• http://www.epiphanysolutions.co.uk SteveBaker

    Hi George,

    Great article. I blogged about the incremental cost per click back in 2007 (http://bit.ly/iRSBq4), but the introduction of Google’s Bid Simulator does allow you to predict it with a much greater deal of accuracy.

    There certainly are situations where the conversion rate could vary by position. Searches for a very specific product model could result in lower adverts receiving clicks only from people comparing prices (with a significantly higher or lower conversion rate as a result) whereas people looking for information may be inclined to click on one of the top few adverts.

    However, all of the analysis that I’ve done on this historically suggests that this is a rare situation, and that for the vast majority of search terms, conversion rate is pretty much a constant regardless of position.

    Thanks,

    Steve Baker
    Chief Analyst
    Epiphany Solutions