The average price of keywords in July declined four percent from June, with decreases in nearly every category, according to Fathom Online, reports MediaPost. The average cost per click was down to $1.65 - the lowest since February's $1.60. The telecom/broadband category keyword prices dropped 13 percent, to $1.72 a click, from $1.97 in June. Finance/investing fell 9 percent, to $1.73 from $1.89. Telecom/wireless fell 4 percent, to $1.14 from $1.19. Declines in the remaining categories were smaller, and consumer services keyword prices were flat.
Search marketing may be undergoing a summer slowdown similar to TV and other advertising, because consumers likely aren't online as much and so marketers are loath to bid high for keywords during what many perceive as a slow season.
Nevertheless, keyword prices in July were, on average, 20 percent higher than in September 2004, when Fathom began publishing its keyword price index. It tracks keyword prices daily from a list of 500 generic keywords across eight categories for the top five ranked positions on selected search engines.
