PPC Ad Positioning How low is too low?

[SEOcort]

Does it make sense to be in the 5th, 6th, 7th or lower ad placements for Pay-Per-Click ads? Does anyone really click on anything lower than the 3rd or 4th position? I don't want to waste my time or money on extremely general keywords just to have them included but so low in positioning that no one clicks on them...

[sitecreations]

The position sweet spot varies by business, ad, landing page, and product.

What you care about is finding that sweet spot for your situation that makes the most return for the least investment. Put a value on everything from leads, sales, sign-ups, etc. so you know when you've got it right.

For example, we've found one of our clients selling home products performs best at #4-6 on Adwords for ad A, and landing page 3. We found this with split testing these three things. We know the average sale for this item, so we know what we can spend to get a customer.

I have in front of me a spreadsheet of landing page/ads for my clients. PPC sweet spots vary from #1 to #7, sometimes within the same business.

[farees]

I don't want to waste my time or money on extremely general keywords just to have them included but so low in positioning that no one clicks on them...

You don't pay if no one clicks on your ads and if you have a really low CTR Google might disable your keywords (I'm assuming you are talking about AdWords . Additionally a lot depends on your creative and the landing page. Google ranks your keywords based on the relevancy and CTR. If you have a high CTR your ads go higher up and you actually end up paying less than what your nearest competitor is paying.

Sitecreations is right you have to figure out the magic number for an optimal position/conversion rate. I suggest you start with making small changes to your landing pages and keep a meticulous record of conversion rates and ad positioning.

- Farees