What is the charging model for ads in the Product Ads bidding system?

1. Each winner pays exactly the same as they were originally willing to pay.
2. Each winner pays the minimum necessary to beat its closest competitor. That is, it will pay a lower actual CPC. This is known as the second best price mode.
3. Each winner pays the maximum CPC he was willing to pay according to his or her target ACOS.
4. That is, he or she will pay an actually higher CPC.

Correct Answer :

• Each winner pays the minimum necessary to beat its closest competitor. That is, it will pay a lower actual CPC. This is known as the second best price mode.