The last two years have seen Google switch their focus to automation and smart solutions giving machine learning the opportunity to help improve the performance of paid search campaigns.
Smart Solutions 2019
Smart bidding works by using true auction time bidding meaning that a max CPC is not set and the bid will depend on the likelihood of a conversion taking place. If the algorithm thinks there is a high chance, the bid will be high and vice-versa if there is a low chance. One key benefit of using a smart bidding strategy is that the bids are also based on each user’s unique combination of signals such as keyword, search intent & time of day. It is nearly impossible to apply this information when using a manual bid strategy. A new feature has recently been added to the bid strategy report which allows advertisers to identify which of signals drive conversions.
Smart shopping and a variety of bidding strategies such as maximise conversion value have been the biggest of the automated processes that have been introduced over the last 18 months. If you would like more information on Smart Shopping then please read our blog from earlier this year.
In October, Google introduced seasonality adjustments for search and display campaigns. This works by telling a campaign that there is an expected shift in revenue or conversion rate during seasonal periods such as Black Friday. Smart bidding can often be slow to react to changes during these busy times of year meaning that performance shouldn’t be affected. Our paid search team are looking forward to utlising this new feature next year.
Google Digital Champions
As Google has been focusing on smart bidding and automation, they have set up a programme called the Digital Champions. The purpose of this is to educate and provide their Premier Partner agencies with the tools to help them become smart bidding experts. Two members of our team have been taking part and the process started with a Google-hosted training event in November. The process recently culminated with a team training session where they shared their insights with the wider agency.
If you would like to know how smart bidding strategies can improve the performance of your paid search campaigns then get in touch today.