Keyword Bidding

What is keyword bidding?

Keyword bidding is when an affiliate uses paid search advertising to bid on keywords related to a brand, product, or service they promote. These ads typically appear on search engines such as Google or Bing when someone searches for the targeted term.

For example, imagine you run an online skincare brand called Glow & Co. and have affiliates promoting your products. An affiliate might bid on a general keyword such as “best moisturizer for dry skin” and create a search ad that directs shoppers to your website using their affiliate tracking link.

Keyword bidding can help affiliates reach people who are actively searching for a product or solution. However, it can also create competition between a brand and its own affiliates, which is why many affiliate programs have specific rules around paid search.

Brand bidding vs. non-brand keyword bidding

One of the most important distinctions is between brand bidding and non-brand bidding.

Brand bidding means an affiliate bids on keywords containing the merchant’s brand name, product names, trademarks, or common variations and misspellings. For example, an affiliate for Glow & Co. might bid on terms such as “Glow & Co moisturizer” or “Glow & Co discount.”

Non-brand bidding targets broader terms that don't specifically mention the merchant, such as “moisturizer for sensitive skin” or “best skincare for winter.”

Affiliate programs often allow non-brand keyword bidding while restricting or completely prohibiting brand bidding. This prevents affiliates from competing with the company’s own paid search campaigns or earning commissions from customers who were already specifically searching for the brand.

Some programs also restrict affiliates from bidding on combinations such as [brand name] + coupon, [brand name] + discount, or competitors’ brand names.