Google Ads Bidding Strategies: How to Choose One Without Breaking Learning

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A bid strategy determines how much Google Ads pays for each impression or click and what the system optimizes for in the auction: clicks, conversions, conversion value or visibility. The right strategy lets you automate routine work and get more leads for the same budget. The wrong one, or the right one set up badly, can spend months “learning” from the wrong data.

The first version of this article was published in 2019. Since then Google has retired several strategies, changed its attribution models, and on 17 August 2026 changed how target-based strategies behave when a campaign is limited by budget. We have rewritten the article from scratch: which strategies exist today, what you need before switching on Smart Bidding, how long learning takes, and how to move to automated bidding safely.


1. Which bid strategies Google Ads offers today

Google groups bid strategies by goal. Strategies that optimize for conversions or conversion value using machine learning are called Smart Bidding.

Goal Strategy What you set When it fits
Conversions Maximize conversions Budget only Conversions are tracked and you want as many as possible within budget
Conversions Target CPA The average cost per conversion you want You know what a lead or sale is worth and need to keep its cost under control
Conversion value Maximize conversion value Budget only Conversions have different values (order totals) and you want maximum revenue
Conversion value Target ROAS The return on ad spend you want An online store that passes order values and knows its margins
Clicks Maximize clicks Budget and, optionally, a maximum CPC bid limit You need traffic, for example to collect your first conversion data
Clicks Manual CPC Bids for ad groups or keywords You need full control over bids and have too little data for automation
Visibility Target impression share The share of impressions and the location: absolute top, top of page or anywhere Branded search, protecting your brand terms from competitors

 

Display and video campaigns have their own strategies based on cost per thousand impressions or cost per view, but they are not used for Search or Performance Max. Performance Max only runs on Maximize conversions and Maximize conversion value, with or without a target. If you run Shopping or Performance Max, see our Google Shopping and Performance Max services.


2. What has changed since 2019

If you have read guides to automated bidding written a few years ago, some of their advice no longer applies.

Then Now
Enhanced CPC (ECPC) Discontinued for Search and Display campaigns from the week of 31 March 2025. Campaigns that were not moved to another strategy now run on Manual CPC
Target search page location and Target outranking share Retired in 2019. Replaced by Target impression share with a choice of location
First click, linear, time decay and position-based attribution Removed in 2023. Only data-driven attribution (the default) and last click remain
Smart Goals from Google Analytics as conversions Gone along with Universal Analytics. Conversions are imported from GA4 or tracked with the Google Ads tag
Target CPA and Target ROAS as standalone strategies In 2021 they became optional targets inside Maximize conversions and Maximize conversion value. In summer 2026 Google started showing them as separate options in the menu again. How they work has not changed

 


3. What you need before switching on Smart Bidding

3.1. Conversion tracking and primary actions

Smart Bidding optimizes for exactly what you have marked as a conversion. If your primary conversion is a view of the About page or an 80% scroll, the system will learn to bring in people who scroll, not people who buy.

So before you start:

  • set as primary only the actions that matter to the business: a lead form, a call above a certain length, a purchase;
  • keep micro-conversions (price page views, add to cart) as secondary — they are useful for analysis, not for bid optimization;
  • for an online store, pass the order total as the conversion value, otherwise value-based strategies have nothing to work with;
  • check that conversions are not duplicated and are recorded correctly. If tracking needs fixing, that is part of our web analytics setup.

3.2. How many conversions you need

Requirements depend on the strategy and campaign type:

Being able to switch a strategy on does not mean it will perform consistently. To evaluate results, Google recommends looking at a 30-day period with at least 30 conversions. If you get only a handful of conversions a month, the system simply has nothing to learn from, and it is better to collect data first.


4. How to choose a strategy

There is no universal "best" strategy. The choice depends on what you know about your conversions and how many you get.

Situation Where to start
New account, no conversions yet Maximize clicks with a maximum CPC limit, or Manual CPC, to collect the first conversions on relevant queries
Some conversions, but few, and no clear acceptable cost per lead Maximize conversions
A steady flow of conversions and a clear acceptable cost per lead Target CPA, set at your actual cost per conversion for the last month
Online store passing order values Maximize conversion value, then Target ROAS once data builds up
Branded search Target impression share with a maximum CPC limit

 

To set a realistic target, you need to know what return on ad spend your margins can support. Our ROAS calculator helps with the numbers.


