Figuring out bidding strategies in Google Ads can feel overwhelming, especially when every option promises better results.
Choosing the right one isn’t just about setting a budget; it’s about aligning your strategy with your business goals. Whether you want more visibility, clicks, conversions, or revenue, different bidding methods offer different advantages.
This guide breaks down every strategy by difficulty, showing which ones work best for brand awareness, traffic, sales, and profitability. 💲
From simple, automated options to advanced, data-driven approaches, you’ll learn what each bidding strategy does, its pros and cons, how complex it is to manage, and how PPC tools can help.
What Is Google Ads Bidding?
Google Ads bidding is how you tell Google how much you’re willing to pay to show your ads. Every time someone searches for something relevant to your business, Google runs an auction to decide which ads appear and in what order. But winning isn’t just about bidding the highest—Google also considers ad quality, relevance, and expected impact.
Bidding works as a digital competition where businesses “bid” to get in front of potential customers. The right strategy helps you spend efficiently and achieve your goals, whether that’s more clicks, conversions, or brand exposure.
And while choosing the right strategy is important, studies show that execution matters more.
In other words, a well-optimized campaign with a lower bid can outperform a poorly managed one with a bigger budget.
Factors That Affect Google Ads Bidding
Several key factors influence bid effectiveness and cost:
- Ad Rank: Google determines your ad’s position based on your bid, ad quality, and expected impact. A higher Ad Rank improves visibility.
- Quality Score: Google rates your ad quality from 1 to 10 based on relevance, expected click-through rate (CTR), and landing page experience. Higher scores tend to lower costs and improve placement.
- Competition: More advertisers bidding on the same keywords increases costs.
- Bid Strategy: Automated options adjust bids for efficiency, while manual bidding offers more control.
- Audience and Targeting: Narrower targeting can improve efficiency; broader targeting may cost more.
- Device and Location: Costs vary by search device (mobile vs. desktop) and location.
- Time of Day and Seasonality: Demand shifts affect pricing throughout the day and year.
What are the Types of Google Ads Bidding Strategies?
Some bidding strategies give you full control, while others let Google optimize for you. Understanding manual, automated, and smart bidding helps you choose the best approach for your goals.
Manual
With manual CPC, you decide exactly how much to bid for each keyword or ad group. This gives you full control over spending, but it also means constant monitoring and adjustments to stay competitive.
If you enjoy fine-tuning every detail and have the time to manage bids actively, this is for you. But if you’re not keeping an eye on performance, you could overspend or miss out on valuable clicks.
Automated
Automated bidding uses Google’s algorithms to adjust bids based on performance goals.
Whether you want more clicks, conversions, or impressions, Google sets bids for you to improve results. It’s a huge time-saver and can often outperform manual bidding.
However, you give up direct control, so it’s important to track performance and make adjustments when needed.
Smart
Smart Bidding is a specialized form of automated bidding designed specifically for conversion-based goals. It uses Google’s AI to adjust bids in real time, considering factors like device, location, and user behavior at the moment of auction.
If your goal is maximizing conversions or conversion value with minimal effort, this is your best bet. Just keep in mind that Smart Bidding relies on strong data—without enough conversion history, results may be unpredictable.
4 Ways to Choose the Right Google Ads Bidding Strategy
Not sure which bidding strategy fits your business? It all comes down to your goals. 🎯
Let’s break down the best options based on what you’re looking to achieve.
1. Goal: Increase Brand Awareness (Maximize Visibility)
If your primary goal is to make your brand known to as many people as possible, you need bidding strategies that prioritize visibility over direct conversions. Here are the strategies that help you achieve maximum reach and exposure.
CPM (Cost-Per-Thousand Impressions)
With CPM, you pay for every 1,000 impressions your ad receives, not based on clicks or conversions.
This strategy ensures your ad is shown as many times as possible, making it perfect for brand awareness campaigns.
Pros:
- Maximizes visibility across large audiences.
- Ideal for businesses that need broad exposure.
- Effective for getting your name in front of a wide audience.
Cons:
- Doesn’t directly target conversions or clicks.
- Can lead to higher costs without guaranteed results.
Complexity: Low ⭐ Simple to set up, with minimal monitoring required once launched.
CPV (Cost-Per-View)
Best for video campaigns, this strategy focuses on video engagement (views and interactions), increasing brand awareness through visual content.
Basically, you pay when someone views your video ad (after 30 seconds or fully watches it) or interacts with it.
Pros:
- Great for visual storytelling and engaging content.
- Cost-effective if you want people to interact with your video.
- Ideal for building brand consideration.
