, PPC takes online marketing to a whole new level.