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Aggressive targeting (Display) to define target CPA or Not?

Follower ✭ ☆ ☆
# 1
Follower ✭ ☆ ☆
Spoiler
Google notified me 2 days ago that Display Optimizer is now available for one of my ad group.
So I enabled aggressive targeting.
To my shock yesterday after spending the full day's budget our conversion per customer jumped 300% from what it usually is.   It was a horrible day to say the least.

ATM I don't have a Target CPA defined under my conversion tracking,  I have no value specified.   
I was under the belief that if I use aggressive targeting it will try and match my average cost per customer that I had for it.    But was shocked as you can imagine when I saw my cost went up 3x!

So,  is it best practice to define a target CPA under the conversions tab, or ... is it too early to worry that my costs went up so much per customer?

Thanks
1 Expert replyverified_user

Re: Aggressive targeting (Display) to define target CPA or Not?

Explorer ✭ ✭ ✭
# 2
Explorer ✭ ✭ ✭
Hi Atila,

Well, it is always preferable to use Target CPA with Display Campaign Optimizer in order to avoid the CPA to shoot up a lot, which happened in your case because your budget allowed your cost to increase but with no restrictions on CPA and no such improvement in conversion rate, your CPA increased.

Even with the Target CPA set, your CPA may still go high initially and you would need to give it few days time before Google understands the right trend and hopefully after few days you should see you CPA to improve.

Please read this article about display targeting optimization -https://support.google.com/adwords/answer/190596?hl=en

Please feel free to ask if you still have more queries.

Regards,
Ashish

Re: Aggressive targeting (Display) to define target CPA or Not?

Rising Star
# 3
Rising Star
Hey Atila,
Ashish makes a good point that you should almost certainly set a target CPA.

BUT out of personal experience as a rule of thumb I typically hold off from immediately activating Display Campaign Optimizer since it seems that it runs better when you have more conversion data to offer it. You may want to consider returning to manual bidding until you have more conversions. I've spoken with Google Representatives in the past and they've said it's best to have at least 100+ conversions at times.
Joshua, Rising Star
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