Target ROAS and Target CPA are two of Google’s oldest automated bidding strategies and Google is about to retire them. When you choose your strategy for bidding in a marketing campaign, you’ll find that they’re being integrated into other bidding strategies. This change isn’t going to happen overnight. Even though the change will be gradual, it’s a good idea to start preparing for it.
What’s Wrong with tROAS and tCPA?
Machine learning is the power behind the two automated bidding strategies about to be retired. It’s used to optimize your bids based on the goal that you’re trying to reach. In this case, your goal is either to set a target cost per acquisition or return on ad spend.
When you pick one of these targets, you have to keep adjusting to keep them in line with your campaign’s current performance metrics. For these strategies to perform well, you need historical conversion data. If your campaign is new, you probably aren’t getting great results using these strategies.
How Google’s Automated Bidding Options Will Change
While in the near future tCPA and tROAS won’t be options when you choose your bidding strategy, these changes mean that targeting return on ad spend will be an optional setting within Maximize Conversion Value, and targeting cost per acquisition will be an optional setting within the Maximize Conversions bid strategy. This means you can still target return on ad spend and cost per acquisition.
Should Marketers Be Worried About This Change?
Anyone who uses PPC marketing knows that things are constantly changing. For paid marketing to work for you, you have to be ready to go with the flow when changes happen. Marketers don’t need to be worried about the fact that tCPA and tROAS are retiring. Google has stated that there’s no need for any action and the transition should be smooth. At some point, any existing campaigns you have that use tCPA or tROAS will be converted for you to either Maximize Conversion Value or Maximize Conversions.
How This Change is an Opportunity
Even though no immediate action is needed on your part, the fact that you know change is coming presents an opportunity for you to benefit from your campaigns. Check the bidding strategies that you’re using across your campaigns. If you have low-performing campaigns using these soon-to-be-retired strategies, consider whether you want to switch to Maximize Conversion Value or Maximize Conversions when these options are available. Even if you’re not currently using tCPA or tROAS, consider whether using these new strategies might enhance your campaigns.
Getting Expert Help with New Bidding Strategies
Marketers who have been hesitant about using Smart Bidding may want to start testing these new strategies. Maximize Conversion Value and Maximize Conversions may be valuable strategies, especially for marketers who have a limited paid marketing budget.
Working with experts in PPC can make changes to bidding strategies less overwhelming or confusing. At Softline Solutions, we’ve helped hundreds of companies succeed online. Our goal is to help you improve your performance so you can realize your online potential. contact us today to learn more.
