In our last blog we briefly mentioned that there are a lot of different strategies you can use to manage your bidding in Google Ads. We didn’t have a lot of time to go into what they all were at the time, which is why we thought a completely separate article was in order! Because if you want to succeed with Google Ads, choosing the right strategy and bidding type is essential.

You could be forgiven for thinking that all you need to succeed on Google Ads is a budget and a willingness to outbid the competition. And while you can run campaigns that way, they tend not to deliver great results – which is where the strategy comes in. So today we’re going to run through the options you have for a bidding strategy, what each one of them means and the scenarios you might want to use them in. Since there are so many, we’re going to do this in 2 parts, with 6 strategies for each post. So, let’s get started!


Manual CPC Bidding

Manual CPC (or manual cost per click) is one of the default options for bidding, mainly because it’s the simplest to apply and manage. Manual CPC is where you set bids for different ad groups or placements on your own. If specific campaigns are more profitable than others, you can quickly adjust budgets to add or remove money from the campaign. This method gives you the most control over your bidding strategy – but remember that more control means more time spent monitoring costs and adjusting your campaigns to stay within budget. So you are in complete control, but you can’t take advantage of Google’s incredible AI.


Target CPA

If you want to optimise your conversion rate, then target CPA (or Cost Per Acquisition) is the route for you. This strategy helps you to drive conversions but focussing on trying to convert users at a specific acquisition cost. Using this method means that Google Ads will automatically set your bids on each campaign based on your CPA. Some conversions might cost more, others might cost less, but overall it will even out and align with your acquisition costs. This strategy can deliver great results – but if you don’t know what your acquisition cost for a new client is.


Target ROAS

Target ROAS stands for Target Return on Ad Spend, and is one of those strategies that tends to throw people through a loop. Mainly because it requires a lot of maths to make sure you get it right, So if you’re a numbers genius, step right up! Target ROAS is the bidding strategy where Google Ads will set your bids to maximise conversion value based on the return you want from your ad spend, which is stated as a percentage. For example, if you want to generate £10 for every £2 you spend, you would follow this formula:

Sales ÷ ad spend x 100% = Target ROAS

Following that formula, £10 in sales from the campaign ÷ £2 ad send (clicks) x 100% = 500% target ROAS. Simple, right? Don’t worry – we know how confusing it is. That’s why we recommend bringing in an expert if you want to run this strategy.


Maximise Conversions

This is one of the simplest bidding strategies that Google offers, which means it’s perfect for beginners. All you need to do is set a maximum daily budget for your campaign spend. Google will then automatically run your bidding for you, with the aim of getting the most conversions for your money. Using AI and a LOT of data, Google can make the best decisions for your ad spend. So for example, if your maximum daily spend is £50 and a single conversion would cost you £50, then Google won’t bid on that one for you – it’s too much for a single opportunity. To set this one up all you need to do is set your daily budget – Google handles the rest.

Enhanced Cost Per Click

Enhanced Cost Per Click is like a level up of cost per click bidding. This strategy takes advantage of Google’s Smart Bidding, and gives Google the right to increase or decrease your bid amount based on the likelihood of driving a sale. These bids will be averaged out at your maximum cost per click settings. So if a search is too competitive and the cost per click is very high, Google can lower your bid cost due to the decreased chances of converting, and vice versa. The downside? This type of bidding is limited to search and display networks.


Maximise Clicks

The last strategy for this blog is maximise clicks – another automatic bidding strategy designed to make life much easier for you as a user. Here Google Ads will attempt to drive the most clicks it can to your ad within your daily budget – which you will define when you set it up. It really is as simple as that!


That’s all for today – but don’t forget to stay tuned for part 2 coming soon! At Ad-Extra we live and breathe Google Ads, which means we can help you decide which ad strategy is right for you, and guide you through how to use it properly. If you don’t want to manage it yourself, we can always run them for you, so you can enjoy the leads coming in without having to lift a finger. If you would like to find out more, just get in touch with us today.