You want to use Performance Max for conversion value but are concerned about inefficient spend. Which optional secondary bid strategy should you select?
- Manual Max CPC
- Maximize Clicks
- Enhanced CPC
- Target Return On Ad Spend (tROAS)
Explanation:
The correct option is ‘Target Return On Ad Spend (tROAS).’ When utilizing Performance Max for conversion value, the primary goal is to optimize advertising spend efficiently to maximize the return on investment (ROI). By selecting tROAS as the optional secondary bid strategy, advertisers can set a specific target for the return on their ad spend. This strategy enables the system to adjust bids dynamically based on the likelihood of achieving the desired return on ad spend for each conversion. Essentially, tROAS allows advertisers to prioritize bids on conversions that are more likely to generate higher returns, thereby minimizing inefficient spend and maximizing the overall profitability of the advertising campaign. This approach ensures that advertising budgets are allocated effectively, focusing resources on driving conversions that yield the highest return on investment, ultimately leading to better campaign performance and improved profitability.
If you’re using Performance Max for conversion value but are concerned about inefficient spend, an optimal secondary bid strategy would be Target Return On Ad Spend (tROAS). This strategy automatically sets bids to achieve as much conversion value as possible at your set return on ad spend, thereby enhancing the efficiency of your campaign spend.