Discovering AdWords Bidding Options – Developing Profitable Bidding Strategies for your AdWords Campaign

AdWords reinforces a few structures for setting bids. Setting max CPCs, otherwise called manual bidding for clicks, is the default technique, yet relying upon your objectives, alternate strategies may work better for you.
These choices are at the campaign level in your account. Therefore, you can have one campaign that uses one method and another campaign that uses a different mode. Conversely, all ad groups in the same campaign will operate the same bidding approach. The one exemption to this rule is flexible bidding, which we will cover separately.
Navigate to the Campaign Settings Tab. Under the Bidding and Budget options, you will see up to five bidding opportunities

Bidding 1

Focus on Clicks, Choice 1

The first option under Focus On Clicks is “I’ll manually set my bids for clicks.” This is the default option of bidding. Over here, you will set a maximum (max) CPC, and will pay up to that max CPC. The benefit of this choice is that it is well-suited with all the cutting-edge options in AdWords. For example, if you want to use advanced ad scheduling where you change your maximum bid by time of day, you must use this bidding mode.

Focus on Clicks, Choice 2

The second selection under Focus On Clicks is “AdWords will set my bids to help maximize clicks within my target budget,” also known as the Budget Optimizer. The advantage of Budget Optimizer is, Google will endeavor to maximize the number of clicks your campaign receives. You can choose to set a maximum bid cap or let AdWords take full control of the bidding. It is recommended that you set a bid cap, or else, you would be blowing up your budget, and increase unwanted impression an traffic.

Enhanced CPC

Enhanced CPC bidding is not a separate bid type. It is an optional setting when you are using either of the Focus On Clicks bid methods. With Enhanced CPC, Google will regulate your bids based on the probability of a conversion. Google may increase your CPC by 30 percent above your max CPC or lower your CPC by up to 100 percent. Since Google can raise your CPC by up to 30 percent above your max CPC, it is possible that your average CPC will be higher than your max CPC.
If your complete objective is conversions and you wish to bid yourself, this setting should aid you increase your complete conversion rates.

Conversion Optimizer

The last option is Conversion Optimizer, and in order to enable this feature, the campaign must be using AdWords Conversion Tracking script or importing goals through Google Analytics, and must have at least 15 conversions in the past 30 days.

If you meet the conditions and want to use the Conversion Optimizer, you will enter a cost per action (CPA) for each ad group. AdWords will fine-tune the bids for your keywords in an attempt to meet your cost per action. You will still be charged on a cost-per-click basis. You will not just pay for actions. Nonetheless, AdWords has access to many data points that you don’t, and they will use this information, along with other evidence collected, to influence your bids to try to maximize the conversions you receive for your target CPA.
If you have a campaign that is performing very well right now, instead of turning on the Conversion Optimizer in your time-honored campaign, postpone for the new campaign to reach at least 15 conversions and then test the optimizer in the new campaign. This strategy will help lessen the risk of placing your current profits in difficulty if the Conversion Optimizer does not perform well for your campaigns.

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