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Google Ads Bid Strategies Explained

Writer's picture: Sotirios SeridisSotirios Seridis

Google Ads bid strategies are the cornerstone of campaign optimization, directly impacting your cost per acquisition and ROAS. This guide examines the strategic application of automated and manual bidding options to help you select the optimal Bid Strategy for your campaign objectives, whether you're targeting conversion volume, efficiency, or visibility.






How to Create Google Ads Bid Strategies:


  1. Login to your Google Ads account

  2. Navigate to Tools (left-hand-side menu)

  3. Open Budgets and bidding dropdown menu

  4. Select Bid strategies

  5. Click on the + symbol to add a bid strategy

  6. Select the bid strategy you would like to add

  7. Configure the strategy and apply it to your campaigns






Google Ads Bid Strategies Complete Guide

Target CPA (Cost Per Action)


Purpose: Optimizes for conversions while maintaining your target cost per acquisition


Best Practices:

  • Set target CPA 10% lower than previous month's average

  • Example: If current CPA is $100, set target to $90

  • Requires consistent conversion history


Ideal For:Campaigns with stable conversion history seeking better efficiency





Target ROAS (Return on Ad Spend)


Purpose: Revenue-focused bidding for eCommerce and revenue-tracking accounts


Best Practices:

  • Requires revenue tracking setup

  • Set target 10-20% higher than current ROAS

  • Example: If current ROAS is 200%, set target to 220%


Ideal For: eCommerce accounts and campaigns tracking revenue metrics





Maximise Clicks


Purpose: Optimizes for highest possible click volume at lowest cost


Best Practices:

  • Can set optional maximum CPC limit

  • Focuses on quantity of clicks, not quality

  • Doesn't optimize for conversions


Ideal For:

  • New campaigns gathering initial data

  • Traffic-focused objectives





Maximise Conversions


Purpose: Achieves desired visibility in search results


Best Practices:

  • Set target 10% higher than current impression share

  • Choose placement: any position, top results, or absolute top

  • Set maximum CPC limits


Ideal For:

  • Brand campaigns

  • Competitive visibility campaigns





Maximise Conversion Value


Purpose: Aggressively pursues conversions regardless of cost


Best Practices:

  • Recommend adding Target CPA cap

  • Expects higher CPC and CPA

  • Best used with budget flexibility


Ideal For:Campaigns struggling to generate conversions





Target Impression Share


Purpose: Aggressively optimizes for highest revenue conversions


Best Practices:

  • Generally better to use Target ROAS instead

  • Prioritizes high-value conversions

  • May decrease overall ROAS


Ideal For:

  • Multiple conversion types with different values

  • Revenue growth focus without ROAS constraints





Google Ads Bid Strategies Selection Guide


Campaign Objective

Recommended Bid Strategy

Target CPA

Generate conversions at a specific cost

Target ROAS

Achieve a specific return on Ad Spend

Maximize Clicks

Lower the CPC to gain the max number of clicks

Target Impression Share

Brand Visibility: Maximise Impression share

Maximize Conversions

Get conversions at any cost

Maximize Conversion Value

Maximise E-Commerce revenue






Frequently Asked Questions on Google Ads Bid Strategies



Can I use multiple bid strategies in one campaign?


No. Each campaign can only use one bid strategy at a time.

  • One strategy per campaign

  • Strategy applies to all ad groups

  • Choose based on campaign goals



Can I use different bid strategies for different ad groups?


No. Bid strategies are set at the campaign level only.

  • Same strategy applies to all ad groups

  • Cannot mix strategies within a campaign

  • Create separate campaigns for different strategies



Can I change bid strategies mid-campaign?


Yes, but proceed with caution:

  • Changes can be made anytime

  • Monitor performance closely after changes

  • Allow time for new strategy to optimize

  • Consider historical performance when switching



Can I use bid adjustments with automated bid strategies?


No. Automated strategies override manual adjustments:

  • Bid adjustments don't work with:

    • Target CPA

    • Target ROAS

    • Maximize Conversions

  • Machine learning handles optimization automatically

  • Manual adjustments are ignored




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