Glossary
Brand bidding
Definition
Bidding on a merchant's brand name or trademark in search ads to catch people already looking for it, then collecting the affiliate commission. Many programs forbid it, and breaking that rule usually costs the commissions and the partnership.
Also called: trademark bidding, TM bidding, brand keyword bidding, PPC brand bidding.
The appeal is obvious: people searching for the brand already intend to buy, so the clicks convert well. That is exactly why merchants object. You pay to intercept a customer who was coming anyway, charge the merchant a commission for it, and often bid against the merchant's own ads, pushing up its costs. Etsy's terms, for example, forbid bidding on its name or using its trademarks in paid search.
Google does not restrict trademarks as keywords, but it can restrict them in ad text after a complaint from the owner, and its Unfair advantage policy lists affiliates advertising against program rules as a violation. Merchants watch their brand searches, and the usual outcome is reversed commissions and removal from the program. Some programs allow it on conditions, such as no trademark in ad text: get those conditions in writing.
Related terms: Keywords, Contextual advertising, PPC, Direct linking, Affiliate manager.
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