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Do you hesitate between automated or manual bids? We compared them for you!

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Setting bidding strategies is a huge dilemma when launching campaigns. The first question is whether they should be automated, or you want to manage them manually. Not each type of strategy fits each type of campaign. Therefore, we compared them to make the decision making easier for you. Here are the results…

Automated bidding can be tricky

When something is automated or automatized, we automatically think of it as of an easier option. When it comes to Google bidding, this perspective can be tricky. They are based on an algorithm that firstly has to adjust to the needs of your e-shop.

In order for this algorithm to learn, it needs to process for instance a large conversion volume and many other data, without which it will not work properly. If your e-shop is new or little, to acquire these data can be a threshold.

Apart from a large conversion volume, it is also a long and even history. If you are just launching your e-shop, knowing that your sales will be mostly seasonal, we definitely do not recommend automated bidding. When your sales swing, it may interrupt the algorithm that will want to keep the bids between the seasons with high and low sales.

Automated bidding requires a flexible budget as well. The ad performance and revenues may fluctuate, and with them also the cost of the bids, which you cannot predict beforehand. For instance, if you don´t set a ceiling, bids can reach numbers, you wouldn´t like to invest.

Afterall, because of all these factors, automated campaigns can bring different results.

Make features of manual bidding automatic

Manual bidding on the other hand allow you to customize the bids based on your needs. These settings are more time-consuming and require skills, but at least you have everything under control and can change it whenever you want to. You can therefore achieve your goals more efficiently.

This strategy also does not mean to manage everything manually for the rest of your days. Automated rules are one of the examples. They allow you to make changes when a particular event occurs. For instance, when your ad is not placed on the first page in Google Search, the bid on the keyword automatically rises.

This way of setting bids brings along various interesting possibilities as well! One of them is tiered bidding. You can use it to set up various prices for various matches based on your preference. Another is Enhanced CPC that automatically updates your manual bids for clicks based on the probability of purchase or conversion.

Everything has its pros and cons

However, we don´t want to say that you must completely reject the automated bids. In case your e-shop is large enough, or it has grown by the time and has a lot of collected data, you may definitely give them a chance and save some time. Keep in mind, however, that automated bids do not mean that you set them and forget about them.

Finally, not each strategy has to fit each campaign. Everything depends on your goals – for instance whether you focus on conversions or clicks. The chosen strategy may also work out differently in Google Shopping.

Both strategies have their advantages and disadvantages – whether it is a lengthy setting of manual bidding or lack of supervision when using the automated bidding. You have to decide which strategy will be the most suitable for you based on the volume of information you can offer to Google algorithm.

By |2019-03-14T10:59:48+00:00March 14th, 2019|Categories: Features|Tags: , , , |0 Comments
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