Google AdWords Let's You Target a CPA

Feb 25, 2010 • 7:24 am | comments (3) by twitter Google+ | Filed Under Google AdWords
 

A WebmasterWorld thread has discussion about a possible new bidding feature in AdWords. Honestly, I am not sure how new it is, but it basically allows you to set a target CPA (cost per acquisition) and Google will try to optimize your bids to achieve it.

The advertiser wrote that he was presented with this option after logging in to manage his AdWords account. Google told him:

This new option allows you to bid based on the average amount you would like to pay for a conversion. For example, if you want to achieve an average CPA of $25, you could use this option and set your bid to be $25. Advertisers with CPA targets they would like to reach may prefer to use Target CPA so they can specify those goals directly.

I believe that this was originally a limited test, but if you run Google Conversion Optimizer you can opt for this target CPA now or soon.

Forum discussion at WebmasterWorld & Google AdWords Help.

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Comments:

Tim Hatton

02/25/2010 01:49 pm

Unless I've got the wrong end of the stick, hasn't this been around for a while? It's *kind of* useful, in that Google will adjust bids automatically to try and match your desired target, but it won't match the volume you may have been getting.

David Corman

02/25/2010 01:56 pm

If you run Conversion Optimizer (which has been around for a while now), you can now target a CPA rather than a CPC. Jury is out whether this is more effective than regular CPC bidding.

Jordan McClements

02/26/2010 09:11 am

I think the point is that you can now have an 'Average CPA' rather than a 'Max CPA'..

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