Jan
20

Here are six techniques for increasing your bids' chances in the age of automated bidding.

01/20/2023 12:00 AM by Admin in Six techniques


Can I afford to ignore the bidding process if automated strategies are handling my bids? Due to the widespread use of algorithmic strategies in bidding, this is a legitimate question to ask (and automation in Google Ads in general).


If you're looking for a simple yes or no answer, here it is: YES.

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The more detailed response is still "YES," but with several qualifications about why and how frequently you should reassess your bidding approach.

Therefore, here are some suggestions for controlling your bidding strategies in the era of automated bidding.

Some suggestions for dealing with bids in today's digitally sophisticated society
Before diving into the recommendations, let's quickly recap the bidding process for the benefit of any newcomers:

Your bid in Google Ads (or any PPC campaign) will be based on several things, such as your budget, how soon you're willing to spend it, your campaign's aim, its success, and more. Your "bidding strategy" consists of the text you just read.

As automated bidding becomes the norm, the following tips will help you understand your role in the process of manually setting, modifying, and maintaining your bids.

First, make sure you're not fudging the books.
I cannot stress this point enough: if you don't have solid tracking in place, automated bidding strategies won't provide you the outcomes you want. If you care about anything except traffic, you should prioritize the monitoring of conversion and, in certain cases, money on your site. Having finished with the public service message, we will now...

This Google Ads conversion screen shows the status column.

2. Selecting the Best Course of Action
After you've set up a solid method for monitoring conversions, choosing the right bidding strategy is the next step. Depending on the goals of your campaigns, certain bid strategies may be a perfect fit or a total failure.

Any of these methods, from Manual CPC and Enhanced CPC to Target CPA and Target ROAS, may be used to optimize your online store's performance.

The first three may be helpful if you're trying to generate leads online, but Target ROAS bidding won't provide results unless you already have access to high-quality CRM data.

Google provides a Target ROAS (Return on Ad Spend) plan chart to help you get the most out of your advertising dollar.

To that end, I offer the following recommendations:

Take care. There are many books, articles, and videos to help you discover what they do so you can get started with the right bidding strategy.
The decision you make about your bid strategy must be well-supported by data. Although Google may disagree, I believe that some conversion data should already exist in the account before any conversion- or cost-per-conversion-focused strategies may be used. This ensures the bidding algorithm has some context and isn't starting from scratch.
If you're having trouble getting noticed, you may try starting with Manual or Enhanced CPC, or even Maximize Clicks, and then moving to another strategy after you've built up some momentum. (I'll get to it in a while.)

To the best of your ability, use the resources at your disposal.
Depending on the bidding strategies you choose, Google gives you a lot of discretion in influencing the performance of your advertising.

Select Impression Type, Top of Page, or Absolute Top of Page as your objective, and then specify your desired percentage of impressions to bid on.

Bidding on a certain percentage of impressions: tips for optimizing your Google AdWords campaigns

It's possible that boosting traffic volume using the Maximize Clicks strategy and limiting bids to a maximum CPC in the parameters might be beneficial.

Improve your Google Ads CTR using These Tactics

The Target CPA and Target ROAS play an essential role in both the Maximize Conversions and the Maximize Revenue bidding strategies. The goals of your campaigns are entirely up to you. It's not necessary to settle for what Google offers. There are, however, additional challenges brought about by this, and we'll go back to them after a little digression on some resources you could be lacking.

Take into account the dials you can't adjust.
One of its primary selling features for me is the option to establish your own bids via either Manual or Enhanced CPC bidding. But in all seriousness, there are several ways to adjust bids in a manual campaign:

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You may change your offer by a certain percentage to reach a smaller or bigger subset of your target audience with each of these choices.

But with automated bid processes, almost all of those are eliminated. All of these split-second evaluations are being handled by the machines.

Skeptics may point out that, on a Target CPA campaign in the Google Ads interface, you may still put a value into the bid modifier box for audiences, but that this value is being ignored by the algorithm.

There is no other set of bid modifications that will ever be applicable to any auction format save these. Before committing to a bidding strategy, think about the levers you want/need to pull in order to optimize your campaigns.

How to Control Your Google Ads Bids

Picture Origination

5. Realize how your constraints influence your output
Setting a Target CPA is a great approach to limit your Google Ads spending (cost per action). In most of my lead producing accounts, I utilize this strategy since I know exactly how much a lead has to cost in order to be profitable.

There is a lot of interest among marketers in using machine learning at this tier to help them achieve their cost-per-acquisition targets more gradually. However, it's not wise to set your Target CPA at an unreachable level.

If your cost-per-acquisition goals are too modest, Google may restrict the number of times your ads are shown since it will struggle to compete effectively. As a result, you'll see a decline in overall engagement and conversions. When this falls too low, your CPA goes up, which is the opposite of what you want to happen.

Google will be more proactive in showing your ad if you lower or raise your CPA objective, which may drive up both volume and costs. While this may raise warning flags, I've seen it happen several times when increasing the Target CPA only gave Google more data to work with, resulting in a drop in our actual CPA.

The next part may read as if I am attempting to get you to increase your expenditure and increase your CPA goals. But that's not entirely right, either. Instead, I'd want you to double-check that you're not being too lenient, and then try out some little increases and reductions to see what works best for your account's performance and volume goals. The results of your alterations may not be exactly what you expect.

Recognize the necessity for trying new things and changing strategies.
Choosing the best place to begin is just half the fight; you also need to keep an eye on your results to determine if adjusting your bid strategy may improve your performance.

Have you tried adjusting the parameters but still not gotten the desired results?
What, if anything, about the campaign altered the way you marketed in general?
Do you know enough to go from trying to maximize conversions to trying to maximize your return on ad spending?
How fast was the info exchanged? Was it so slow that you were considering downgrading?
Extensive and detailed studies of your bidding strategies to determine whether a change is desired are not always necessary.

You also don't have to make the change as soon as you see a problem or an opportunity. If you're unfamiliar with running experiments in Google Ads, here's a video tutorial to help you get started.

A Study of Google AdWords Campaign Testing

There is space for nuance within a single bid strategy. You could be wondering whether increasing your return on ad spend goal can make you more productive without sacrificing volume. If you're skeptical, why not try it out? Create a duplicate of your campaign, make any necessary adjustments to the original, and then try out a new target ROAS to see what occurs.