Max Conversions is One Type of Automated Bidding
Automated Bidding is a category of Google Ads strategies where Google uses automated rules to adjust your bids based on the ad’s likelihood of getting a click or conversion. There are eight types of automated bidding strategies, and of these, there are five that fall under the category of Smart Bidding. With Smart Bidding Google optimizes for conversions or conversion value in each and every auction (auction-time bidding). Maximize Conversions is one of the Smart Bidding strategies.
At First Google Will Choose Your Automated Bidding Strategy
When you set up your ad campaign, Google will choose which type of automated bidding strategy to apply to your campaign based on your campaign intent. But you do not need to use the strategy automatically chosen by Google. You can alter the Google-assigned automated bidding strategy (or bid manually). And if sales and leads are your goal then Maximize Conversions is a good option.
What is Google Maximize Conversions?
Maximize Conversions is a popular fully automated bid strategy for PPC in Google Ads campaigns. When you opt for Max Conversions bids are automatically set to maximize the amount of conversion you get from your daily budget. In other words, the advertisers do not set individual bids for specific keywords. If you use a Maximize Conversions strategy your entire daily budget will be used, but it will be used efficiently to obtain the highest number of conversions within your budget. Google automatically chooses the CPC bid based on the goal of the bidding strategy. However, you do have the option to add a target CPA just to guide Google in its bidding.
Who Should Use Maximize Conversions?
If your goal with your ad campaign is to get more conversions while staying within a set budget then Max Conversions is for you. Setting your campaign for Max Conversions will get you as many conversions as possible at the target cost-per-action that you set. If your goal is conversions, then Maximum Conversions is a good choice for you.
When Should You Use Maximize Conversions?
The best time to use Maximize Conversions is when your Google campaign has been going a while and has enough historical data. Maximize Conversions will bring you more conversions if you have an unlimited budget, but if your budget is limited then it’s best to add a CPA.
Each Campaign has Its Own Daily Budget
A Target Click-Per-Ad (CPA) strategy sets the amount you are willing to pay per conversion and aims to drive as many conversions as possible within your budget. This should bring you more and lower-priced conversions. By setting a target CPA you can keep things balanced on a tight budget. Maximize Conversions is great if you have a budget and you’re not sure about bids for a new campaign or keyword. Each Maximize Conversions campaign is assigned a daily budget and there is no shared campaign budget. You might see Google bidding and spending more aggressively to meet your conversion goals. Your average CPC may be higher but you’ll have more conversions which will result in a higher ROI and overall lower CPA.
Give Maximize Conversions Time To Work
Maximize Conversions is not magic, and you will have to wait about two weeks to see results. It takes time for Google to optimize your campaign. So if you see a performance decline slightly in the first few weeks, hang in there, and give it a chance to stabilize. You must monitor your conversions and track conversions that closely align with your business goals.
Maximize Conversions Is Not For Everyone
Before committing to a Maximize Conversions strategy run an experiment as a 50/50 split. It is not a strategy that will work for all brands or all campaigns. Give the experiment enough time to give you accurate results then assess the conversions and decide the best course of action. If you’ve decided to use a Maximize Conversions strategy, it doesn’t mean you need to use it indefinitely. It is best to reassess strategies regularly and even rotate strategies and campaigns every couple of months.