How the hell are you getting positive roi with adwords?

Your daily budget does not affect your qs. Qs is related with your keywords and your lp. The more relevant are your keywords with the lp, the higher qs you will get.

Check out the average cpc and decide what to set max cpc. If it's around $2, start with $3.50 Now, bidding $3.50 does NOT mean that you will pay $3.50 per click. That's the MAX cpc you are willing to pay. G will calculate and determine and then you can see how much you are paying per click.

Now this will put you in top 3 position and you will start getting a lot of clicks. Once your ctr is over 1% (i suggest 2%), start lowering your bid slowly. 10 cents a day is ideal. After 10 days or so, you will end up paying between $2-$2.50 per click with a high ctr. When you have the top 3 spot with cheap clicks, your competitors will have to increase their bids to adjust their ad positions. But because your ctr is higher, you will mostly maintain your position with the same price, while they are paying much more for a lower spot. Do you understand now how important this is?
 
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