Adwords provides ample options for the advertisers and gives them control over what they advertise, to whom and for how much cost. Bidding Strategies provide them flexible options to choose smart payment ways to minimize their spendings and even organize according to their goals. Having multiple options, sometimes its confusing to choose perfect bidding strategy that fits in your campaign. Let’s explore, the bidding types available in Adwords and how do they work.
It is the basic bidding strategy, where you can have complete control over your bids manually. When you choose “I’ll manually set my bids for clicks”, Initially Adwords will set the default bid, unless you change the bids individually for the targeted keywords. This bidding strategy will allow you to manage each bidding closer and drive click traffic.
In this strategy, advertisers should focus on driving click traffic and adwords will take care of bidding. Automatic CPC is giving control to adwords to manage your individual CPC bids, and target more clicks in the given budget; Simply Adwords would adjust your bids to gain maximum clicks in the set budget. Additionally, Adwords also gives advertisers to set CPC Bid Limit, which would help in controlling the costs and potentially limit the clicks.
If you are focussing on the conversions rather than clicks, then Enhanced CPC would be the perfect bidding option. Adwords will adjust the bidding based on the conversion tracking data. For this, you need to enable conversion tracking, using the data adwords will automatically increase or decrease the CPC bids.
If you are particularly looking for any conversion to happen on your website, after user clicks on the ads, then CPA is the bidding option for you. Using CPA bidding, conversions will be paid as cost-per-acquisition and is known as Conversion Optimizer. To choose CPA bidding, advertisers should at least have some conversions in last 30 days. According to which, conversion optimizer would automatically adjust your bids.
CPM Bidding is available for the Display Network campaigns only. This strategy allows you to focus on number of impressions instead of clicks. CPM would be apt to increase the brand awareness, and you pay for every thousand impressions of your ad.
Choosing Bidding Strategy would be crucial, as you will be choosing how to spend your budget and how you would be bidding. Always choose the bidding strategy based on your goals, whether you are looking for clicks, website traffic, conversions or simply impressions. Make a smarter choice, and don’t forget to share your views on bidding strategies.