What is Autobid and how to make it work for my business?

Applying good bid strategies in Google ads is essential to maximize the performance of an account and achieve the different business objectives of each company. Depending on what our client wants to achieve, we must apply different bid strategies. Therefore, in this article, we will analyze what is autobid and the different scenarios with the most appropriate bid strategies that can be applied for each particular case. 

There are two types of bid strategies: automatic and manual. Through the automatic strategies, the Google ads set up the system automatically adjusts the bids to reach the desired objectives, in the established budget. On the other hand, manual bid strategies offer complete control over maximum CPC, which can be adjusted based on historical data and account performance.

The two strategies can be used together. For instance, if there are some keywords that do not reach the desired conversion cost in a campaign where maximum manual CPC bids are used, the Target CPA Strategy can be applied only to these keywords, without affecting the entire campaign. 

In this post, we will focus on what is autobid and the different strategies in order to know which ones should be used at each moment to improve the performance of an account.

Maximum CPA

If the goal of a company is to achieve a maximum CPA, the Conversion Optimizer can be of great support. Google ads look at the historical data of an account and automatically adjusts the bids to reach the CPA set at the campaign level. In order to activate the Conversion Optimizer, you must have at least 15 conversions in the last 30 days, which is what the system needs to learn the trends and make more precise adjustments. 

The disadvantage of this strategy is that you might ignore other settings of the campaign, such as settings by device, day, time or location. Also keep in mind that if the CPA configured at the campaign level is too low, the Optimizer simply will not show the ads because the expected result would not be met. In addition, for companies with seasonal character, this strategy could be difficult. 

 If, for instance, in a campaign, we have different ad groups that have different costs per conversion as targets, it is advisable to use the Target CPA bid strategy. It works in the same way as the Optimizer, but the main advantage is that you can set a minimum (or maximum) cost per click, which prevents the system from setting bids that are too low (or high).

Google Search Network first places

If after analyzing the historical data of an account we notice, for example, that our ads work better when they are positioned at the top of the page, the segmentation strategy by location on the search page can be used in this case. What this does is automatically adjust bids for a campaign or ad group to show at the top of the page or on the first page of Google search results. 

 An advantage of this strategy is that you can apply maximum CPC limits, so you do not spend too much or you can also choose to bid a percentage of the estimate that Google recommends to appear at the top of the page.

 Today we talked about what is autobid and several strategies, but as you know, you can also use manual bid strategies, developed thanks to the historical data of the account and the trends that are being seen over time.  There are different ways to analyze this data and apply adjustments at different levels to achieve the desired objectives manually as well.

 Keep in mind that you can check our Synapse Ads blog where we talk about this and other subjects related to digital marketing and its many strategies. We also have the best Keyword Mixer in the market, which helps to find the right keywords to drive traffic to your website.

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