How to use the bid simulator
Google recently launched a new feature within Adwords: the bid simulator. On the web there have been several bloggers trying to describe it. Some liked it, others didn't.
Google has now released a video tutorial on the Bid Simulator. Google itself says on their blog:
In general, when you increase your maximum CPC bid for keywords on search you are able to generate more clicks to your site. This may be because your new bid qualifies you to appear higher up in the Sponsored Links on the search results page, or because your higher bid qualifies your ad to appear in new, more expensive auctions. The goal for you as an advertiser is to decide whether or not these additional clicks come at a cost that is still profitable for you.
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