Should you use Maximize Clicks or Target CPM bidding with Placements in Google Ads?

By: Jyll Saskin Gales, Google Ads Coach

Do you want your Google Ads appearing on a particular website, app, or YouTube channel? While it's tempting to try and control where your ads show up, it's not always the most effective strategy. Let's explore why, and discuss the pros and cons of using Target CPM or Max Clicks bidding for specific placements.

Understanding Placements in Google Ads

In Display and Video campaigns, you can choose specific placements, meaning you handpick the websites, apps, and/or YouTube channels where your ads appear. This can seem appealing, but it often limits your campaign's potential reach and efficiency.

CPM vs. Max Clicks: Which is Better for Placements?

If your goal is purely visibility on specific placements, a Target CPM (cost per thousand impressions) bidding strategy might seem like the way to go. However, it's important to consider how you'll ultimately measure your campaign's success.

If you're truly focused on visibility, Target CPM aligns with your objective. But if you're ultimately aiming for conversions or sales, a conversion-based Smart Bidding strategy is a better choice.

The Case for Smart Bidding

Smart Bidding strategies like Maximize Conversions or Maximize Conversion Value leverage Google's machine learning algorithms to optimize your bids for better results. They take into account a wide range of signals, including user intent, device, location, and time of day, to maximize your chances of achieving your desired outcomes.

While there are many bid strategies you can use with a placements-focused campaign, smart bidding typically outperforms manual bidding in terms of efficiency and ROI. By letting Google's algorithms handle the bidding, you can focus on other aspects of your campaign, like refining your targeting and creating compelling ads.

When to Consider Placement Targeting

There might be specific scenarios where placement targeting makes sense, such as:

• Brand awareness campaigns: If your goal is to increase brand visibility on specific high-traffic websites, Target CPM on select placements might be a viable option.
• Partnerships or sponsorships: If you have a partnership or sponsorship with a specific website, targeting that placement can help you fulfill your agreement.

However, for most advertisers, a conversion-focused approach with Smart Bidding is the most effective way to maximize results from your Google Ads campaigns.

Key Takeaways

• Placement targeting can limit your campaign's reach and efficiency.
• Target CPM is suitable for visibility-focused campaigns.
• Smart Bidding is a more effective approach for most advertisers seeking conversions.
• Consider placement targeting only in specific scenarios.