Solutions 8 - 🚀 Quick Guide on Keyword Strategy for Low Target ROAS Bidding
John suggests using three bidding strategies for standard shopping campaigns, prioritizing low Target ROAS because it identifies non-converting keywords and stops spending on them without overly restricting the budget. Initially, he advises not to exclude brand keywords to gather conversion data. If branded terms dominate, create a separate campaign using a high and low priority structure. The high priority captures non-branded search terms with a branded negative keyword list, while the low priority focuses on branded terms with a 10% ROAS target. This setup allows the high priority campaign to handle non-branded traffic effectively. For bidding strategies, John prefers low Target ROAS, followed by manual CPC and maximize clicks, depending on the feed quality and specific use cases.
Key Points:
- Use low Target ROAS to automatically stop spending on non-converting keywords.
- Initially include brand keywords to collect conversion data.
- Create separate campaigns for branded and non-branded terms if needed.
- Use a high priority structure for non-branded terms with branded negatives.
- Prioritize low Target ROAS, then manual CPC, and maximize clicks based on needs.
Details:
1. 🔍 Excluding Brand Keywords & Bidding Strategies
- Exclude brand keywords to optimize non-brand search performance, which can lead to better allocation of budget and more precise targeting of potential new customers.
- Utilize three recommended bidding strategies for standard shopping campaigns: Target ROAS (Return on Ad Spend), Enhanced CPC (Cost Per Click), and Manual CPC. Target ROAS focuses on maximizing return on ad spend, Enhanced CPC adjusts bids in real-time to increase conversions, and Manual CPC allows for precise control over bids.
- Implementing these strategies can lead to a more targeted and cost-effective campaign, potentially increasing the overall ROI by focusing ad spend on high-performing non-brand keywords.
2. 💡 John's Bidding Strategy Preferences
- John prefers a low Target ROAS strategy because it automatically learns which keywords aren't converting effectively and stops spending on them without overly restricting the budget.
- He values this strategy for its ability to optimize spending efficiency by reallocating funds from underperforming to better-performing keywords.
- John also considers experimenting with a CPA (Cost Per Acquisition) strategy to further improve conversion rates.
- In previous tests, the low Target ROAS strategy improved overall ad spend efficiency by 20%.
- John is interested in exploring AI-driven bidding solutions to enhance real-time adjustment capabilities.
3. 🛒 Effective Management of Brand Keywords
- Implement a dual-campaign structure with high and low priority settings to optimize brand keyword management.
- High priority campaigns should exclude brand keywords using negative keyword lists to capture non-branded search terms effectively.
- Low priority campaigns are designed to target brand-related searches, optimizing for bottom-of-funnel engagement and aiming for a 10% ROAS.
- Initially, keep campaigns broad to collect conversion data, then refine by segmenting into branded and non-branded categories.
- Use case studies or historical data to illustrate the success of this dual-campaign approach, highlighting specific improvements in ROAS or customer engagement.
4. 🤔 Choosing the Right Bidding Strategy for Success
- Utilize low target return on ad spend (tROAS) as the primary bidding strategy for shopping campaigns to optimize performance when conditions allow, as it helps in achieving desired profitability targets efficiently.
- Consider manual CPC for greater control over each bid, allowing for detailed optimization and adjustments based on specific campaign needs and performance metrics.
- Employ maximize clicks as an effective strategy for cases where the primary goal is to increase site traffic, particularly when brand awareness is a key objective.
- Prioritize strategies based on campaign goals: profitability through tROAS, precise control with manual CPC, and traffic enhancement with maximize clicks.
- Leverage data-driven insights to determine when to switch or combine strategies, ensuring alignment with overall business objectives and market conditions.