What is one of the reasons why an advertiser should consider using Performance Planner on a monthly basis?
Correct Answer
Auctions fluctuate all the time
Key takeaways
Auction conditions fluctuate constantly, so forecasts go stale.
Monthly runs keep projections aligned with current dynamics.
Performance Planner forecasts outcomes; experiments test variants.
Why is this the correct answer?
Auction conditions change constantly — competitors enter and leave, budgets shift, demand moves with the season — so a forecast built on last month's conditions goes stale. Running Performance Planner monthly means the projections reflect current auction dynamics rather than an old snapshot, which is what makes the budget and bid recommendations worth acting on.
Why are the other options wrong?
A / B testing
A/B testing is done through experiments and drafts. Performance Planner forecasts outcomes rather than testing variants against each other.
Google Ads are updated automatically
Automatic product updates are not a reason to re-run a forecast. The reason is that the market the forecast models keeps moving.
Click-through rate averages require planning
Click-through rate averages are an output rather than a reason to plan. The driver is auction volatility.
Frequently asked questions about this topic
What does Performance Planner actually produce?
A forecast of clicks, cost and conversions at different spend levels for the campaigns you select, along with suggested budget allocation between them. It is most useful for deciding where an extra increment of budget would do the most good.
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
- 1Using the Performance Planner on a monthly basis allows you to optimize which two aspects of an account? (Choose two.)Multiple correct
- 2Rebecca is a marketing executive at an airline company. She has been asked to plan her company’s online advertising budget on a monthly basis. She’s chosen Google Ads’ Performance Planner to help accomplish this task. What are two advantages Performance Planner offers Rebecca?Multiple correct
- 3How is using non-last-click attribution conversions useful for Performance Planner forecasts?Explained
- 4Hank wants to use a ‘Maximise conversions’ campaign with the Performance Planner. Which recommendation can be provided to Hank by the Performance Planner?Explained
- 5Maria has been told that she should use the Performance Planner on a monthly basis. Why should she do so?Explained
- 6Which factors should an advertiser consider when deciding on a bidding strategy?Explained