Every time a user performs a search in Google a process called an auction takes place to determine what ads will show and where they will appear in the search results. Google calculates an Ad Rank for all ads in the auction and those with the highest rank will generally be positioned highest among ads shown. Ad Rank is determined by six variables: bid amount, quality of the ad, ad rank thresholds, competition from other ads, context of the user’s search, and expected impact from ad extensions & other ad formats. In this series we will focus on the first variable and take a look at different bidding strategies.

Maximize Conversions is a smart bidding strategy similar to Target CPA or Target ROAS. It automatically sets bids with the goal of getting the most conversions possible with the daily budget set. This is achieved using historical data and context of the auction. The biggest difference between Maximize Conversions and other automated smart bidding strategies is that other strategies have targets set for cost per action or for return on ad spend, while Maximize Conversions will try to spend your full daily budget to get as many conversions as possible. This is an important distinction to consider before switching to Maximize Conversions because this could significantly increase actual spend. With the exception of setting mobile bid adjustments to -100%, bid adjustments are ignored with this strategy. There is no need to remove existing adjustments, but they will not be used. Conversion tracking is required to use Maximize Conversions.

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