If you work in the digital ads space or you’re simply looking for an effective digital strategy for growing your business, Google ads are likely your best bet.
The Google ads platform allows businesses and individuals alike to choose from a database of bidding strategies tailored to your specific business goals. Whether you want to gain more web traffic, increase sales, convert more customers, and earn more viewership, the Google ads suite can help.
Determining what bidding strategy is right for you will require some introspection on your part, however, once you settle on a specific goal, the process becomes more clear.
If you’re still uncertain of the bidding strategies that Google offers, or you simply don’t know what Google Ads Bidding Strategies are, this article is for you!
What are Google Ads Bidding Strategies?
In short, Google Ads is Google’s online marketplace for all things advertising. Thanks to the Google Ads platform, you can create, optimize, and distribute your ads to your preferred target audience.
Simply choose a budget, choose an ad location, and begin measuring your success!
A Google Ad Bidding Strategy, then, is simply a goal or aim for how your ad campaign will be optimized. In other words, it’s a strategy for what metrics you’re going to prioritize, and at what budget or bid.
As a business, your goal may be to generate traffic to your website, increase viewership on your video, increase product consideration, or even have direct action take place on your site, whatever that action may be. Whatever the case, your goal will largely determine your bidding strategy.
There are two types of bidding categories, with several types of strategies under each: Automated (Smart) Bidding, and Manual Bidding.
In what follows, we’ll discuss the several types of bidding strategies, but first, what’s the difference between the two?
Automated (Smart Bidding) vs. Manual Bidding
If you’re a business running multiple campaigns at once, no matter how big or small, you’re likely going to opt for an automated, or smart, bidding strategy at first. Why? Automated bidding takes the guesswork and tedious task of measuring data out of the equation and does the heavy lifting for you.
In contrast, Manual bidding is just the opposite, allowing you to have full autonomy and control of every bidding decision to be made.
No strategy is superior to the other, however, choosing what one is best for you will largely depend on your primary goal. Once you determine your goal, choosing a strategy will make much more sense.
Types of Bidding Strategies
As mentioned, choosing a specific bidding strategy will primarily depend on your goal. In this section, we’ll discuss the several options of bidding strategies and what each one entails.
Below is the summarized list of bidding strategies:
- Cost Per Action (CPA)
- Return on Ad Spend (ROAS)
- Cost per Click (CPC or ECPC)
- Maximize Conversions
- Maximize Conversion Value
- Maximize Clicks
- Total Impression Share
- Cost Per Thousand Impressions (CPM)
- Cost Per View (CPV) *Video Ads Only
Targeting CPA, ROAS, CPC, Max Conversions, and Max Conversion Value are all strategies under the umbrella of Smart Bidding. If your goal is total conversions, focusing on a smart bidding strategy is likely the path for you.
In contrast, if your goal is to maximize clicks, targeting a Max Clicks automated strategy is likely your best bet. Not only is it the simplest way to bid for clicks, but it’s arguably the most effective. Simply set an average daily budget and let Google do the heavy lifting for you.
If your goal is visibility and brand awareness, focusing your efforts on reaching the most eyes is the most optimal strategy. This is accomplished through targeting Total Impression Share, CPM, and CPV. With all three of these bidding strategies, you give your ad(s) the best chance at being shown, getting impressions, and ultimately increasing viewership.
Google Ads are an extremely effective way to achieve your business goals, whatever they may. Moreover, knowing what bidding strategy is most suitable for you is imperative to your success.
By defining your goals, understanding each bidding strategy’s offerings, and budgeting correctly, you give you and your business the best chance and succeeding in a digital world.