What is the best bid strategy for Google Ads?

What is the best bid strategy for Google Ads?

Written by Deepak Bhagat, In Marketing, Published On
January 13, 2022
, 477 Views

Initially, many people believed that Google ads bidding were the Holy Grail behind the high-performing accounts. The reality is that these people weren’t wrong. However, the current bidding mechanisms have greatly changed compared to the past days.

Currently, there are tons of hybrid bidding strategies for Google ads that guarantee quality results at the end of the process. Note that there is much more to Google adds bidding compared to the normal way of bidding.

This article incorporates actionable information on Google ads bidding strategies to help SaaS, ecommerce, and lead generation firms. If you haven’t already attained the breakthrough using Google ads bidding, this article is meant for you!

How Google Ads Bidding Work

What is the best bid strategy for Google Ads2

Google gives you tons of ways to place bids for your ads. Your decision mainly depends on your target final goal. Remember that most advertisers use Google ads bids mainly focus on conversions, impressions, clicks, and views.

Besides, Google always facilitates an auction every time it has some space remaining on the website. At this point, the auction has an opportunity to decide the type of ads that will be shown at that time within the given space. Note that your bids are meant to place you in the auction.

Automated Bidding & Manual Bidding

  • Manual Bidding

This is a bid strategy for Google ads that allows you to set your estimated cost-per-click (CPC) depending on the keywords you use on your site. This bid strategy only requires the user to pay for it once someone has already clicked on their ads apart from the number of views recorded.

  • Automated Bidding

Automated bidding is a bid strategy for Google ads that use machine learning to optimize every auction’s conversion value. This mechanism is also referred to as auction-time bidding.

Note that this bidding option comes with strategies that include target ROAS, maximize conversion value-enhanced CPC and target CPA. In other terms, automated bidding is also referred to as smart bidding.

Best Practices for Google Ads Bidding

Sometimes when creating goals for your business PPC campaigns, especially during bidding and the estimated average cost per click, there are some practices that you need to consider. Let’s look at some of these best practices!

  • Ensure that the attribute model you apply is correct and audited.
  • Research your goals well and opt for a good bidding strategy that aligns with the goals.
  • Ensure the conversion tracking is well audited and correct.
  • Always begin by testing your bidding strategies using Google drafts.
  • Evaluate the ads performance and adjust according to the findings.
  • Simplify the structure of your account to accommodate changes.
  • Be patient and use data to make final decisions.

Best Bid Strategies for Google Ads

What is the best bid strategy for Google Ads1

  • Automatic Cost Per Click (CPC)

Automatic cost per click is a bid strategy for Google ads that gives Google the power to control and adjust the bids either up or down. This strategy gives its users a higher number of clicks depending on their daily budget and the type of campaign.

Note that this has been proved to be a good bid strategy, especially if you have a tight budget and don’t want to reduce the number of impressions on your site. Ilmibook says also, this strategy works better if you don’t have much conversion data and yet you want to gather comprehensive traffic on your site.

Pros

  • It facilitates the faster launching of new campaigns.
  • It is a good bid strategy in gathering data quickly.

Cons

  • It does not allow the control of features using CPA, ROAS, and CPC.
  • It gives Google the permission to bid as they want.

Target Search Page Location

According to your evaluation, are your ads performing better in specific locations? If yes, then this is the best bid strategy you can invest in. By certification globe experts the target search page location adjusts bids automatically to help you elevate your ads to the top or the fast page of Google.

Alternatively, this bid strategy is the most advantageous since it gives you a chance to be included on the first page.

Pros

  • It has the potential to give a high click-through rate.
  • It gives higher ad visibility and an opportunity for free exposure.

Cons

  • If you are not keen, it can increase your ad budget.
  • It does not guarantee an accurate target of clicks.

Target Outranking Share

Most business owners focus their performances on goals and the level of outranking specific competitors in the industry. This bid technique is explicitly meant to do that! However, it can increase ego, thus being a little bit dangerous.

It gives you room to enter your competitor’s domain name, and you can command it on how often your bid should outrank them. That is why it was given the name target outranking share.

Pros

  • Increases the level of visibility considering a direct competitor in the industry.
  • You can easily grab the market share of the competitor using this tool.

Cons

  • It is relatively expensive than other strategies.

Target Impression Share

The target impression share can set up bids automatically to help the user attain their impression share goals across the campaigns. However, this strategy comes with three options depending on where the user wants the ads displayed.

  • At the top of the page
  • Anywhere around the Google search page.
  • At the absolute top of the page.

Note that Google Ads is automated to set your bids based on the placement settings. According to this bid strategy, the maximum CPC bid limit is a cap on the bids set. Note that when you set the limit to a low level, you risk restricting your bids, thus affecting your general performance.

Pros

  • Ensures that your ads are exactly where you want them to appear.
  • Good for brand keywords that you want them rank higher

Cons

  • It does not necessarily optimize the conversion rate.
  • It loses control of limiting the maximum number of CPCs.

Final Verdict!

Despite having tons of bidding strategies for Google ads in the market, every business owner chooses the best strategy depending on their needs. Also, the choice of the best bid strategy depends on the given budget, among other primary factors,

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