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Every Ad campaign in Google Ads has its bidding strategy by which you have control over how much you need to spend for a single click and for a day. Bidding in Google Ads means a number of competitors are targeting a single keyword and bidding a particular amount. Google choose its required bid and starts displaying your Ad, you need to spend some amount to display your Ad, you can set the price for a whole day and for a single click. According to your desired price, Google will provide the number of clicks within your price. There are different types of bidding strategies and in this article, we will discuss the complete guide on bidding strategies in Google Ads.
We will discuss good use cases and non-good to use cases and you can choose the best bidding strategy for your Ad campaign. After creating a profile, you will be moved to the bidding before implementing your Ad campaign to monetize your website. You will get a window like this,
Here you can see the default option with Maximize Conversions, this is one of the types of bidding strategies in Google Ads. Below that you can see a button Change Bid Strategy, this is the option to change and select your appropriate bigging concept.
Types of Bidding Strategies in Google Ads
After clicking the Change Bid Strategy button, you can have a drop-down list, with the default option Maximize Conversions. When you click on the drop-down list, you can view the types of bidding strategies in Google Ads like this.
Here you can see that there are two types of bidding strategies,
- Automated Bid Strategies
- Manual Bid Strategies
All the other types of bidding strategies are under the Automated section, now we can start with the Manual Bid Strategy.
1. Manual Bid Strategy
Manual CPC is the easiest method to run your Ad campaign. Here you need to select the price you need to spend for a day and the price you are willing to spend for a single click. Within your set price, Google will help you to get a maximum number of clicks.
Using manual CPC, you will have more control in your Ad campaign. Manual CPC is good for a new Ad campaign, and it will help you to know more about the value of clicks.
This Manual CPC needs more maintenance, and you need to monitor your campaign regularly for the relevant clicks. Here you can see an option called Enhanced CPC, which is an automated or Enhanced Manual CPC. Here you can choose your bidding according to the conversion and clicks.
Manual CPC is good for beginners to understand the concept of bidding. The only disadvantage is that all the bidding terms must be optimized by yourself. If any changes in bidding can spoil the Ad campaign, there is a chance of an increase in Cost Per Click (CPC) or Pay Per Click above the maximum you set.
2. Automated Bid Strategy
There are different types of bidding strategies in Automated CPC, but the most recommended one is Maximize Clicks.
1. Maximize Clicks
By using this strategy, you can acquire a maximum number of clicks in a single day. Here you can also set your own price for a single click above which you do not want to spend. The bidding is best to drive for a higher volume level and the profitable keywords you are focusing on.
This strategy will run only for a single day, and you need to change and optimize your Ad campaign daily. This is used only for clicks and you do not know whether the click is relevant or irrelevant. You need to include or exclude the positive and negative keywords. The campaign is good if you do not focus on any conversion metrics.
2. Maximize Conversions
Maximize conversions is the same as that of Maximize clicks, but here your Ad will be focused on the conversion rates. You will have the maximum conversions within a set budget limit for a day. Here you can use the portfolio method, where the maximised conversion can be used for a number of Ad campaigns that are running. This is useful to get a maximum conversion rate, but as a beginner, you do not need to go with the portfolio.
In this strategy, you do not need to control your CPA limit, as Google will automatically set the limit. All your conversions will be valuable, and lots of conversion data are available. The only disadvantage is there is no control over CPA, so there is the chance of exceeding your daily bid limit.
3. Target CPA
Target CPA is the same as that of Maximize conversions, which focus on increasing your conversions. Here you can set the limit that you are spending for a single conversion. With this bidding you will have control over your CPA and Google will give you maximum conversions within your budget.
4. Maximum Conversion Value
The campaign is the same as the Maximize clicks and Maximize conversions, but here the Ad will not focus on clicks or conversions. It will give value for all clicks and conversions that you have spent.
Not only these but there is also a number of bidding strategies in Google Ads. As a beginner, you should master these types of bidding strategies in Google Ads. After running some Ads, you will have an idea of how to optimize your Ad campaign for the required clicks and conversions. After mastering these concepts move on to other strategies which are useful for experienced advertisers to promote a website.