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An online retailer has a goal of increasing the value they see from their Search campaigns, and the Chief Marketing Officer has set a target return metric they need to achieve in the coming year. Which Smart Bidding strategy is the right fit for this organization?

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  • Maximize clicks
  • Maximize conversions
  • Target conversion value
  • Target ROAS

The correct answer is: Target ROAS

Explanation: The perfect Smart Bidding strategy for an online retailer intending to boost their Search campaign value and meet a set target return metric is the Target ROAS (Return On Ad Spend). As discussed in the Guide to Smart Bidding, this strategy utilizes Google’s AI to predict potential conversion values, dynamically adjusting bids to maximize returns. If high-value conversions are likely, Target ROAS bids high; for lower value conversions, it bids less, thereby optimizing the retailer’s ad spend in real-time.

Reference: https://school4seo.com/google-ads-tips-and-tricks/leveraging-target-roas-bidding-in-google-ads-a-comprehensive-guide-for-beginners/

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