Automaker Honda motors is taking a closer look at its pay per click advertising and hoping to eliminate a growing problem, internal competition. Honda and its luxury class brand, Acura, and local dealers are all competing against each other over the same keywords. This causes the price per click of each advertisement clicked to increase. It is natural for this to happen between competitors, but it wasteful if between a company’s individual brands and resellers.
Acura had mentioned a possible ban on bidding from any of its dealers, 5 keywords. They were Acura, Acura.com, Acura USA, Acura Cars and Acura Auto. But there can be some unintentional pitfalls with this SEO strategy. With less competition from local dealers, other vendors that are not directly affiliated with the automaker can gain paid search rank. It is a very delicate situation with many variables, but Honda is looking for ways to cut these overlapping costs to bring down total marketing cost.
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