Cons:
- Not directly linked to conversions.
- Can result in high costs if your content isn’t engaging enough.
Complexity: Medium ⭐⭐ Requires creating compelling video content and monitoring engagement metrics.
Target impression share
This strategy ensures your ad is shown in a specific position (like the top of the page) for maximum visibility.
It works in a way that Google adjusts your bid to achieve the highest possible impression share, typically targeting top positions.
Pros:
- Guarantees visibility in key areas of search results.
- Great for competitive industries where positioning matters.
Cons:
- Focuses on visibility, not engagement or conversions.
- Can be expensive if competition for positions is high.
Complexity: Medium ⭐⭐ Requires setting position goals and monitoring ad placement performance.
Viewable CPM (vCPM)
With vCPM, you only pay when your ad is actually seen, ensuring higher-quality impressions. Google considers an impression “viewable” when at least 50% of your ad appears on screen for at least one second.
Pros:
- Ensures you only pay for real visibility.
- Helps improve brand awareness with more meaningful impressions.
Cons:
- Can be more expensive than standard CPM.
- Not focused on engagement or conversions.
Complexity: Low ⭐ Easy to implement with automated adjustments.
2. Goal: Drive Traffic to Your Website
When your objective is to attract visitors to your site, you want strategies that focus on getting clicks and traffic, rather than direct conversions.
Manual CPC (Cost-Per-Click)
Manual CPC bidding gives advertisers full control over their bids, allowing them to adjust based on keyword intent and performance.
Pros:
- Full control over bids and adjustments.
- Great for businesses optimizing high-intent traffic.
Cons:
- Requires frequent monitoring and bid adjustments.
- Not ideal for those who prefer automation.
Complexity: High ⭐⭐⭐ Requires ongoing bid management and manual adjustments.
Maximize clicks
Maximize Clicks aims to drive as many clicks as possible within your budget, so it’s perfect for businesses focused on increasing website traffic.
Here, Google automatically sets your bids to maximize clicks, helping you get as much traffic as your budget allows.
Pros:
- Simple to use.
- Helps quickly drive traffic without worrying about conversions.
Cons:
- Doesn’t focus on conversions or value; just volume.
- May attract low-quality traffic if not monitored closely.
Complexity: Low ⭐ Very easy to set up and run; no need for constant tweaking.
Enhanced CPC (ECPC)
ECPC automatically adjusts your bids to get more clicks while optimizing for conversions, allowing you to balance traffic with results.
With this strategy, Google adjusts your manual bids in real-time based on the likelihood of a conversion.
Pros:
- Helps find the balance between driving traffic and keeping your PPC costs under control.
- Adjusts based on conversion likelihood.
Cons:
- Less control over exact bidding amounts.
- Requires more monitoring to ensure optimal results.
Complexity: Medium ⭐⭐ Requires regular monitoring and understanding of how the automatic adjustments work.
3. Goal: Increase Conversions (Sales, Sign-Ups, Leads)
When your goal is to get more specific actions (like purchases or sign-ups), focus on strategies that aim for conversions.
Maximize conversions
This smart bidding strategy aims to get you as many conversions as possible within your set budget. Here, Google uses machine learning to predict and target conversions that are likely to occur based on past data.
Pros:
- Automated bidding maximizes conversion volume.
- Great for businesses that have clear conversion goals.
Cons:
- Requires historical data to work effectively.
- Can be expensive if not managed carefully.
Complexity: Medium ⭐⭐ Automated but requires ongoing budget management and conversion tracking.
Target CPA (Cost-Per-Acquisition)
Target CPA allows you to set a target cost for each conversion, ensuring that you don’t overspend while driving conversions.
Your job is to define a target CPA, and Google optimizes your bids to get the most conversions at or below that cost.
Pros:
- Gives you full control over how much you pay per conversion.
- Great for businesses that want predictable costs.
- Great for businesses with limited budgets.
Cons:
- Requires enough historical data for the algorithm to be effective.
- Results can take time to optimize.
Complexity: Medium ⭐⭐ Some setup needed for accurate CPA targeting and performance monitoring.
Hybrid target CPA + max conversion value strategy
Some businesses blend Target CPA with Max Conversion Value by running them in parallel or across different ad groups for a hybrid optimization strategy.
Pros:
- Balances cost-efficiency with revenue generation.
- Ensures both volume and high-value conversions.
Cons:
- Requires a strong account structure and ongoing monitoring.
- Works best with significant historical data.
Complexity: High ⭐⭐⭐ Needs strategic execution and ongoing adjustments.
