How Smart Bidding Works: Understanding Google Ads Help

[ishanijerin1]

Nice to meet you all. My name is Michikazu Sato from i-Trigger Co., Ltd.

At the Saga office, I am mainly in charge of educating our members.

I usually work in my office in Tokyo, but I would like to boost your business with our doctor database go to Saga again once the coronavirus situation has calmed down.

Let's get started. Today we'll be talking about Google Ads Smart Bidding.

Although this is a very important feature, I feel that the explanation in Google Ads Help is rather simple, so I would like to explain it below, including my own thoughts on it.

table of contents

What is Smart Bidding?
Types of Smart Bidding
Weaknesses of Smart Bidding
The future of ad operations is becoming increasingly automated
What is Smart Bidding?
Google Ads Help has this to say about Smart Bidding:

Smart Bidding is a subset of automated bidding strategies that use machine learning to optimize for conversions or conversion value for each individual auction . This feature is called "auction-time bidding ." Smart Bidding strategies include Target CPA, Target ROAS, Maximize Conversions, and Enhanced Cost-Per-Click (eCPC).

Reference: About Smart Bidding

In other words, it could be rephrased as "Google Ads' AI function" that "optimizes the number of conversions and value for each ad auction."

I believe that there are three major features of Google Ads Smart Bidding:

1. Bid adjustment for each auction
2. Learning function for each search term
3. Advanced analysis based on various signals

We will explain this step by step below.