What is Bid Strategy?
Bid Strategy defines how an advertiser sets bids for ad placements, whether manually or automated, to optimize for goals like clicks, conversions, or cost efficiency.
Table of Contents
Full Definition
Bid strategies can be manual, where advertisers set bids for keywords or placements, or automated, using platform algorithms to maximize outcomes based on campaign objectives such as target CPA, ROAS, or impressions.
Selecting the right bid strategy is vital to balance spend with performance and meet business goals.
Examples
Manual CPC bidding
Target CPA
Maximize conversions
Enhanced CPC
Benefits
Aligns spend with objectives
Leverages automation for efficiency
Controls cost and risk
Common Mistakes
May require experimentation
Automation needs monitoring
Incorrect settings hurt performance
Conclusion
Bid strategy optimization is a continuous process critical for advertising success.