How Can Automated Bidding Benefit Advertisers?4 min read

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How Can Automated Bidding Benefit Advertisers?

You may be wondering why advertisers should use automated bidding. The answer lies in its ability to save time and increase efficiency.

Automated bidding takes away the guesswork from setting bids. You don’t need to manually update specific ad groups or keywords. Google automatically sets bids based on the ad’s likelihood to result in a click or conversion that helps you achieve a specific goal. There are different types of automated bidding strategies that can help you increase your visibility and conversions. Automated bidding strategies can learn as they progress, by analyzing their past results to inform future bids.

Smart Bidding uses the power of automated bidding to help you achieve your goals. It also takes into account a wide range of signals including device, location, time of day, remarketing lists and languages to capture the unique context of each search. Smart Bidding uses an auction-time bidding feature to set bids for each search. This allows it to maximize conversions and conversion values.

What Is Automated Bidding?

Automated bidding is an effective Google AdWords strategy for maximizing results. Google analyzes data such as a user’s device, OS, the time of day, user demographic information, and geographic location. Based on these factors, Google determines how much to charge you.

All of Google’s automatic bids are portfolio based. That means if you want to use a portfolio bidding strategy, you must create a portfolio strategy first. You can then apply your chosen portfolio strategy to any of your individual campaign, ad group or keyword.

There are some ways you can automate your bidding strategy. You can use an automated bidding strategy to increase your chances of winning auctions by analyzing data and learning over time. This allows you to place more accurate bids without having to manually update them.

7 Automated Bidding Strategies That Will Benefit Advertisers

1. Maximize Clicks

Maximize Clicks uses automatic bidding to get more traffic. This means that some ads may be placed on pages where there is little likelihood of conversion.

Maximize Clicks will set bids based on how much money you want to spend. It will bid for the highest amount of clicks while staying within your budget. This means that it will bid for the most clicks it can get for the lowest price.

2. Target CPA

A Target CPA automated bidding system sets up bids that will maximise conversions while remaining within your target CPA. This means you’ll be spending less money on each conversion. This strategy helps you achieve the highest possible conversion rate for each bid. You can use this strategy if you want more conversions but you’re willing to spend money within your budget.

3. Maximize Conversion Value

This strategy will automatically set your bid to maximize the value of conversions while staying within your bid. Choose this strategy if your budget is tight, but you still want to make sure you’re getting the most out of your ad campaign.

4. Target ROAS

This strategy automatically bids based on conversion values, but allows you to set a maximum bid amount. You can choose to bid more or less than your target ROAS. This strategy may be useful if you’re trying to get more traffic, but you want to make sure you don’t overbid. 

5. Target Impression Share

A strategy used to get an ad to the top of the page, on the top of the page or within the Google search result. You should use this strategy when you want your ad to be seen by as many people as possible.

6. Target Outranking Share

With Target Outranking Share, you can increase our visibility over competitors by choosing them as targets for our campaigns. You also control how often we want to outrank them. This allows you to improve our search rankings without having to overspend money on advertising.

7. Enhanced Cost-Per-Click (ECPC)

Google automatically adjusts your manual bids (if enabled) to help you generate more conversion while trying to achieve the exact same cost per conversion. This tool is best used when you’re using a manual bidding strategy, but still want to take full advantage of automatic bidding.


Automated bidding allows you to increase your website traffic by saving your valuable time. You don’t need to spend time figuring out keywords or entering those bids manually. Instead, the system will do all these things automatically for you.

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