Performics, now part of DoubleClick, reported that both the average monthly cost per keyword (CPK) as well as the average cost per click (CPC) showed steady increases througout the third quarter. CPK increases from $20 in July 2005 to $26 in September 2005.

The proportion of keywords that are able to maintain the top rank for an entire month has been decreasing steadily since early 2005. The performance for lower ranks is improving. Particularly ranks that are high but not at the first has higher conversion rate.

The keywords priced at more than $1 has nearly doubled in Q3 over Q2.

The majority of impressions come from lower ranked keywords. It seems like there is an increasing trend in branding and awareness campaigns.

Based on the data shown on the report: CPC, CPK and conversion was going up for holiday season. We expect similar rise this year.

Download: Double Click: Search Trend Report DoubleClick Q3 2005.