Google Ads

Master Bidding Strategies to Boost Your E-Commerce

Elevate your e-commerce game with insights into strategic bidding on Google Ads.

No matter how unique or special your product is, in the vast world of ecommerce, competition is fierce and relying solely on SEO is not enough. That's why, if you want to stand out from the crowd and compete with bigger brands, it's crucial that you understand how the Google Ads algorithm works.

How does advertising work?

In the world of paid ads, whether you're advertising on some social network like Facebook and Instagram or on Google Ads, advertising is paid for through an auction system, bidding for the best position on each platform. If you win the bidding, then you pay the agreed amount for clicks, views, likes or impressions on that platform. Most platforms recommend you a bidding option, but the truth is that it does not always work, so you should know in depth how this system works and you choose the one that will bring you the highest conversions.

Here we will focus on Google Ads, however, this information will also be useful if you advertise on other platforms such as Meta.

The ABC of Google Ads Bids

The type of ad you select will depend on your budget and your advertising goals as some ads are more expensive than others. However, certain ads are more suitable for certain advertising objectives.

If you are just starting out and don't have much information about your audience, you may have selected Cost-per-click (CPC). Here, as its name says, you control the budget by setting the maximum cost per click for your ads. This is a useful strategy in the beginning when Google doesn't yet have a lot of data about your target audience.

If you already have experience and conversion data, Smart Bidding is your next step. Google Ads automatically adjusts bids based on the likelihood of getting clicks or conversions. This is where machine learning comes into play, considering factors such as location, time of day, device, language and more.

Bidding Strategies: Choose Yours!

There are 3 factors to keep in mind when selecting your bidding strategy: your target, your budget and how many conversion figures you have. Here I will explain the types of bidding with your objective in mind:

If you are looking to increase the value of your business, there are two options:

Now, if your goal is to increase sales or leads, I recommend you to choose one of these three:

And finally, if your goal is to increase website visitors, I recommend choosing the Maximize clicks strategy, which aims to get as many clicks as possible, within your budget. If you choose this strategy, I recommend setting a maximum Cost Per Click (CPC) helps to avoid overspending while maximizing interactions with your website.

(In this table I show you which strategies spend your entire budget and which do not).

Final Tips for Success

Choosing the right strategy can be challenging, but don't worry. Identify your objective first and then match it with the strategy that fits. Marketing decision making often involves trial and error, so be patient. As you accumulate more conversion data, you'll optimize your strategies.

Now that you know the various bidding strategies, choose the one that will propel your business to success! Follow us on our social media for more digital marketing tips. And, if you're ready to take your brand to the next level, contact us and let Felix Media take care of elevating your ecommerce.

If you want more information on this topic, here are some videos that can help you:

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