By Conversion Rate Optimization, smart bidding
One of the best-known ways to increase sales and traffic is using Google search ads. These factors have contributed considerably to its popularity increase as a marketing method. However, overseeing a campaign like this one can be difficult and time-consuming. You may have heard of Google Ads Smart Bidding if you're already operating a pay-per-click campaign. But what does "smart bidding" mean exactly?
Smart Bidding for B2B: A Quick Overview
Google's Smart Bidding allows users to define performance targets and customize parameters for specific business objectives. In addition, it provides reporting tools that provide insight into your campaign's bidding performance and help you fix any problems. Smart Bidding allows it to utilize signals, which are helpful features that may be identified, for example, a device or a location. You can then define, for example, device-specific performance targets to help you target your right audience.
The information you can extract from signals can help you save money on your campaigns and uncover new revenue streams, such as focusing your marketing efforts on a particular region where you know your products are well accepted.
Smart Bidding can only be activated if you've activated conversion tracking. Google will be able to observe what individuals do after interacting with your ad, which will help you estimate ROI and profit.
Smart Bidding Techniques: Five Suggestions for Successful Bidding Strategy
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Maximize the number of conversions: As a result, bids are optimized to get the most value out of your budget at the expense of ROAS, but this is an excellent option if your primary goal is to increase volume. This method requires only five conversions a month, making it suitable for smaller accounts. Google will change its bids to match your revenue targets.
- ROAS (Return on Ad Spend): Optimize your bids so that you can reach your ROAS goals. In contrast, Bidnamic's technology allows you to increase spending while maintaining the same ROAS, which is impossible with AdWords. To maximize your ROAS and conversion rate, use this option to enable Google to estimate future conversions and establish a maximum CPA.
- CPA (how much you pay per conversion): Depending on the probability of conversion, Google will determine offers. As a result, this option attempts to maximize conversions while minimizing the amount of money spent on ineffective clicks.
- Share your impressions with the target audience: As often as possible, the algorithms will bid on your ad to place it at the top of the page/first in the carousel. This will bring more people to your website, but it doesn't necessarily mean that the people looking around have a strong desire to make a purchase. Your ROAS and conversion rate may be lowered as a result.
- Maximize your CPC to generate sales: To maximize conversions, you can combine this method with manual bids, giving you more process control.
Automated Bidding: how do you know if it is the best option?
Using smart bidding strategies, you don't have to spend as much time manually bidding and instead can let the algorithm handle the bidding for you. In addition, the large amount of data Google has for machine learning makes it a great place to start for smaller organizations lacking campaign data.
Smart Bidding, like Smart Shopping, only provides limited insight and control over the data used to optimize campaigns. This can be frustrating when trying to develop a strategy for increasing conversions. It also means that you may only define a restricted number of campaign objectives.
Here are the main advantages of automatic bidding to help you decide:
- You can choose a strategy that works for your goals, no matter what.
- When determining the best offers, you don't need any in-depth information and don't need to conduct extensive research.
- You're using Google's algorithms, which aren't perfect, but they're much more powerful than you think.
In addition, you can expect to receive less data in return. But, having complete control over your bids allows you to pinpoint precisely why a campaign was successful or unsuccessful. Automated bidding, on the other hand, does not let you see exactly how Google prioritizes your bids, making it more challenging to determine whether you're doing it right.
Also, remember that this isn't an either-or situation. Automated bidding is an option for some campaigns, but not all. So before deciding, you should try both methods and discover which works best.
Is Automated Bidding a Smart Solution?
Using a manual strategy or a bid management software vs. smart bidding requires weighing the advantages and disadvantages of each approach. As a beginner with Google Ads, it's not a bad idea to focus more on manual bidding (if you have the time). With a smaller budget for your PPC campaign, you may experiment and see what works best.
To avoid spending your ad money on Google Ads, you may consider contacting an experienced specialist. Get in touch with us to find the best solution for your B2B company.
