How does keyword cannibalization harm your PPC ads?

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There are several ways in which cannibalization can occur in PPC advertising . It can be keyword overlap, geographic overlap in which you want to promote your product, or overlap between paid and organic traffic.

Keyword overlap
PPC advertising costs are determined by an auction. In Google Ads, when multiple ad sets compete for a particular keyword, it raises the auction price because one of your ad sets is competing at a jordan phone number data certain price, and you will therefore have to set a higher price for the other ad. If there were no other "participant", you would win the auction with the lower bid. Another potential problem is that the less suitable ad can win the auction for the keyword.

Geographic overlap
This problem occurs when your geographic areas in your ad sets overlap . A typical example is when you set up one ad for, say, Prague and another for the entire Czech Republic, without excluding Prague from it.

Another example is if you have multiple branches and each one sets a specific radius within which the ad should be displayed. If the areas intersect, a problem arises.

The result will be the same: when areas overlap, your ads will compete against each other in the auction , and there's a chance that the winning ad won't be the one you want for that spot.

Google Ads geographic targeting

Paid vs. organic overlap
This type of cannibalization allows your PPC ads to appear on keywords that you already rank high for in organic results. However, there are mixed opinions on whether this type of cannibalization is harmful. PPC results appear above organic results, and if you don't have your ad there, your competition might, which you probably don't want.