In It To Win It: Google’s Portfolio Bid Strategies Update
Updated on: 4 July 2019
Coming July, Google’s new update in the Google Ads section – portfolio bid strategies – will be set in motion.
The update will see changes being made to the portfolio eCPC (enhanced cost-per-click) and target spend setting.
Why the sudden change? Well, if you remember, Google’s goal is to deliver the most relevant results to users and meet their expectations. In this case, all the efforts being put into the new update is all for the sake of streamlining the user experience.
If you still remember anything from our Digital Marketing Course – now’s the time to brush up your knowledge on Google Ads and keep yourself updated, making the necessary adjustments accordingly.
Enhanced CPC is a no-go
It first came about when users were constantly vying for the top bid to guarantee their ad spot. Enhanced CPC is essentially the automatic system that immediately raises your bid to make sure you get ahold of a particular ad.
However, eCPC comes with its pros and cons, and when weighing both sides – Google decided that it will lean towards the downsides. While it is still possible to secure a revenue, an excellent one even – the returns often received by brands from their campaign aren’t exactly excellent.
In response to that, Google has officially confirmed that eCPC will be completely removed in portfolio bid strategies – seeing that it is used more often in individual campaigns as opposed to multiple campaigns and ad groups.
Instead, they have decided to keep eCPC as part of individual campaigns – considering how they are much more effective and widely used by users this way.
Average daily budget setting is here to stay
Users gave their feedback and Google listened – the average daily budget setting is now in the game.
Previously, the objective of target spend setting in the portfolio bid strategy is clear-cut – to reach out to your intended target audience by maximizing clicks. It lets you direct your ad to exactly who you want, yet this way of executing your ad campaign can be detrimental to your costs.
Overtime, you are primarily burning precious marketing dollars and having no profits to show for it. And it only gets worse – users have deemed the feature to be both confusing and unhelpful in the performance of a campaign.
So, here’s where the newly-updated average daily budget setting swoops in to make everything right. With the option of setting up a fixed amount to adhere to at shorter intervals – users found it to be much more flexible as compared to target spend setting.
How you come into all of this
Businesses and their chosen Digital Marketing Agency can now look forward to an upgraded version of Google Ads that they can use to further boost their campaigns and promote their products and services.
In the past, all the bids were done automatically by Google. But now, the power lies in your hands to manually control the bidding. While both sides have its pros and cons – this new change will undeniably set the ball rolling and soar your ads to greater heights.