Auto bidding is when your ad paid cost is automatically lowered to $0.01 above the next lowest competitor’s max bid.
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Why People Over Bid on Pay Per Click Search Engines

It is common for a new company to enter the pay per click market and immediately assume they must be number one.
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You should always have your return on investment numbers in mind when bidding, but some find it useful to find a bid number they are comfortable with, and stick with it no matter what.
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A bid gap is usually a $0.05-$0.10 or larger gap between two bidders. Often you will see such a gap between the 3rd and 4th bid when the top 3 positions are featured at Yahoo.
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This is when you want a particular position if the bid price does not exceed a certain amount.
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Branding is when searchers associate your website with a particular product. This takes a lot of time and effort, but the end results can be tremendous.
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A bid gap is usually a $0.05-$0.10 or larger gap between two bidders. Often you will see such a gap between the 3rd and 4th bid when the top 3 positions are featured at Yahoo.
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Position bidding is when you have your pay per click bidding manager keep your website at a specific bid position. This can be a very useful technique if you want a particular internet visibility.
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This technique is to set your pay per click bids at the lowest possible bid allowed by that search engine. (The minimum bids vary, please see Pay Per Click Search Engines for more details).
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A minimum bid cap is the lowest bid you wish to make for a particular keyword.
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