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Glossary · Google Ads

Smart Bidding

Smart Bidding is Google Ads' family of automated bid strategies that use machine learning to set a bid in each individual auction to maximize conversions or conversion value.

Smart Bidding evaluates a huge range of signals at auction time — device, location, time of day, audience lists, browser, the query itself, and more — to predict how likely each click is to convert and how valuable it will be. The core strategies are Maximize Conversions and Maximize Conversion Value, each with an optional target: Target CPA or Target ROAS.

Smart Bidding is only as smart as the conversion data it learns from. If tracking counts low-quality actions, the algorithm will efficiently buy more of them. With clean tracking, enough conversion volume, and values that reflect real business outcomes, it consistently outperforms manual bidding at scale.

Example

A Search campaign switches from manual CPC to Maximize Conversions with a $90 Target CPA, and Google begins bidding higher on searches from users and times that historically convert.

How Sloss Digital uses it

We move accounts onto Smart Bidding once tracking is trustworthy, choose strategies based on volume and goals, and adjust targets in measured steps to avoid restarting learning.

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