Google Ads Tutorial

What is Google Ads Bidding Strategy? Types of Google Bidding Strategies

Table of Contents

  • What is Bidding Strategy in Google Ads?
  • Different Types of Google Ads Bidding Strategies

What is Bidding Strategy in Google Ads?

Before every ad, a bidding strategy should be formed to optimize the CPC. There are times when the website owners pay more for an ad click while the conversion is less. In such cases, the ROI of paid advertising doesn’t meet their business goals. 

How much to bid on a keyword, which strategy to choose on the basis of your goal, etc., are a part of the bidding strategy. Since there are a number of bidding strategies available in Google Ads, let’s understand each one by one.

Bidding Strategy in Google Ads

Different Types of Google Ads Bidding Strategies

1. Manual Bidding

In manual bidding, the website owner or the advertiser has to handle the bids on keywords on their own. The bidding decisions are to be taken without any help from Google’s AI-based tools.

Generally, the decisions in manual bidding are based on the experience of the advertiser, his intuition, as well as the past performances of certain keywords. It is worth noting that the ads created with manual bidding need patience and command on PPC management.

Choose manual bidding in Google Ads if your budget is limited, the consumer data is small, you can dedicate time for monitoring, and you want complete control over the ads. 

2. Automated Bidding

In automated bidding, you leave the task of keyword bidding in the hands of Google’s AI-based intelligent systems. You have the choice to define specific criteria, and Google will do the rest to optimize your ad performance and ROI. 

Usually, automated bidding is considered excellent for large PPC accounts with historical data, where the advertisers want to reduce the time required to monitor campaigns. 

There are different types of automated bidding strategies to choose from:

  • Maximize Clicks: When your aim with the ad is to bring the maximum number of visitors to the website, select the Maximize Clicks option. It is an excellent option for websites that have created a strong conversion funnel on the landing page.

  • Maximize Conversions: If you want an automated bidding strategy that can bring you maximum conversions with the set budget, choose Maximize Conversions. This strategy is a good fit when you have a reasonable budget.

  • Maximize Conversion Value: In this bidding strategy, Google applies advanced machine learning to optimize the total conversion value with the budget set by you. You also get action-time bidding options to customize bids for multiple auctions. 

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