Portfolio bidding strategies
A portfolio bidding strategy lets you group multiple campaigns under a single automated bidding strategy. Google then optimizes bids across all campaigns to achieve the best overall performance.
Pros:
- Helps advertisers manage multiple campaigns efficiently.
- Can balance different goals, like maximizing conversions and controlling CPA.
- Saves time by applying one strategy to multiple campaigns.
Cons:
- Less control over individual campaign performance.
- Needs sufficient data across all campaigns to optimize effectively.
Complexity: High ⭐⭐⭐ Requires strategic planning and testing to align with business goals.
4. Goal: Maximize Revenue (Profit-Focused)
If your goal is to make more revenue from each conversion, rather than just more conversions, these strategies are designed to prioritize high-value actions.
Maximize conversion value
This strategy optimizes your campaign to maximize the total value of conversions, rather than focusing solely on volume.
How it works: Google uses machine learning to bid higher on higher-value conversions, ensuring the best return on investment.
Pros:
- Maximizes revenue, especially if your conversions have different values.
- Focuses on high-value leads or sales.
Cons:
- May not focus on volume if it’s not a high-value conversion.
- Needs detailed tracking of conversion values to work effectively.
Complexity: Medium ⭐⭐ Requires proper setup for tracking conversion values and ongoing optimization.
Target ROAS (Return on Ad Spend)
Target ROAS helps because it sets a target return on ad spend. This ensures that you’re making a specific amount of revenue for every dollar spent on ads.
So you set a target ROAS, and Google adjusts bids to reach that return, optimizing for high-value conversions.
Pros:
- Ensures you’re getting the right return on investment.
- Helps scale campaigns without sacrificing profitability.
Cons:
- Needs enough historical data to work effectively.
- Results can take time as the algorithm optimizes.
Complexity: High ⭐⭐⭐ Involves data analysis, ongoing optimization, and tracking high-value conversions.
Seasonal bid adjustments
While not a bidding strategy itself, Google allows advertisers to adjust automated bids for specific time periods when conversion rates are expected to rise or fall (e.g., Black Friday sales).
Pros:
- Helps Google Ads adjust to expected changes in conversion rates.
- Prevents overspending during low-demand periods.
- Maximizes profitability during peak seasons.
Cons:
- Requires accurate forecasting of seasonal trends.
- Doesn’t apply to all automated bidding strategies.
Complexity: Medium ⭐⭐ Needs planning, historical data, and regular adjustments.
Let AI Help WIth Your Bidding Strategy: OTTO Google Ads
If you want to take control of your Google Ads strategy and ensure your bidding works for you—not just Google—third-party AI tools can give you the edge.
We’ve built the first AI-powered PPC tool that fully automates Google Ads campaigns while keeping transparency and performance in your hands. From research to ad creation, campaign launch, and ongoing bid adjustments, OTTO Google Ads optimizes every step to serve your goals, not Google’s bottom line.
Here’s how OTTO Google Ads puts you in charge.
1. Automatic Campaign Creation: A Few Clicks and It’s Done
OTTO Google Ads makes campaign management effortless. It uses AI to analyze your website and business information, then generates fully optimized campaigns for you.
You stay in control. 🎮
Review multiple ad variations, approve the ones you like, and launch with ease.
2. Target the Best Keywords: Get More Conversions for Less
OTTO continuously refines your campaigns by automatically selecting high-converting, low-cost keywords.
This ensures your budget is spent on the most effective terms. 📈
It also detects and filters out negative keywords, preventing wasted ad spend and keeping your campaigns focused on what drives real results.
3. Automated Ad Copy: Increase CTR and Lower CPC
By generating high-quality, data-driven ad copy that aligns with search intent, OTTO increases click-through rates (CTR) and improves Quality Scores.
This not only enhances ad performance but also lowers cost-per-click (CPC), ensuring you get more traffic for less while spending minimal time on campaign creation. ⏩
And finally, OTTO GA is integrated into Search Atlas, an all-in-one platform that brings together SEO, PPC, content, and digital PR, and automates most of your processes.
Regain Control of Your Bidding With OTTO Google Ads
While Google’s automated options can be powerful, they don’t always align perfectly with your business goals. On the other hand, manual bidding offers control but demands time and expertise. The key is finding the balance between automation and strategy.
That’s where third-party automation tools like OTTO Google Ads come in. OTTO takes bid optimization further by combining AI-driven automation with deeper insights and customization, helping you fine-tune your bids beyond what Google’s Smart Bidding allows.
Instead of relying solely on Google’s built-in options, take back control with smarter, more strategic automation. Make your bidding strategy work for you and test OTTO Google Ads with a free, 7-day trial!