5. The learning period: how long it lasts and what resets it

After you launch or change a strategy, its status shows "Learning". According to Google’s help documentation, calibration can take up to around 50 conversion events or 3 conversion cycles — that is, three times the average time between a click and a conversion. For a product bought on the day of the click, that is a few days; for B2B with a week-long decision cycle, it is several weeks.

Learning starts again when:

  • a strategy is created or reactivated;
  • a strategy setting changes, for example the Target CPA;
  • campaigns, ad groups or keywords are added to or removed from the strategy.

Results fluctuate during learning, and that is normal. The most common mistake is changing the target or budget every day after a bad day: each change sends the strategy back to the beginning.

If you expect a few unusual days (a sale, a tracking outage), use seasonality adjustments and data exclusions (advanced controls in the bid strategies section). They tell the system what to expect instead of forcing it to relearn.


6. The 17 August 2026 change

Campaigns using Target CPA or Target ROAS that were limited by budget used to overperform their targets. For example, the Target CPA was $40, but the actual cost per conversion was $25. Many advertisers got used to that "bonus".

Since 17 August 2026, these campaigns deliver closer to the stated target. If the target is $40, the system will aim for more conversions at around $40, rather than fewer conversions at $25. The change applies to Search, Shopping, Performance Max, Demand Gen and Display campaigns.

Google does not adjust your targets or budgets automatically. What to do:

  • review your campaigns in the Bid Target Adjustment Tool (available since 6 July 2026);
  • if you want to keep your current cost per conversion, lower the Target CPA (or raise the Target ROAS) to your actual level;
  • if you want to scale, keep the target and increase the budget;
  • if you don’t need strict cost control, switch to Maximize conversions without a target.

If your cost per conversion went up after 17 August and you didn’t change the target or budget, this is the most likely reason.


7. Bid adjustments with Smart Bidding

Manual bid adjustments (location, ad schedule, audiences, demographics) mostly don’t apply to Smart Bidding: the system accounts for these signals in every auction. The exceptions:

  • with Target CPA you can use device adjustments, but they change the target, not the bid: +20% for mobile means you are willing to pay 20% more per conversion on mobile;
  • with Target ROAS, Maximize conversions and Maximize conversion value, only a −100% device adjustment is available, which switches ads off on that device type.

For the same reason, don’t combine Smart Bidding with scripts or third-party rules that change bids. They will fight the automation, and each change they make can send the strategy back into learning.


8. How to move to automated bidding safely

If a campaign performs steadily on Manual CPC or Maximize clicks, don’t switch it to Smart Bidding in one go. It is safer to run a custom experiment:

  1. In the Experiments section, create an experiment based on the campaign.
  2. In the trial version, change only the bid strategy — nothing else, or you won’t know what caused the result.
  3. Split traffic and budget 50/50 between the original and the trial.
  4. Don’t judge the result until the learning period is over, and don’t make changes during the test.
  5. Compare on the metric the strategy optimizes for — number and cost of conversions, or conversion value — not CTR or average CPC.

If the trial wins, Google lets you apply the changes to the original campaign without relaunching it.


9. Common mistakes

  • An unrealistic target. A Target CPA at half your actual cost per conversion, or an inflated Target ROAS, restricts impressions until the campaign barely spends. Start from your actual data for the last month and change the target gradually.
  • The wrong primary conversions. Optimizing for micro-conversions produces lots of cheap "conversions" and few sales.
  • Frequent changes. Adjusting the target or campaign structure several times a week keeps the strategy from ever leaving learning.
  • Judging by the wrong metrics. With Maximize conversions, a rising CPC is not a problem if conversions grow and their cost stays acceptable.
  • Too small a budget. If the daily budget is less than the cost of one or two conversions, the strategy gets too little data and performs erratically.
  • Auto-applying recommendations without oversight. Some of Google’s recommendations change bid strategies and targets. Review them before they are applied.

10. In short

  • Enhanced CPC has been discontinued for Search and Display since 2025, and position-based strategies since 2019. Smart Bidding and Target impression share replace them.
  • Before switching on Smart Bidding, only actions that matter to the business should be primary conversions.
  • Target CPA can be used with no history; Target ROAS on Search needs 15 conversions in 30 days. For stable performance, aim for 30 or more conversions a month.
  • Learning takes up to around 50 conversions or 3 conversion cycles, and every settings change restarts it.
  • Since 17 August 2026, budget-limited target-based strategies stay closer to their target — review your Target CPA and Target ROAS.
  • Move to automated bidding through an experiment, not by flipping a switch.

If you want to check whether conversions and bid strategies in your account are set up correctly, that is part of our Google Ads audit. If the account needs to be built from scratch, see Google Ads setup.

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