COSTS & BILLING

1. COSTS & BILLING • How do you control how much your on-line advertising costs you each day/month? • How do you pay Google for your on-line advertising?

2. COSTS • AdWords Discounter- • After ad rank is determined, you pay just a little more than the next in line CPC or CPM bid • You usually pay less than your CPC or CPM bid. • Your CPC or CPM bid is NEVER more than your bid

3. COSTS • SMART PRICING • AdWords may auto lower the max. CPC bid for keyword-targeted ads • If your data shows that a click from the content network is less likely to turn into a conversion, Google may reduce the bid cost for that site.

4. COSTS • HOW DO YOU CONTROL COSTS???? • Daily budget • Bids

5. COSTS • When you choose a budget think about… • Daily budget MUST exceed your CPC or CPM bids

6. COSTS • If the Recommended Budget is more than you can afford • Optimize your keywords • Optimize your ad(s) • Change your targeting options • Delivery methods (standard or accelerated) • Google can over deliver by 20% on a given day

7. COSTS • When setting your CPC or CPM bids consider… • Quality Score (single most important factor!) • Value of a click (high bid or low bid?) • Daily Budget (has to be higher than bids)

8. COSTS • Content Bids • You can set separate bids for content and search

9. BILLING • CPC - how are costs incurred? • CPM - how are costs incurred? • Billing cycle is determined by Google, NOT your credit card

10. BILLING • Postpay - You pay AFTER your ad is showing - usually paid by credit card • Prepay - You pay for advertising before your ad shows - usually paid by credit card • Invoicing - you have to qualify • 3 month customer in good standing • $1,500 per month spending for 3 months • YOU MUST FILL OUT AN APPLICATION

11. BILLING • 30 day cycle when you reach the following spending limits (credit cards do this too) • $50.00 • $200.00 • $350.00 • $500.00

12. BILLING • Credit card declines • Your ad will stop showing, you will receive an e-mail from Google • You have to submit correct information • Contact your credit card company if problems continue!

13. BILLING • Pending Charges • Charges that happen between your billing and your payment

14. BILLING • Payment methods • Postpay • Credit/Debit Card • Direct debit • Invoicing (if you qualify)

15. BILLING • Payment methods • Prepay • Credit/Debit cards • Bank Transfer

16. BILLING • It's currently not possible to switch from a prepay method to a postpay method, and vice versa.

17. BILLING • AdWords accounts with European Union billing addresses are subject to VAT charges. • All EU advertisers are affected by VAT. Advertisers with billing addresses in Ireland are subject to different VAT implications than those with billing addresses in the rest of the EU. • If your billing address is outside of Ireland and you provide Google with a valid EU VAT number, Google will not charge VAT to your account. You must self-assess for VAT at the EU member country rate where your billing address is located.

18. BILLING • New advertisers are asked to provide VAT information during the account creation process.