Google Ads Bidding Strategies: The Only Guide You'll Ever Need (With Free Cheat Sheet)

Summary

In this video, the speaker explores the nuances of using smart bidding strategies in Google Ads for both existing and brand new campaigns. For campaigns with historical data, smart bidding can be used immediately, but for new campaigns with no conversion data, manual bidding or Max Clicks should be used initially. The speaker emphasizes starting with a reasonable target CPA or ROAS and gradually refining it based on campaign performance. Additionally, bid adjustments aren't effective with smart bidding strategies, and the video offers tips to avoid costly mistakes with incorrect bidding choices.

Takeaways

• 😀 Smart bidding strategies can be used for new campaigns with existing keywords, but new campaigns with completely new keywords require manual bidding or Max Clicks initially.
• 😀 For campaigns with historical data, you can start with smart bidding strategies like Target CPA or Max Conversions to optimize performance right away.
• 😀 New campaigns with no historical data should use manual bidding or Max Clicks to gather conversion data before switching to smart bidding.
• 😀 Once you have enough conversion data, you can gradually move from Max Conversions to a Target CPA bid strategy.
• 😀 When using smart bidding, start with the average performance data from the last 30 days and adjust your bid target over time to avoid drastic changes.
• 😀 Setting an overly aggressive bid target too early can suffocate your campaign and cause underperformance.
• 😀 Smart bidding is most effective when there is enough conversion data to work with; otherwise, manual bidding is the safer choice for new accounts.
• 😀 The key to using smart bidding successfully is to slowly adjust your targets and allow the system to optimize as it gathers more data.
• 😀 If using a Target CPA or ROAS goal, avoid setting the target too high initially; instead, start with your campaign’s historical average and adjust over time.
• 😀 Bid adjustments (device, audience, etc.) have no impact when using smart bidding strategies, so make sure to rely on smart bidding to optimize bids automatically.

Q & A

What is the main focus of the video script?

The video script primarily focuses on explaining various bidding strategies in Google Ads, particularly smart bidding, and when to use each strategy based on different campaign scenarios.

What should you do if you're launching a brand new campaign with no historical data?

If you're launching a new campaign with no historical data, start with manual bidding or Max Clicks bidding. This allows you to gather conversion data before transitioning to smart bidding strategies.

Can you use smart bidding for a brand new campaign with no previous data?

No, smart bidding requires historical conversion data. For a brand new campaign with no data, you need to begin with manual or Max Clicks bidding to gather conversion data before using smart bidding.

When should you switch to a smart bidding strategy like Max Conversions or Target CPA?

You should switch to smart bidding (such as Max Conversions or Target CPA) after accumulating enough conversion data from your campaign. This ensures that Google’s algorithm has enough information to optimize effectively.

What is the suggested strategy for an account with existing historical data but a new set of keywords?

For an account with existing historical data but new keywords, you can use smart bidding (like a $100 CPA target) right from the start, as long as there is enough historical data for Google to optimize the campaign.

Why is it important to gradually adjust your CPA when using smart bidding strategies?

Gradually adjusting your CPA helps ensure that the campaign's performance aligns with your goals. Setting too aggressive a target can lead to underperformance, so it's important to refine the CPA over time based on real data.

What happens if you set an overly aggressive CPA target too soon in a smart bidding campaign?

Setting an overly aggressive CPA target too soon can cause the campaign to 'suffocate,' meaning it will not perform well because Google won't have enough data to meet such strict targets right away.

How can you refine a campaign's smart bidding strategy to reach a desired CPA or ROAS goal?

You can refine the strategy by starting with the average CPA or ROAS of the campaign, then gradually adjusting the target CPA or ROAS over time as the campaign gathers more conversion data.

What is the role of bid adjustments when using smart bidding strategies?

Bid adjustments generally don't work with smart bidding strategies like Max Conversions or Target CPA. These strategies rely on automated adjustments based on historical performance rather than manual bid adjustments.

What should you do if your campaign is not meeting your target CPA or ROAS after applying a smart bidding strategy?

If your campaign isn't meeting the target CPA or ROAS, you can adjust the target over time based on the campaign’s average performance in the last 30 days. Be patient and gradually refine your targets to optimize performance.