How to select the right bidding strategy for Google Ads
To choose the right bidding strategy for Google Ads, first set a clear goal. Your bidding strategy must be aligned with your business goals.
Google Ads has emerged as a vital tool for small businesses aiming to increase sales and leads.
However, the key to unlocking its full potential lies in selecting the right bidding strategy.
This blog post will guide you through the process of choosing the most effective bidding strategy for your Google Ads campaigns, ensuring your business maximizes its return on investment (ROI).
1. Set clear goals
Your bidding strategy should directly reflect your business objectives. Whether you’re looking to boost sales, generate leads, or increase brand awareness, defining clear goals is the first step.
2. Determine ad daily budget
Planning your budget is crucial. Google Ads experts recommend a budget plan spanning at least three months to gather sufficient data and optimize results effectively.
3. Select bidding strategy based on goals
Choose a bidding strategy that aligns with your goals, whether it’s focusing on conversions, clicks, or visibility. Each strategy has unique advantages tailored to different objectives.
Types of bidding strategies in Google Ads
Google Ads offers a variety of bidding strategies to cater to different business needs. Here’s a detailed look at each type:
Focus on conversions with Smart Bidding
Smart Bidding uses Google AI to optimize for conversions, considering numerous auction-time signals such as device, location, and time of day.
Here are the five Smart Bidding strategies:
- Target CPA (Cost Per Action)
Target CPA helps increase conversions while targeting a specific cost per action. It’s ideal for businesses aiming to optimize their ad spend. - Target ROAS (Return on Ad Spend)
Target ROAS focuses on maximizing conversion value while targeting a specific return on ad spend. It’s perfect for businesses looking to optimize their revenue. - Maximize Conversions
This strategy aims to spend your entire budget to get as many conversions as possible, without targeting a specific CPA. - Maximize Conversion Value
Similar to Maximize Conversions, this strategy focuses on spending your budget to get the highest conversion value possible. - Enhanced CPC (ECPC)
ECPC adjusts your manual bids to maximize conversions, providing a balance between automated and manual bidding.
Focus on clicks with CPC Bidding
If your goal is to generate traffic, CPC bidding strategies can help:
- Maximize Clicks
An automated strategy that aims to get the most clicks within your budget. Ideal for driving website traffic. - Manual CPC Bidding
Allows you to set your own bids, giving you control over how much you’re willing to pay for each click.
Focus on visibility
For businesses aiming to increase brand visibility, consider these strategies:
- Target Impression Share
Sets bids to ensure your ad appears in a specific part of the search results page, enhancing visibility. - CPM (Cost Per Thousand Impressions)
Pay based on the number of times your ad is shown, perfect for video and display ads. - tCPM (Target CPM)
Sets an average cost you’re willing to pay per thousand impressions, optimizing bids to maximize reach. - vCPM (Viewable CPM)
Manual bidding strategy for ads designed to increase awareness without necessarily generating clicks.
Best Google Ads bidding strategy for new Search Campaigns
For new Search Campaigns, start with the Maximize Clicks bidding strategy to drive traffic. Once the campaign has gained around 30-40 conversions, switch to Maximize Conversions.
To further optimize, transition to Target CPA once you have sufficient data on Cost per Acquisition.
Google Ads services for Malaysian businesses
Choosing the right bidding strategy is crucial for maximizing the effectiveness of your Google Ads campaigns.
At Pillars Media, a certified Google Partner, we provide expert Google Ads services tailored to your business needs.
Reach out to us to optimize your campaigns and achieve your marketing goals.