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Target CPA Sudden Increase In CPCs

Explorer ✭ ✭ ✭
# 1
Explorer ✭ ✭ ✭

Hi. I'm David and I'm a control freak.

 

I typically handle bids through the management software we use. They have some automated bidding options. However, after many, many, many, many times of Adwords throwing the "This campaign is elgible for target CPA" in the opportunity notifications, I hesitantly decided to give it a shot. It's my first time.

 

I set it up on 2/16. It said it was learning, up until some time in the last week. I don't remember the last day I looked at the status to see it was learning.

 

While it was learning everything was good. However, since Monday, our CPCs have shot up 65% with no increase in conversions, actually a decrease because I lost impressions from loss of IS due to budget. I increased my budget, initially thinking we had more search volume coming through. However, what actually happened was the increase in CPCs consumed the budget faster. Conversions are down and CPA is up 31%.

 

I might have expected this during the learning stage, but it's been over a month and it's doing it. I'm about ready to pull the plug, but am I jumping the gun?

1 Expert replyverified_user

Target CPA Sudden Increase In CPCs

Top Contributor
# 2
Top Contributor

I'm also a control freak.... Smiley Surprised

Hence, I recommend CPA only if you have at least 100 conversions during the last 30 days. (3 times the recommended 30/30 by Google).  Without getting into too much statistics for the CPA to achieve a good statistical estimate with a low margin of error you need many more conversions than the recommended.

Moshe, AdWords Top Contributor , Twitter | Linkedin | Community Profile | Ad-Globe
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Target CPA Sudden Increase In CPCs

Badged Google Partner
# 3
Badged Google Partner

Another "top tip" for CPA bidding is to consider structuring your adgroups differently than you might with CPC bidding. If you group your "themes" by CPA and conversion volume, your adgroups may perform better. You may have some SKAG's, and some with more terms than CPC adgroups. You might even create a new CPA premium campaign only for those terms you know have enough conversion volume to effectively use CPA bidding.

Tom

Target CPA Sudden Increase In CPCs

[ Edited ]
Explorer ✭ ✭ ✭
# 4
Explorer ✭ ✭ ✭

Thanks @MosheTLV @tomhalejr

 

Our conversion volume is not an issue. We quite often see 1,000+ conversions in that particular campaign in any given 30 day period.

 

I will let it run through the weekend to see what it does, but chalk it up to a failed experiment and turn it off if I don't see improvement. Thanks.