Google announces 2 changes to Google Grants for 28 January 2013

I received an email from Google announcing a couple of changes to the Google Grants programme:

“We are writing to let you know about a few changes to the Google Grants programme.

As part of our ongoing efforts to grow our advertising programme for nonprofits, we are making two changes to the Grants programme.

First, as of January 28, 2013, Google Grantees may bid up to $2.00 USD on keywords. This is an increase from the previous CPC bid cap of $1.00 USD and may allow your ads to enter auctions previously unavailable at the $1.00 bid cap.

Second, to balance the interests of businesses who pay to advertise on Google search, your ads will now appear below the ads of traditional AdWords advertisers.”

The second point here is by far the more important. As I understand it, this means that Google Grant adverts will now appear below all paid adverts.

When operating a business, money talks. But when your business is running a search engine, quality results should talk louder. This quality is the ultimate source of advertising revenue.

I had thought that the way that Google’s AdWord bidding operates – boosting the power of high-quality adverts, so that placement isn’t just determined by the money bid – was a decent compromise. Under the $1 Google Grant cap, some areas were out of reach – particularly for fundraising – but with good quality adverts and content, your $1 could go a long way in some cases.

I’ll be interested to see what impact this change has on the effectiveness of the Google Grant for charities.

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  1. This is good news for charities who will now be able to spend more on each click. My husband works in the UK charity sector and has always found that despite the blessing that the grant is, the $1 per click was always limiting. If you have an agency managing your adwords account then get them to up the spend now and also add in more keywords that were not affordable before. We did hear though, that the Google Grants Pro upgrade has now been put on hold. I wonder if this is because they have increased the click amount to $2 so they have taken away the upgrade to $40,000 of free spend per month. That’s pretty sad if they don’t bring that back as lots have charities have been working hard to get up to the $10,000 limit in order to qualify for the upgrade and now all those efforts look to be in vain.

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