How do you optimize your bids to save money and bring good results to your marketing efforts? Today, you are going to learn everything that answers the questions as mentioned above. Let’s get started.
While working with Google Ads, bid management is a critically important component. The importance of building a strong bidding strategy doesn’t only align with soothing the struggles of your ad placements, but also it is essential to ensure safe spending. By setting up a perfect bidding strategy, marketers can have good control over their ad spending and can make their businesses position at a more dominant level. Let’s see the different categories of bidding strategies that Google offers to its clients and how to work with them as a smart cookie.
1 Manual CPC
Manual CPC allows you to set your bids for your ad campaign manually. You can choose to modify Manual CPC bids individually based on the performance of your ads in history. While working this bid strategy, always remember to lower your bids when you see keywords that received a lot of impressions but didn’t generate any conversions. By doing this, you can stop wasting money on poor conversion rate keywords. Similarly, increase bids for high converting keywords.
Pro Tip: Don’t be in a hurry and believe in your gut to force yourself to overbid. That will only increase your costs but results in nothing good. Increasing bids incrementally is a sober option to reduce the risk of over-bidding.
2 Enhanced CPC
Enhanced CPC is an automated bidding strategy of Google AdWords. It automatically determines whether you’re bidding too low for a well-performing ad, or you’re bidding too high for a low-performing ad. Thereby, increases or decreases the bids accordingly. Google Ads uses advanced machine learning algorithms to understand your data and performs bidding to maximize your conversions. Enhanced CPC makes very accurate predictions, gives you more profound insights into your bidding performance and help you quickly troubleshoot any issues. This strategy is very essential if you are looking to acquiring customers who could generate a long-term revenue stream.
3 Portfolio Bidding
Portfolio bidding is an updated version of automated bidding. You can apply these across all channels such as Google Ads, Bing Ads, and other types of campaigns. Additionally, by portfolio bidding, you can use Search Ads 360 bid strategies to optimize your bids. This strategy works pretty well to optimize audience targeting, product reach, keyword performance analyzing and conversions rates. With real-time and historical data, portfolio bidding recognizes auctions that don’t look promising and ceases them. It also calculates and updates bids regularly to ensure that your bids are always optimized.
4 Target CPA Bidding
Formerly known as Conversion Optimizer, Target CPA is one of the smart bidding strategies that set bids to help maximize the conversions by optimizing cost-per-acquisitions. For example, if you are thinking to set your budget to $3 to acquire a customer, you’ll select a target CPA of $3 Target CPA automated bid strategy. This bidding strategy automatically optimizes your bids based on the limitations you set. It drives your designated conversion goals accordingly. You can see Target CPA bidding strategy offered by both Google & Bing. The coolest part of this bidding strategy is that you need not to worry about overbidding. Target CPA knows its boundaries. It optimizes data to get the best results while keeping your spending within the set goal of cost per acquisition.
Pro Tip: Target CPA bids works very well for those businesses or ads which sees low conversion volume. Target CPA bids lift conversion volume when targeted on the low volume campaigns.
5 Target Return on Ad Spend (ROAS)
Target ROAS is the bidding strategy where bidding is done to improve the conversions based on the return you want from your ad spendings. ROAS is very useful when you want to evaluate the performance of ad campaigns quantitatively. ROAS directs you to the right paths of budgets, strategy, and overall marketing decisions. By opting this bidding strategy, you can see your business stay profitable, and grow substantially.
You all know that Google Ads has revolutionized the digital marketing domain. However, not all of you know that the mishandling of Google Ads can bring you huge losses. You need to know how to handle Google Ads. Whether it is about Google Ad campaign strategy, keyword strategy or bidding strategy – you need to have a well-planned framework in your mind to make Google Ads work for you.
AdWords undoubtedly produces massive data for businesses. Making that data work for you is a smart move. Use the data to help yourself in making decisions about budgeting and building bidding strategies to generate a good ROI. It’s is always better to avoid going very aggressive with your ad spend. And, Google Ads offers excellent bidding strategies that regularly keeps you on a check and helps you optimize your campaigns. Good luck with your journey with Google Ads!