What does competition mean in Google Adword Keyword Planner?
As per google-
“Competition: The number of advertisers worldwide bidding on each keyword relative to all keywords across Google. In the “Competition” column, you can see whether the competition for a keyword idea is low, medium, or high.”
Competition does not relate to the organic search results in Google but its related to no. of advertisers bidding for that keyword. Google indicates it as the ”high,” “medium,” and “low” in a graph. And it shows how competitive a keyword is.
Generally, if the keyword has the high competition then advertiser has to bid higher and higher to win the high ad position. And hence the keyword CPC will be higher.
If the keywords has low competition (Graph bar shown is empty) ie less advertisers are bidding on those keywords, then you might just spend few cents to get the clicks for that keywords, depending on the search volume for that keyword as well.
Sometimes, you get none competition for your own brand as no other advertiser is bidding over your brand.
So it’s better to check the exact, broad and phrase match type keywords competition and use accordingly based on the campaign budgets.
Google gives you the keywords ideas as well and based on which keywords can be shortlisted.