Two Bidding Strategies
Two Bidding Strategies

In today’s post, we are going to reveal the answer to the question “which two bidding strategies can boost brand awareness and recognition?” in detail. This question is one of the most important questions often asked in Google AdWords Examination. Let us discuss in detail!

Question: Which Two Bidding Strategies Can Boost Brand Awareness and Recognition?

Choices Given Are:

  • Cost-Per-Click (CPC)
  • Cost-Per-Thousand Viewable Impressions (vCPM)
  • Cost-Per-View (CPV)
  • Cost-Per-Acquisition (CPA)

The Answers are-

Cost-per-thousand viewable impressions (vCPM)

Cost-Per-View (CPV)

Explanation:

“Focusing on impressions” may be the main focus of your strategy. So you can use Cost-per-thousand viewable impressions (vCPM) and Cost-Per-View (CPV) bidding to put your message in front of customers.

What Is A Cost-Per-Thousand Viewable Impression (vCPM)?

Cost-Per-Thousand Viewable Impression (vCPM)
Cost-Per-Thousand Viewable Impression (vCPM)

If you’d like to pay only for ad impressions measured as viewable, you can with viewable cost-per-thousand impressions (viewable CPM). An ad is counted as “viewable” when 50 percent of your ad shows on screen for one second or longer for display ads and two seconds or longer for video ads.

What is Cost-Per-View (CPV)?

Cost-Per-View (CPV)
Cost-Per-View (CPV)

Cost-per-view (CPV) bidding is the default way to set the amount you’ll pay for TrueView video ads in AdWords. With CPV bidding, you’ll pay for video views or interactions (such as clicks on call-to-action overlays, cards, and companion banners).

Read More: 10 Tips for Creating a Successful Google AdWords Campaign

What Is The Difference Between CPM Bidding And Vcpm In Adwords?

CPM

When your ad is shown in a Google search, the person who is searching on that page need not necessarily click on your ad. But your ad is shown to him and therefore is considered as one impression. This is an option to choose when you are looking for visibility AKA brand recognition. It is also an approach to take when you are confident that you have compelling content for someone to take action on your ad.

vCPM

This is a less sought after route unless you are a big brand and your intention is only to create awareness. Cost per impression model does not necessarily translate to a click/action. With this method, you will be able to set the maximum amount you would like to pay for each time the ad is seen (per thousand). It is also an option to choose if you are confident about the ad you have and know that it is compelling enough for users to click. In that case, you are still paying per thousand impressions but getting the benefit of a user coming to your site.

Read More: What Targeting Options Are Available On The Google Display Network?

How To Choose The Best Adwords Bidding Strategy?

Adwords Bidding Strategy
Adwords Bidding Strategy

Adwords bidding strategies serve different purposes and can lead to different results. Depending on the goals of your business you will choose the right bidding strategy in Adwords. Do you want to increase your brand awareness? Generate traffic? Driving conversions? Or maybe, increase the interaction with your ads?

Some AdWords Bidding Strategies

  1. Target Search Page Location

So, your goal right now is to increase your brand awareness? Then you have reached the right place! The main concerns of this bidding strategy include ad position and visibility. Therefore, AdWords automatically increases or decreases your bids to show your ads on the top adwords bidding strategies page of Google Search Results. Target search page location is effective with keywords, ads groups and campaign targeting the Search Network Only. Target search page location offers you two options: top of the first search results page or anywhere on the first search results page.

  1. Maximize Conversions

This is the perfect choice for your business in specific periods. For instance, when you want to launch a new product or, the other way around, your objective is to sell the leftover products. This type of bidding strategy demands you to keep an eye on things and set up a separate budget for your campaigns.

  1. Enhanced CPC

If your aim is to achieve more conversions in AdWords from manual bidding, then this is the strategy for you. How does it work? It automatically adjusts your manual bids for clicks that have the potential of getting converted into a sale or lead.

  1. Cost Per View Bidding

Do you work with a lot of content video? Then the best option for you is the cost per view bidding.. o consider it a suitable view, Google takes into account the length of time someone watches your video (at least 30 seconds) and the interaction he has with it.  In this type of bidding, you will need to pay for video view and interactions like the clicks on the Call-to-Actions.

Read More: Detailed Overview: What Is The AdWords Structure?

When To Consider Bidding For CPM/CPMv Ad Inventory

Adwords Bidding Strategy
Adwords Bidding Strategy

Your campaign has a high CTR%: At this point, you may be thinking, “Should I be paying for CPC or vCPM ads… I’m still not certain?” The simplified answer is that the decision to bid for vCPM ad inventory should come down to two factors, at least when using data available to you:

  1. What is your campaign click-through rate (CTR%)?
  2. What is the network’s vCPM rate? 

The click-through rate of the campaign is the main factor you can control as the advertiser,  and it is a very important metric to monitor and get familiar with when planning to run an impression-based (CPM or vCPM) campaign. Because both CPM and vCPM ads are priced on the number of impressions generated and not the number of people who click an ad, it is vitally important for advertisers to optimize their campaign creatives to maximize CTR%.

You Want Maximum Exposure

In some cases, you may find yourself in a position where your priority is to establish yourself as a market leader. Your company is most interested in driving awareness/building brand recognition; you are less concerned with selling an actual product or service at this time, you simply want as much publicity as possible in a pre-determined time frame without breaking the bank.

You Want To Dominate A Specific Market

Instead of being laid back and OK with your competitors winning bids for the same ad inventory as your company wants, let’s assume that you are willing to pay to play. In this case, you would want to pay for access to both CPC and vCPM ad inventory, making it expensive for your competitors to win access to said inventory.

