What are key factors to keep in mind when choosing a bidding strategy for your campaign?
Correct Answer
Performance, auctions, and user journey complexities
Key takeaways
Consider performance goal, auction behaviour and journey complexity.
Complex journeys and volatile auctions favour automation.
Budget, targeting and creative are constraints, not strategy selectors.
Why is this the correct answer?
The three factors that decide a bidding strategy are the performance you are trying to achieve, how the auctions you compete in behave, and how complicated the path to purchase is. A short journey in a stable auction can be managed simply; a long, multi-device journey in a volatile auction is where automation earns its keep. Everything else — budget, targeting, creative — is a constraint or an input rather than a strategy selector.
Why are the other options wrong?
Budget, competition, and user thought processes
Budget and competition matter, but user thought processes are not something an advertiser observes or bids on.
Location, calls-to-action, and user conversion costs
Location and calls to action are targeting and creative decisions rather than bidding strategy factors.
Targeting, auctions, and campaign cost-per-click
Targeting and cost per click are settings and outcomes rather than the considerations that determine the approach.
Frequently asked questions about this topic
What is the simplest way to pick one?
Start from what you are paying for. Traffic points to click-based bidding, a fixed cost per action to target CPA, a return on revenue to target ROAS, presence to impression share. Then confirm you have the tracking that strategy needs.
Topics in this question
About the Shopping Ads Certification
The Shopping Ads Certification checks that you can run retail campaigns end to end: product data in Merchant Center, linking it to Google Ads, and choosing between Standard Shopping and Performance Max to drive sales and value.
Exam guide and all 407 Google Ads Shopping questions →Related Google Ads Shopping questions
- 1When visibility is the campaign goal, which bidding strategy should an advertiser choose?Explained
- 2Which factors should an advertiser consider when deciding on a bidding strategy?Explained
- 3Jasmine is the director of marketing for a chain of clothing stores. She has been given a set budget and needs to drive as many potential customers to her website as possible. Which automated bidding strategy should she use in her campaign?Explained
- 4Marta has a tight marketing budget and needs to use a strategy that can drive customers to her website for a set cost. Which bidding strategy has the potential to meet Marta’s needs?Explained
- 5Trina is using automated bidding as part of her Google Ads Search bidding strategy. Why might she prefer automated bidding?Explained
- 6Rashid wants to raise awareness of his brand and build campaigns focused on branded terms. He doesn’t have much time to devote to daily bid management, so he decides to use automated bidding to lighten his workload. What automated bidding strategy should Rashid consider using?Explained