In this article, we’ll cover what bid management is and why you should use it. Then we’ll show you how to set up a Google AdWords automated bid management solution with your own account.
An intro to automated bid management
Bid management is the process of adjusting your bids in order to maximize the number of clicks you receive. By doing so, you can increase your ROI by making sure you are getting the most out of your budget and increasing your clickthrough rate.
The idea behind bid management is simple: when it comes to PPC ads on Google or any other search engine. Every single factor will influence how many people see an ad and how many convert into customers. If a user doesn’t click on an ad. There will be no opportunity for them to make a purchase from that brand/website/store etcetera. So if we want our ads to be seen by as many people as possible while saving money at the same time. Then it makes sense that we would want them to be highly targeted towards keywords that convert well within our niche market or industry verticals (for example – ‘online shoe stores’ might convert differently than ‘online furniture stores’).
Why use automated bid management?
It’s no secret that there are a lot of different factors to consider when managing the campaigns on your Google PPC account. First, you need to decide which keywords and ads will perform best for each campaign. Then you have to monitor performance and make changes as needed.
All this manual work can be overwhelming, especially if you’re working with a large number of campaigns and ads. That’s why using automated bid management software is such an important step in improving efficiency and saving money on Google PPC.
How to automate your bid management
- Setting a daily budget.
- The first thing you need to do is set a daily budget. This will help you get an idea of how much you can spend each day on Google AdWords. And also limit the amount of money you’re spending on PPC. You won’t want to go over your daily budget. Because it’ll end up costing more than just paying for ads with full-price clicks. To set your daily budget, click “Budget & settings” from within your AdWords account. And choose the column with the heading “Daily budget.”
- You can also set up automatic bidding if you’d like by clicking “Bid strategy” from within your AdWords account and choosing one of these options: Maximize conversions – automatically raises bids until there are no more conversions. Target return on ad spend (ROAS) – automatically sets bids based on ROAS targets. Manual CPC/CPA – allows users to manually adjust their conversion value bid adjustments by dragging sliders up or down based on price point or value per acquisition metrics. We recommend setting this type of strategy. If possible since it allows some flexibility when adjusting bids in response to market conditions without having any negative effects on performance. Due to automated bidding strategies that might be less effective at times but still stay true to what’s best for business goals overall.
Optimizing Your Campaigns with Data
Data is the lifeblood of your PPC campaign. Without it, you won’t know where to spend your budget or if what you’re doing is working. Use data to understand the performance of your campaign and make informed decisions.
With data at the heart of everything we do here at Vidado. We have some tips for measuring performance:
- Identify opportunities by analyzing historical performance on different keywords in different ad groups or campaigns. Look for keywords that have high CTR (click-through rate) but low conversion rate. These are great opportunities to improve conversions and save money on ad spend by raising bids or lowering costs per click (CPC).
- Identify problems by comparing actual clicks with predicted clicks based on historical data and separating out false positives from real ones. Then use this information to help identify which ads are generating false impressions. And therefore wasting money. So those ads can be turned off or paused until they’re fixed.
Reduce wasted ad revenue
Intelligent bid management is a way to save money on PPC campaigns by only bidding for keywords that are relevant to your business and budget. By setting rules for how much you want to spend on each keyword. Intelligent Bid Management will automatically adjust bids throughout the day in order to maximize conversions while staying within your budget. This means that you’re getting the best bang for your buck with every click!
It’s important not just for saving money. But also because it allows you to control when and where ads show up and who sees them. For example: if someone searches “mortgages near me” they may see an ad from a bank offering mortgages on their house. But if they have already refinanced their home loan or don’t have enough equity in their home yet (or any home at all). This isn’t going to be relevant information and could cause frustration as well as wasted ad dollars when nobody clicks through.
Clarifying Your Business’s Goals
What are your goals?
Before you can set a budget, define what success looks like, or define your audience and search terms, you need to clarify your business’s goals. This will help you determine how much or little money should be allocated towards PPC marketing.
What is success?
Success is different for every business. Is there a certain amount of revenue that needs to come in? Is it about brand awareness, lead generation, or website traffic? What does success look like for your business?
How much should I spend per keyword/campaign?
Maintaining Flexibility Despite Market Changes
- Utilize Data to Modify Your Campaigns.
- Adjust Bids Based on Performance.
- Based on performance, change the keywords and ads.
- Adjust Keywords and Ads Based on Competitor Activity.
- Make Changes Based on Seasonality
The right software can take care of all the things that take up your time, so you can concentrate on other aspects of your campaign.
As a PPC manager, you’re probably spending a lot of time on tasks that can be automated. For example, if you notice that your ad is not being shown as often as it should be (e.g., the traffic has decreased). The software will automatically increase bids for this keyword and get more impressions in front of users. The same goes for any other issue: if there is an increase in negative feedback about your company or product. Bid Management will adjust bids so that no one sees those ads anymore. If there are too many people searching for “car insurance” but none are clicking on yours. The software will lower your bid price. So that you don’t waste money showing those ads to people who don’t want them anyway.
The point here is simple: If a task requires less than two minutes per day or week (and I’m being generous here). Then an intelligent bid management tool can do it better than any human could ever do it manually.
Conclusion
Automated bid management is a great way to make sure you’re spending your money wisely and getting the most out of each ad click. It can help you refine your campaigns for better performance and reduce wasted ad spend by making small adjustments when necessary. The best part? You don’t need any special skills or training in order to use this type of technology. Just install it and go!
