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AdWords Bidding Options
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Auto and Smart Bids
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Auto and Smart Bids
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By David Smania
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Bidding Options in Google AdWords
By David Smania
In the early days of PPC advertising, life was pretty simple. You told Google what you wanted to pay for each click, and your ranking and cost per click were largely controlled by what you entered as the max you would pay.
Today, the options have expanded significantly, and new advertisers are presented with eight separate smart bidding methods for establishing a strategy.
For the uninitiated, the smart bidding options in Google Adwords can be immediately overwhelming.
- Manual CPC
- Target Search Page Location
- Target CPA
- Target ROAS
- Target Outranking Share
- Maximize Clicks
- Maximize Conversions
- Enhanced CPC
But as you think about the goals of each campaign as we guide someone toward an eventual purchase, then it makes sense that different optimization methods would exist for every stage of the buyer’s journey.
Google also has terabytes upon terabytes of user search patterns and data points that feed its machine learning that in turn strengthen the accuracy of its predictive analytics.
While manual bidding is often the default choice for many Google AdWords advertisers, there are other smart bidding strategies that could bolster a campaign, depending on the goals.
For example, targeting a cost per acquisition through Target CPA, where an advertiser knows and understands their margins, comparing customer acquisition costs to lifetime customer value.
Another option could be Maximize Clicks, where the goal is to simply drive as much traffic as possible on our advertising, even if the clicks do not result in a conversion.
This could be an advertiser that’s interested in obtaining traffic for many different reasons, especially with a landing page that is set up properly with the right value offering for someone at this stage in the buyer’s funnel.
In this comprehensive guide, we’re going to look at each bidding option in detail so you have a better understanding of the choices that Google makes available to you, starting with Manual CPC.
Next Up – Manual CPC
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