Monday, October 14, 2024

Google Ads To Phase Out Enhanced CPC Bidding Strategy

Must read


Google has announced plans to discontinue its Enhanced Cost-Per-Click (eCPC) bidding strategy for search and display ad campaigns.

This change, set to roll out in stages over the coming months, marks the end of an era for one of Google’s earliest smart bidding options.

Dates & Changes

Starting October 2024, new search and display ad campaigns will no longer be able to select Enhanced CPC as a bidding strategy.

However, existing eCPC campaigns will continue to function normally until March 2025.

From March 2025, all remaining search and display ad campaigns using Enhanced CPC will be automatically migrated to manual CPC bidding.

Advertisers who prefer not to change their campaigns before this date will see their bidding strategy default to manual CPC.

Impact On Display Campaigns

No immediate action is required for advertisers running display campaigns with the Maximize Clicks strategy and Enhanced CPC enabled.

These campaigns will automatically transition to the Maximize Clicks bidding strategy in March 2025.

Rationale Behind The Change

Google introduced Enhanced CPC over a decade ago as its first Smart Bidding strategy. The company has since developed more advanced machine learning-driven bidding options, such as Maximize Conversions with an optional target CPA and Maximize Conversion Value with an optional target ROAS.

In an email to affected advertisers, Google stated:

“These strategies have the potential to deliver comparable or superior outcomes. As we transition to these improved strategies, search and display ads campaigns will phase out Enhanced CPC.”

What This Means for Advertisers

This update signals Google’s continued push towards more sophisticated, AI-driven bidding strategies.

In the coming months, advertisers currently relying on Enhanced CPC will need to evaluate their options and potentially adapt their campaign management approaches.

While the change may require some initial adjustments, it also allows advertisers to explore and leverage Google’s more advanced bidding strategies, potentially improving campaign performance and efficiency.


FAQ

What change is Google implementing for Enhanced CPC bidding?

Google will discontinue the Enhanced Cost-Per-Click (eCPC) bidding strategy for search and display ad campaigns.

  • New search and display ad campaigns can’t select eCPC starting October 2024.
  • Existing campaigns will function with eCPC until March 2025.
  • From March 2025, remaining eCPC campaigns will switch to manual CPC bidding.

How will this update impact existing campaigns using Enhanced CPC?

Campaigns using Enhanced CPC will continue as usual until March 2025. After that:

  • Search and display ad campaigns employing eCPC will automatically migrate to manual CPC bidding.
  • Display campaigns with Maximize Clicks and eCPC enabled will transition to the Maximize Clicks strategy in March 2025.

What are the recommended alternatives to Enhanced CPC?

Google suggests using its more advanced, AI-driven bidding strategies:

  • Maximize Conversions – Can include an optional target CPA (Cost Per Acquisition).
  • Maximize Conversion Value – Can include an optional target ROAS (Return on Ad Spend).

These strategies are expected to deliver comparable or superior outcomes compared to Enhanced CPC.

What should advertisers do in preparation for this change?

Advertisers need to evaluate their current reliance on Enhanced CPC and explore alternatives:

  • Assess how newer AI-driven bidding strategies can be integrated into their campaigns.
  • Consider transitioning some campaigns earlier to adapt to the new strategies gradually.
  • Leverage tools and resources provided by Google to maximize performance and efficiency.

This proactive approach will help manage changes smoothly and explore potential performance improvements.


Featured Image: Vladimka production/Shutterstock



Source link

More articles

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Latest article