bidding strategies in Google Ads

What is the difference between manual and automated bidding strategies in Google Ads?

Digital Marketing

Google Ads are a popular tool used by companies to advertise their goods and services. The objective is usually to reach the most prospective clients without squandering your marketing budget, but this may be an expensive exercise. Google wants to satisfy users. Google has created automatic bidding techniques to assist you in managing your paid search ad campaigns since the search engine really wants to assist you in marketing your company in every way and optimise the process to the greatest extent ¬†feasible. It’s more typical for businesses to spend as much money as they are willing to invest on as many search terms and automatic bid techniques, hoping for the best.

Although the search and advertising giant prefers more premium ads, winning over Google requires wise investment and clever bidding tactics!

Your bid quantity is simply one of many variables that influence how a Google Ads auction turns out. If you want to conduct an effective campaign, you must be able to distinguish between smart bidding and manual bidding.

Automated bidding eliminates the tedious effort and uncertainty involved in establishing bids to achieve your performance objectives. Each kind of automated bid approach is intended to assist you in achieving a certain business objective. Intelligent artificial intelligence (AI) drives automated bidding, commonly referred to as smart bidding, which employs algorithms to optimise bids in accordance with your PPC campaign objectives.

Your company can attain the following aims with the aid of these bidding strategies:

  • Multipurpose segmentation:

The ability to generate specific subgroups of your larger target market based on similar interests and behaviours is provided by audience segmentation, which is essential. For each group, you may develop specialised campaigns and advertisements as well as bid on keywords.

  • Obtain desired return on advertising spend (ROAS) for various conversions:

Many conversions from advertising campaigns represent various meanings to your brand. Utilising the Target ROAS automatic bidding approach, you can achieve your ROAS targets while driving conversions depending on their worth.

  • Accessibility to Additional Detail Points:

When you conduct a traditional campaign, Google does not offer you access to all of its data points. In contrast, an automated approach may make use of all the data and factors at hand in an effort to get you high-value clicks.

  • Relevant indicators:

Smart bidding makes use of discernible characteristics, or signals, regarding online users, which is to your account’s advantage.

  • Improve accessibility:

by using the Target Impression Share feature to have your bids automatically configured to display your advertisements “on the very forefront of the page, on the most prominent part of the page, or anyplace on the web page of Google search rankings.”

Every  aforementioned tactics has a different outcome in mind, but they all aim to help campaigns achieve their total potential while saving time for those in charge of running the campaigns.

Automated bidding tactics function by maximising the potential of your keywords at a predetermined optimum cost-per-click (CPC) bid. The sum you are prepared to pay to be found for a certain search term.

CONS OF AUTOMATED BIDDING

  • Prerequisites for traffic and conversions:

In order to get the most from smart bidding, you should hold off until your PPC campaign has a healthy amount of both.

  • No Bidding Adjustments Permitted:

Running an automated campaign prevents you from changing your bid, unlike manual bidding. Data will be used by Google Ads to implement the modifications on your part. Look for additional areas where you can improve if a campaign’s success is what you anticipated. For instance, ineffective marketing, fluctuations in demand, pricing competition, and search phrases can all reduce your ROAS. You will have to put your confidence in Google to make decisions on your behalf if you pick automatic bidding.

  • If you need to jump-start a campaign but lack the time to handle bids manually, automated bidding tactics are a good interim fix. However, a more active approach can help you find more effective bid limits for your campaigns and ultimately save you a lot of money.
  • It takes time for algorithms to accumulate and analyse data history. Therefore, until the AI catches up, making overzealous bids and drastic changes can have a negative effect on your account efficiency.

MANUAL BIDDING

Whenever an advertiser controls their keyword bids on the Google Ads platform manually, they determine actions and take action on their PPC account without the use of artificial intelligence (AI) or intelligent solutions is termed as manual bidding. Typically, advertisers base their choices on previous experience, gut instinct, and the examination of keyword performance information. For this method to provide a decent return on investment (ROI), a lot of patience, time, and PPC expertise are needed.

So the question here is why should manual bidding be used ?

  • Monitoring:

You can use your judgement to get aggressive when bidding at the keyword level in order to win bids on the particular words and phrases you desire.

  • More Simple:

Manual campaigns are simpler in their essence. The strategy itself isn’t very hard, but you may optimise them by employing more advanced options as you gain experience. Because of this, it’s frequently suggested as a starting point for the majority of smaller and medium-sized organisations.

  • Swift responses

Consider yourself managing a manual bidding account when you see a rapid decline in performance. You quickly run an Auctions Insights analysis and conclude that the cost-per-click (CPC) rate has increased due to some new rivals. As a result, you adjust your keyword bids on the underachievers, thus reducing the harm to budget

CONS OF MANUAL BIDDING

  • a Technical PPC Team is necessary

You’ll need to hire a technical PPC team or acquire the necessary abilities if you wish to benefit from a manual bidding approach. Even if you are knowledgeable, if you are managing various campaigns with numerous ad groups and advertisements on your own, you won’t have the time to get amazing results.

  • Time Consuming

It requires a lot of time. You must regularly assess your performance, apply your best judgement to ascertain whether any adjustments are required, and then implement those changes. Spending a lot of time attempting to optimise your campaign will leave you with less time to manage your company.

  • restricted choices for segmentation

Manual bidding offers less freedom in terms of how you may set up your account.

You can see that it is difficult to compare human and automatic bids in this way. Many factors need to be taken into account, including your PPC budgetary constraints. The objectives you have, your expertise, and your resources.

In any event, you must decide which approach is most appropriate for your particular circumstance. That first requires some patience and persistence with manual bidding.

Although they aren’t completely hands-off, intelligent bidding strategies can help you optimise your campaigns and accomplish your goals. In addition, it’s best to hold off on automated bidding until you have sufficient data. Online Google-ads course can help you detail it out and learn it extensively.

Once you have that, you can do a lot with clever bidding techniques. Which one will you employ first?