There are literally thousands of advertisers on the major pay-
per-click (PPC) search engines.  Sooner or later some
advertisers will stop advertising on these search engines for a
variety of reasons.

If you are ahead of one of your competitors on bidding, you
could be spending extra money for no reason.

What I mean by this is that when an advertiser below you in the
listings disappears, your bid may now become more than one cent
higher than the next person below you.

You should adjust your bid so that you are only one cent above
the next person.

I see a variety of listings on PPC search engines that are up to
fifty cents higher than the next listing.  This is a waste of
money?  Why would you want to bid 50 cents higher than the next
listing when you can reduce it to just a penny higher?

Most advertisers do not do this on purpose.  When you have
thousands of keywords listed, it is impossible to keep track of
each keyword.

Bottom line.  You should at least monitor the keywords that are
costing you the big bucks.

Let me give you an example of how much money is wasted when you
do not watch your large bids:

Lets assume that the keyword "piano" was searched over 35,000
times on Overture.com last month.

The tops 5 bids for "piano" were 50, 49, 34, 33, 28 cents
respectively.  The second place listing could have easily
secured the same placement by reducing their bid by 15 cents.

That means for every 1,000 clicks they could have easily saved
$150.

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GAUHER'S SIDENOTE:

It can be a daunting task especially if you have thousands of
keywords.  It could take countless number of hours to monitor
all your bids and you simply do not have hours to give away if
you are an Internet Marketer.  Unless you hire someone at
$25,000 a year to monitor your bids full-time, you could have a
lot of bid gaps costing you money.

One solution is the "GO TOAST Bid Manager."  GO TOAST Bid
Manager manages your keywords to make sure you stay ranked at
the position you desire. Based on your chosen subscription
level, GO TOAST monitors and manages your keywords on multiple
search engines - from once per day up to once every 30 minutes.
You decide how many keywords, and how often the service should
update your rankings. It's all in your control, without any more
hassles.  Click here for your 14-day free trial period.

http://www.gotoast.com/?afid=GTAZF411167
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What if there are tie bids?

If you let your account go offline, you lose your seniority in
cases of tie bids for some PPC search engines. For example, if
you were the first of five advertisers to bid $0.08 on the
search term "surfboard," your listing would be at the top of all
the $0.08 bids for "surfboard."

But if your account goes offline when you run out of money, you
could lose your seniority.  When your account comes back online
after you redeposit more money, your listing would be moved to
the bottom of the $0.08 "surfboard" bids.

Some PPC search engines base seniority on the advertiser who
first opened up an account with their search engine.  So if they
let their listing go offline, once they replenish their account,
their listing will come before an advertiser who joined after.

Conclusion: Spend your pennies wisely on PPC search engines
because in the end they could end up saving you dollars.