AdWords is now Google Ads. Our new name reflects the full range of advertising options we offer across Search, Display, YouTube, and more. Learn more

Ads
1.9K members online now
1.9K members online now
Dive into advanced features like Remarketing, Flexible Bid Strategies, AdWords Editor, and AdWords Scripts
Guide Me
star_border
Reply

Adwords Bidding Strategies - Do They Work?

Visitor ✭ ✭ ✭
# 1
Visitor ✭ ✭ ✭

I'm currently testing two bidding strategies on two campaigns; ROAS and CPA.  After two weeks the results are average, not bettering my previous performance when optimised by "hand".

 

Does anyone have any experience with these two strategies - good or bad?

2 Expert replyverified_user

Re: Adwords Bidding Strategies - Do They Work?

Top Contributor
# 2
Top Contributor

@MochaMedia a lot depends upon how many conversions you're receiving and what your targets are.

 

Although AdWords allows these bidding strategies with just 15 conversions in the past 30 days, in my opinion that's nowhere near enough to get good results and I typically look for at least double this, preferably much more.  You also need to consider how those conversions match against your Keywords.  There's a big difference between 40 conversions in a month from 2 Keywords, 20 each and 40 from 40 Keywords just one each.

 

In terms of targets, bear in mind AdWords can't force unrealistic targets so your initial settings should always be roughly what your current performance is, not what you want it to be in an ideal world.  If your current ROAS is 10, don't set your target to 20, but try 11 first and see how that goes.  If your CPA is $10, don't set it to $1, etc.

 

All this said, two weeks may not really be enough time to allow the strategies to really work, especially if you've made changes to the targets or the elements to which they're applied in that time.  When testing, I usually allow a full month before making a decision.

 

Jon

AdWords Top Contributor Google+ Profile | Partner Profile | AdWords Audits

Re: Adwords Bidding Strategies - Do They Work?

Visitor ✭ ✭ ✭
# 3
Visitor ✭ ✭ ✭
Both campaigns had about 40 conversions within the past 30days, so I presume this is enough data. Also, targets were kept the same as what they were when the optimisation was done manually.

What I think is happening is that my campaigns were optimised well and adwords can only match what I have achieved. Yet as you mentioned Jon, this might be too early to tell with only 2weeks testing done.

Re: Adwords Bidding Strategies - Do They Work?

Rising Star
# 4
Rising Star
Hi,

I've been testing these bidding strategies for a while now, Specially the one targeting ROAS. What I expereienced is around 80% of the time it gave me the results I anticipated. But there were times my ROAS even went down than average amount

So I don't think giving all the work to the bidding strategy actually do the work. Performances may be depend on usual external factors like seasonality etc. However I dont know how exactly Google uses our data to make decision related to these bidding strategies.

But considering system has much more data and since I have observed some good results in the past I think u should give it some more time and see

P.S I actually had quite lot data in the campaigns I used these bidding strategies

Re: Adwords Bidding Strategies - Do They Work?

Explorer ✭ ☆ ☆
# 5
Explorer ✭ ☆ ☆
Hi MochaMedia,
I find in my experience that CPA (Target cost-per-acquisition) bidding is much profitable as campare the ROAS (Target return on ad spend ). because in this 2 strategies goals are more different.

Like if want conversion on basis of past records (as I want ) then CPA is best. & if you are looking for conversions (have no any past records of conversions) then ROAS is good but my experience in not too much good with ROAS .

Mohit