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Home » Google Shopping Advertising Exam Answers » You own a small business that sells scented candles. You’re prepared to run your first Performance Max campaign that uses a set budget. How does the system allocate budget on a Performance Max campaign?
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You own a small business that sells scented candles. You’re prepared to run your first Performance Max campaign that uses a set budget. How does the system allocate budget on a Performance Max campaign?

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  • Budget is manually allocated across channels based on your channel preference. You maintain control over the campaign setup while you optimize by channel manually.
  • Budget is automatically allocated by campaign, so you’ll need to create a separate campaign by channel, and Smart Shopping will optimize budget.
  • Budget is allocated manually by campaign, so you’ll need to create a separate campaign channel and separate campaign for budget.
  • Budget is allocated automatically across channels based on performance. There’s no need to create a different campaign for each channel.

The correct answer is: Budget is allocated automatically across channels based on performance. There’s no need to create a different campaign for each channel.

Explanation: In a Performance Max campaign, the budget is intelligently distributed across different channels based on each one’s performance, eliminating the need for creating separate campaigns for each channel. Google’s advanced machine learning considers various factors like search queries, product details, and user behavior to optimize budget allocation, aiming to achieve high ROI conversions and improve overall campaign performance.

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