Your bid strategy determines whether you win auctions cheaply or blow budget with no results.
Google offers seven bid strategies. Most advertisers use only one and leave ROI on the table. Understanding when each shines is the difference between breaking even and scaling profitably.
Smart Bidding: The Foundation
Google's machine learning optimizes bids automatically. It's enabled by default in most accounts. Smart bidding includes four sub-strategies: Maximize Clicks, Maximize Conversions, Target CPA, and Target ROAS.
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Google finds the lowest CPC for each conversion. Perfect for new accounts with limited conversion data. Once you have 30+ conversions monthly, graduate to Target CPA or ROAS.
Target CPA (Cost Per Acquisition)
You set your acceptable cost per conversion. Google bids to hit that target. Best for e-commerce. Requires 30+ conversions in the past 30 days to work effectively.
Target ROAS (Return on Ad Spend)
You set your desired return. Google bids to maximize that return. Best for mature campaigns with good conversion data. Set aggressively (200%+) and adjust based on performance.
Manual Bidding: When to Use It
Only for advanced advertisers managing niche accounts with unusual patterns. Most advertisers should avoid manual bidding—it underperforms automation significantly.
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Start Your Free Trial →FAQ
Which bid strategy should I start with?
Maximize Conversions for new accounts. Switch to Target CPA once you have 30+ monthly conversions.
How long until Smart Bidding learns my account?
2–4 weeks typically. Give the algorithm time to gather data and test variations before changing strategies.
Can I change bid strategies frequently?
No. Frequent changes disrupt learning. Commit to each strategy for at least 4–6 weeks before switching.
What if my Target CPA is too low?
The algorithm will struggle. Gradually increase your target 10–15% at a time and monitor results.
