Smart Bidding
The group of Google Ads strategies that automatically set the bid in each auction based on the likelihood of a conversion or its value, such as target cost per acquisition, target ROAS and maximise conversions.
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Why it matters
Smart Bidding uses far more signals than can be managed by hand, such as device, location, time and search context. With enough accurate conversion data, it usually outperforms manual bidding. Making frequent changes during the learning period hurts performance.
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Example
A campaign switches to a target cost-per-acquisition strategy after reaching 80 conversions a month; after a two-week learning period, conversions rise on the same budget.
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Common mistake
Setting the target unrealistically low. A very low target cost per acquisition makes the campaign hardly show at all.
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Related terms
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