How bidding works
Advertisers on Indeed bid for the maximum they’re willing to pay per click. Because Indeed is a marketplace you don’t always pay the max bid. For instance if you bid $5.00 but the nearest bid to yours is $1.00 you will end up spending approximately $1.01 per click. However many industries are very competitive and bids can get very high. Indeed’s maximum bid allowed is $9.99 per click. Many advertisers utilize tools within Indeed that adjust bids periodically which can make it even more difficult to know exactly where your ad will display at any given moment. Your bid affects your position but it’s not the only factor.
“Your bid affects your position but it’s not the only factor”
How page position works
Your bid greatly contributes to the position of your ad but other factors such as keywords in the title & description affect position as well. For example if a user searches for a “Registered Nurse Job” in “Dallas, TX” but your job title is “Travel RN job in Texas” you might get beat out by competitors with “Registered Nurse” or “Dallas” in the title even if your bid is higher. The reason for this is that ultimately Indeed is a job board that serves job seekers. Their goal is to provide the best possible user experience for the candidate. Therefore they tailor the search results based on the keywords used in each search. By including more keywords in your job descriptions and titles you can appear in more search results but this can come at a cost. Longer, more confusing job titles can have lower click through rates than concise, straight to the point titles.
Many other factors such as the age of the job can also affect page position as well. Furthermore, if you spend most but not all of your daily budget Indeed will attempt to spend the remainder of your budget even if the amount left is much less than your maximum bid. This means that Indeed will serve your ad anywhere it can yielding you more impressions and clicks (which is awesome). But this often means that your ad will display several pages deeper than usual during this period. This is why Indeeds average page position reporting can often paint an incomplete picture. Ensuring that your ad is always in the same position is nearly impossible with a limited budget.
“Ensuring that your ad is always in the same position is nearly impossible with a fixed budget”
How budgets work
There are two main types of budgets on Indeed advertising platform (monthly and daily budgets). The monthly budget is the maximum you’re willing to spend in your account for a single calendar month. The daily budget is the maximum you’re willing to spend in a campaign for a single day. Balancing these so that your budget lasts the whole day/month is important. If you bid your ads to the first position, you will get a lot of clicks very quickly which will burn through your daily budget very quickly and your ads will go offline until the following day. If you have an unlimited budget this may not be a concern of yours, but for most advertisers on Indeed this is an issue to be thoughtful of.
Based on data we’ve collected over the years the best pages for getting the most conversions and placing the most candidates are 3-5. Sometimes even the 5-7 page range is effective. We believe the reason for this is due to the fact that an applicant that is more serious about finding a new position is going to look at more than just the first few jobs. Meanwhile a less serious “window shopper” type of candidate is more likely to only visit the first few pages of search results. The possibility of click fraud is also higher on the first page of search results.
“The possibility of click fraud is also higher on the first page of search results”
There is a common misconception that the first position is the place to be for the best performance. With an unlimited budget this can be the case. However even with an unlimited budget you’re not guaranteed to be placed in the top position based on other factors inherent in Indeeds ad marketplace. Keep in mind that you’re not the only company promoting jobs on Indeed. Every advertiser wants to be in the best position to get the most applications from qualified candidates. That’s why it’s important to maximize your budget to get the highest ROI possible. To achieve this you do NOT want to be on the first page in the first position every time.
Was any of this PPC stuff too complex? Don’t worry, we’re here to help. In addition to being a helpful resource for marketing in the staffing industry we also provide Indeed advertising services designed to help staffing and recruiting companies get the best ROI for their advertising dollars. Whether you just need a little help or a complete marketing solution we’ve got your back. Get in touch with us soonish.