AdWords is an online advertising platform developed by Google, where advertisers pay to display brief advertisements, service offerings, product listings, video content and generate mobile application installs within the Google ad network to web users. to make AdWords you should know bidding strategies and its types.
Types of Bidding Strategies
Manual Cost Per Click (CPC) gives you control to set the maximum amount that you could pay for each click on your ads. You start by setting a maximum cost-per-click(CPC) bid for your entire ad group, but you can also set separate bids for individual keywords or placements. it is the classic setting for having total control over bids with a focus on driving click traffic.
Automatic Cost Per Click (CPC) Google set bids to try to get the most clicks within your budget. This is ideal for both beginners and advanced users as it allows Google to utilize its own data to set the maximum cost per click. This is ideal for both beginners and advanced users as it allows Google to utilise its own data to set the maximum cost per click.
Enhanced Cost Per Click (CPC) helps you get more conversions from manual bidding. ECPC works by automatically adjusting your manual bids for clicks that seem more or less likely to lead to a sale or conversion on your website. it is an effective cost per click in online advertising.
Cost Per Acquisition (CPA) sets bids to help get as many conversions as possible. It uses advanced machine learning to automatically optimize bids and offers auction-time bidding capabilities that tailor bids for each and every auction. Target CPA is available as either a standard strategy in a single campaign or as a portfolio strategy across multiple campaigns.
Cost Per Mile (CPM) you bid for your ad based on how often it appears in a viewable position on the Google Display Network. You set the max amount you want to pay for viewable ads, whether they’re clicked or not. Some people prefer CPM bidding because they want to be able to set a maximum amount they’ll pay for each time their ad can be seen, or each viewable impression, instead of for each click.
Return on Ad-Spend (ROAS) is a metric calculated by dividing the revenue generated from an ad campaign, by the cost of that campaign. this one makes the most sense for an automated strategy since ROAS gets us closest to actual ROI for marketing investments.
Maximize Conversions AdWords uses auction-time bidding to adjust your bids for each individual as opposed to in aggregate. the goal is to get you as many conversions as possible within your daily budget. it takes historical performance into account.
Maximize Clicks sets your bids for you to get as many clicks as possible. We don’t generally recommend this strategy in most cases unless for some reason traffic is the primary goal for your campaigns.
Outranking Share gives you an easy way to target a competitor and get your results above their ad. Google Outranking Share is a bidding strategy that assists in getting your AdWords to come before a specific competitor URL in paid search results.