Google has been testing a new AdWords beta feature since May known as the “bid simulator.” The feature shows a user what their impressions, clicks, costs and ad position would look like if you increased or decreased your maximum bid. Below is a screenshot of the new feature.

Sweet Spot Marketing has had the opportunity to add the bid simulator feature to some of its client accounts. The feature has empowered Sweet Spot Marketing to make more informed decisions about bid changes. Sweet Spot can now more quickly achieve a desired position with minimum risk of overspending. We can also see more clearly if a position is worth achieving. If the third position is $1.00, the second position $1.50 and the first position is $5.00. We can quickly see that the second position will give us the most bang for our buck. The third position is only slightly cheaper than second but second is much more cost efficient than the first.