Skip to content


Stanford study: Overpaying for Pay-per-click

Date: 01/20/2006 | Category: Marketing | Author: developers

Are you starting your business and thinking about pay per click advertising on Google or Yahoo? 

Jason Lee Miller wrote in Stanford: SEMs Are Getting Screwed: “Search engine marketers that don’t know what they’re doing are getting ripped off in keyword auctions, according to a new study released from Stanford Graduate School of Business. The researchers claim pay-per-click engines like Google and Yahoo! have modified an older bidding model to maximize profits.”

I have to say that we at are using some pay per click advertising too, but we bid very low. Often the smallest bid possible.  I cannot understand how our competitors can pay $5-$8 per click and still make money. The above mentioned article is good eye opener about pay per click ads.

For more information about Resident agent or Incorporation in NV visit us at or call at 888-284-3821.