Google Ads provides a way for your business to show up on page 1 of Google—even if you’re not yet ranking organically for your desired keywords. With Google Ads, your business will be featured in paid search results, which are prominently displayed on the search engine results page. However, before you can be seen with Google Ads, you’ll need to know how to bid for ad space. Continue reading for a closer look at trends in Google Ads bidding strategies that you should know.
Tried and True Google Ads Bidding Strategies
It’s not surprising that the top bidding strategies on Google Ads are those that have been popular for years. The top bidding strategies you might utilize for your campaign are:
- Target CPA (Cost per Acquisition) – Target CPA is a sound bidding strategy for driving conversions. The cost for your bid with this strategy is essentially the cost of acquiring one new customer. So, the cost should be significantly less than the value of an average purchase with your business.
- Target ROAS (Return on Ad Spend) – With Target ROAS, you’ll use a simple formula to bid with a percentage-based strategy (sales ÷ ad spend x 100% = Target ROAS). The goal here is to maximize conversion based on the return on investment you’d like to see from your ad spend.
- Maximize Conversions – Maximize conversions remains a trending bid strategy because it’s so simple. All you’ll do is set a maximum daily budget. From there, Google will automatically bid for you to get the most conversions from your budget.
New Google Ads Bidding Options
In 2021, there are more bidding options than ever before. As a result, we’re seeing new trends in Google Ads bidding strategies this year. For example, Maximize Conversion Value bidding is on the rise since its debut in August of 2019. This strategy combines Target ROAS and Maximize Conversions to optimize your budget for the highest possible return on ad spend. As we move into the future, Google is offering an increasing variety of Smart Bidding options, which utilize automated algorithms to make the most of your ad bids.
For help setting up or optimizing your Google Ads campaign, connect with Leverage Marketing. We’re your resource for paid search and local SEO services, so get in touch today!