Written by Caroline Cox on Nov 19 , 2021
Is a competitor showing up for your company name on the SERP? Here’s what to do.
Here, you’ll find:
- What happens when a competitor uses your name in a Google ad
- Advice for dealing with competitors using your company name
- What to know about competitors bidding on your brand name
- Expert insights into bidding on other business names
Seeing your competitor’s name on the search engine results page (SERP) is never a great feeling.
But an even worse feeling? When a rival brand shows up after someone searches for your brand’s name.
So, are companies allowed to use another company’s name in their paid search ads? What about keywords for bidding? We answer these questions and more below.
Can competitors use my brand name in their ads?
The rules around company names and trademarks can be confusing. Let’s break it down.
The basic answer is: yes. In the late 2000s, Google lifted its restrictions that prevented brands from bidding on a competitor’s branded keyword.
That means brands can use your brand name in their Google ads, as long as the name isn’t trademarked and the way they’re using it can’t be deemed “deceptive.” (Deception tactics include things like the company impersonating your brand.)
If your company’s name is trademarked, that may be a different story. Often, bigger companies trademark their names. If this is the case, then they’re the exclusive owners. Per Google guidelines, no other brands can use that name in their ad copy.
An exception to this rule is if the company using it is a legitimate reseller, such as Zappos creating an ad for Nike sneakers.
Pro tip: Bing also allows competitors to bid on your brand name. Their policy states that “as an advertiser, you are responsible for ensuring that your keywords and ad content, including trademarks and logos, do not infringe or violate the intellectual property rights of others.”
An example of what it looks like is when one brand bids on another’s name. (via Google)
What are the rules about competitors bidding on my brand name?
Competitors can buy your brand name as a keyword, even if it’s trademarked. By using your brand name as a keyword, their ad could potentially show up on the SERP when someone is searching for your specific company.
Unfortunately, you can’t do much of anything about the competitor using your brand name or trademarks as a keyword.
However, there are things you can do to remain competitive. For starters, ensure you’re bidding on your own brand name. This way, competitors aren’t stealing any extra traffic that should be going to you. This also allows you to take up more real estate in the SERPs if you’re showing a paid ad and appearing in the organic results.
If a competitor is bidding on your brand name and you aren’t? Then their ad will show above your organic result, which isn’t what you want. You can also bid on their brand name — more on that below.
Pro tip: If you have an existing amicable relationship with a competitor, consider contacting them for a truce and agree to not bid on each other’s terms. There’s no guarantee they’ll agree, but if you’re worried about your budget, it’s worth a shot!
Let’s hit your marketing goals faster.
Our experts can help you crush your goals with a tailor-made plan.
Why would a competitor bid on my company’s brand name?
The main reason companies bid on another’s brand name is to try to steal traffic away from the competition. They want to target those who are looking for a product or service like theirs.
This is especially the case in areas where the product or service is not as well known, so people aren’t searching for the services as much. This leaves few options for keywords, so brands bid on their competitors.
Before you get heated, it’s important to realize that they might not actually be bidding on your brand. (Image via Rawpixel)
How do I choose which competitor brand names to bid on if any?
If you’re going to try bidding on a competitor’s name, we advise making sure you’re picking the right competitors to bid on (or that your agency has picked the right ones, if you’re not doing your own marketing).
There’s not much point in bidding on brands that aren’t stealing business away from you, such as big-name brands with significantly more offerings.
You’ll also want to tailor the ad copy to differentiate your brand from that competitor. One way to do this is by highlighting your unique selling propositions. For instance, if that particular competitor brand has a similar but more expensive product or service, highlight your brand as being the more affordable option.
Have more questions about paid search or Google Ads? You’ve come to the right place.
What if I think a competitor is bending or breaking the rules around using my brand name?
Before you get heated, it’s important to realize that they might not actually be bidding on your brand. If your brand is “Sunrise Senior Living,” for example, the company could simply be bidding on “senior living.” That’s what will match Google’s algorithm — not necessarily the “Sunrise” part.
Unfortunately, there’s not a lot you can do unless they’re using your trademarked term in their ad copy. If they are, you can submit a trademark complaint to Google.
Aside from deciding to bid on their brand in return, another way to fight back would be to conduct keyword research (using tools like SpyFu or SEMrush) on what other keywords they’re using for search marketing efforts.
In extreme cases, you could consider sending the company a cease and desist letter, though this will likely come at a cost and not guarantee the outcome you want.
just because a competitor is bidding on certain keywords, that doesn’t mean they’re the “right” keywords. (Image via Google)
Should I bid on my competitor’s brand name?
There’s no hard-and-fast answer to this. However, experience tells us that bidding on a competitor’s brand name shouldn’t be a top priority in your paid search strategy.
If you have other keywords that are working well, it’s better to use your ad spend to allocate your marketing budget toward those.
If you have an excess budget, then you could try bidding on their brand as a keyword. We don’t suggest using another brand in your ad copy.
How can I use competitors bidding on my brand to my advantage?
If your products or services are similar enough, this could give you ideas for things to try on your own search marketing efforts.
It’s also worth noting that, just because a competitor is bidding on certain keywords, that doesn’t mean they’re the “right” keywords. If a keyword doesn’t seem right to bid on for your business, don’t do it! (And maybe even add them to your campaign as negative keywords.)
Consider reviewing their ad copy or strategy and taking inventory of what you uncover. How does yours compare? This is a great time to reflect on your own advertising efforts.
Are you taking full advantage of Google’s ad offerings like ad extensions and site link extensions (if appropriate)? Ask yourself: If you were a consumer, would you click on your ad?
Pro tip: If you decide to bid on competitor terms, avoid using dynamic keyword insertion. This is a feature that involves the searched keyword auto-populating as an ad’s headline. This will cause your competitor’s name to show up in your ad. It could be deemed deceptive, even if it’s unintentional.
The takeaway
We find that, in general, bidding on your competitor’s brand is typically not a great idea. You could also get lower-quality scores for those keywords.
That’s because Google can see you’re not the brand whose name you’re bidding on. Plus, it’ll likely cost you more to bid on those branded keywords because the brand isn’t your own.
In the long run, it’ll be better for your marketing plan to focus on your unique products or services, make sure the user experience is top-notch, and use ads to highlight the selling propositions that make you stand out.
This article has been updated and was originally published in December 2020.
Caroline Cox
Caroline is HawkSEM’s content marketing manager. She uses her more than 10 years of professional writing and editing experience to create SEO-friendly articles, educational thought leadership pieces, and savvy social media content to help market leaders create successful digital marketing strategies. She’s a fan of seltzer water, print magazines, and huskies.