You Are Running Geo-Targeted / Time-Sensitive Campaigns

Bidding for vCPM inventory access is especially important for geo-targeted campaigns that are targeted to highly competitive yet hard to access markets like San Francisco, Denver, and Seattle. Additionally, if you are running a time-sensitive campaign that has a limited runtime (e.g., holiday promotions, industry events w/ limited tickets, etc.), you’ll certainly want to consider boosting your campaign to ensure your marketing budget is spent in the allocated timeframe as CPC rotation on its own may not be sufficient.

You Want To Speed Up the Pace of Your Campaign

By bidding for access to vCPM inventory on services, your campaign instantly receives priority inventory access overall CPC ad campaigns on the network, boosting the pace of your campaign dramatically. However, if you are happy with the pace of your CPC campaign and the avg. CTR% does not justify bidding for access to vCPM inventory, then you should stick to CPC only and avoid bidding for vCPM inventory access.

Read More: Reports Which Provide Opportunities To Improve Keywords And Ads

How to Increase Google Ads Visibility and Lower Cost Per Click?

Adwords Bidding Strategy
Adwords Bidding Strategy

Most of our clients, when they start working with us for the first time, don’t have a clue how to optimize their AdWords campaigns to increase the ad’s “Viewability” and lower cost per click (CPC). Here are a few simple ways to lower your AdWords CPC, increase your ad’s impressions, and earn more for each dollar that you pay to Google.

Switch To CPM Bidding

Adwords Bidding Strategy
Adwords Bidding Strategy

Although pay per click (PPC) is still the best route for most o the advertisers, there can be situations where vCPM Bidding may give you more visibility and clicks per dollar. If you care more about your ad impressions than clicks, you can bid the maximum amount you’re willing to pay for each 1000 “viewable” impressions. Google will only charge you when at least 50% of your add appears on the screen for at least one second. Google will only charge you the amount required to place your ad above the next highest bidder.

You can set vCPM bids at Ad Group level or for each placement. Bidding for impressions can increase the viewability of your ad and also increase the CTR, because when vCPM ads win a placement, they are given the entire ad space, without any competing ads. The downside is that vCPM bidding is not available for the “Search Network only” campaign types.

Switch To Manual Bidding

Adwords Bidding Strategy
Adwords Bidding Strategy

Most of the clients use automatic bidding, but you can significantly reduce CPC if you switch to manual bidding. Before doing that, you must have sufficient traffic and keyword data based on which you’ll adjust your bid. Do it for one campaign at a time.

Start by lowering your bids for the keywords that are driving you more impressions but fewer sales/conversions. Reducing your bid for a particular keyword would place your ad at lower positions for that keyword.

Next, increase your bids for better-performing keywords that are converting more visitors. This will increase the position of your ads for those keywords. The overall effect will be that you’ll be getting more of high converting traffic and less of non-converting visitors. Your CPA (cost per action/conversion) will go down and ROI will increase.

Remarket To Segmented Lists

Adwords Bidding Strategy
Adwords Bidding Strategy

Most of the clients use automatic bidding, but you can significantly reduce CPC if you switch to manual bidding. Before doing that, you must have sufficient traffic and keyword data based on which you’ll adjust your bid. Do it for one campaign at a time.

Start by lowering your bids for the keywords that are driving you more impressions but fewer sales/conversions. Reducing your bid for a particular keyword would place your ad at lower positions for that keyword.

Next, increase your bids for better-performing keywords that are converting more visitors. This will increase the position of your ads for those keywords. The overall effect will be that you’ll be getting more of high converting traffic and less of non-converting visitors. Your CPA (cost per action/conversion) will go down and ROI will increase.

Run “Search Only” Type Campaigns

Adwords Bidding Strategy
Adwords Bidding Strategy

Unless you’re looking to drive traffic from across multiple Google properties, targeting only search users usually works best. It’s because if you advertise for Google’s Display Network, your ad will be given more visibility on some Google sites. If your audience primarily consists of search users, your ad may receive irrelevant clicks that don’t translate into sales.

This will increase the overall cost of your campaign and your CPC because your AdWords Quality Score will go down. You should consider your advertising goals and target audience and figure out if you really want your ad to be displayed on search and display networks. If not, you should go for a search the only campaign.

Fine Tune Bids For Location, Devices, And Timings

Adwords Bidding Strategy
Adwords Bidding Strategy

A simple way to increase visibility is to advertise on the days, times, locations, and devices that deliver more visits. A review of your Google Analytics will tell you where most of your visitors come from and when. You can also see which particular keywords are driving the most number of clicks and conversions, and on what days and times.

Manually increasing your bids on those keywords for those devices, locations, and timings will make your ad more viewable when most of your prospective customers are looking. Conversely, if a particular day or location is generating more visits but no conversions, you can pause your ad for that day or location to avoid wasting money on useless clicks.

Include Long-Tail Keywords In Your Adwords Campaign

Adwords Bidding Strategy
Adwords Bidding Strategy

Long tail keywords may not generate a high CTR, but the visits they generate can convert significantly better. Scroll down to the bottom of your keyword list and look for rarely searched keywords that delivered higher than average conversions. Include some of them in your Ad Group.

The most important benefit of using long tail keywords is that you don’t need to worry about unwanted clicks. You may not get a lot of traffic from long-tail keywords, but it will be quality traffic. This will bring down your average CPC.

Stay Tuned With Kranthi!

Google AdWords gives you a lot of flexibility to control CPC and increase the visibility of your ads. You should go deeper into your Analytics and AdWords account and take the above steps to save money on every click. Taking the above steps will lower your CPC and increase CTR and conversions.

Stay tuned with Kranthi to stay up-to-date with tips and tricks on running Google AdWords Campaign!

Comments

comments

LEAVE A REPLY

Please enter your comment!
Please enter your name here