Should you use manual or automated bidding in Google Shopping campaigns?

bidding ecommerce google ads Dec 23, 2024
a stylish fancy woman holding a lot of shopping bags

By: Jyll Saskin Gales, Google Ads Coach

Are you constantly tweaking your Google Shopping bids, but not seeing the results you want? You're not alone! Manual bidding can be a real time-suck, and it doesn't always lead to the best performance. Let's explore why Smart Bidding might be a better option for your Shopping campaigns. and how to make the switch.

Here's what we'll cover:

  • The benefits of Smart Bidding for Google Shopping campaigns
  • When to make the switch from manual to Smart Bidding
  • How to use micro-conversions to help your campaigns learn faster
  • Tips for optimizing your Shopping campaigns for Smart Bidding

 

Why Smart Bidding Wins for Google Shopping campaigns

Think of Smart Bidding as your super-smart assistant. It uses machine learning to analyze tons of data and automatically set the right bids for your ads to hit your desired ROI. This frees you up to focus on other tasks, like optimizing your product feed and editing great imagery.

In head-to-head tests, Smart Bidding (Target ROAS) will often outperform manual bidding, leading to more conversions and a better return on ad spend (ROAS).

 

When to Switch to Smart Bidding

I recommend switching to Target ROAS (tROAS) when you have at least 30 conversions in 30 days. This gives Google's algorithms enough data to learn and optimize your bids effectively.

But what if you don't have that many conversions yet? That's where micro-conversions come in.

 

Using Micro-Conversions to Boost Smart Bidding

Micro-conversions are smaller actions that users take before making a purchase, such as adding an item to their cart or starting the checkout process. By tracking these actions as conversions, you can give Google's algorithms more data to work with, even if you're not getting a ton of sales yet.

Think of it like this: if you're teaching a child to ride a bike, you wouldn't just throw them on a two-wheeler and expect them to take off. You'd start with training wheels and gradually let them take on more challenges as they improve. Micro-conversions are like training wheels for your Google Shopping Smart Bidding.

 

Optimizing for Smart Bidding

Once you've switched to Target ROAS, there are a few things you can do to help your Shopping campaigns perform even better:

  • Review your search terms report: This will show you what people are searching for when your ads appear. If you see a lot of irrelevant terms, you may need to add negative keywords to your campaign or optimize your product feed.

  • Check your product-level reporting: This will help you identify your top-performing products and those that aren't doing so well. You can then adjust your product targeting or make changes to your product listings to improve performance.

  • Don't be afraid to experiment: Automated bidding is all about learning and adapting. Try different tROAS targets and see what works best for your business.

 

By following these tips, you can make the most of Smart Bidding and drive better ROAS for your Google Shopping campaigns.

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Ready to master Google Ads once and for all?

I’m Jyll Saskin Gales, your Google Ads Coach. I worked at Google for 6 years, bringing the best of Google's insights and ad products to the world's largest and most sophisticated advertisers. Now, I’m a Google Ads coach, consultant and teacher, working with business owners, marketers, agencies and freelancers.

I founded Learn with Jyll to make Google Ads training accessible for aspiring and experienced practitioners. My signature Google Ads training program, Inside Google Ads, is the right fit for most business owners and marketers. If you have zero marketing experience and want to ensure you understand all the jargon and terminology first, Google Ads for Beginners will get you ready in just a few hours.

Feel free to contact me with questions.

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