All You Need To Know About Target Cost-Per-Acquisition Bidding




Are you a Digital marketer and searching for ways and methods to get traffic to your website, We provide a well-defined pathway and accurate solutions for your marketing plans. This article explains what is Target Cost-Per-Acquisition Bidding, How it Works, Bid limit, Device Bid Adjustment and how to set Target CPA.


What is Target Cost-Per-Acquisition(CPA) Bidding?


Earlier Known as Conversion Optimizer, Cost per Acquisition (CPA) is a smart bidding strategy provided by Google Ads  It Optimizes the bids to get as many conversions for target cost-per-acquisition that you set for your Campaign.

Google Ads uses machines learning to automatically optimize bids for each and every auction.

Acquisition or Conversion could be many things, but generally, it is a click, app download, registration, form submission or sale.

You can set Target CPA in two ways as follows:

  • Standard Strategy for Single Campaign

  • Portfolio Strategy for Multiple Campaign


How does Target CPA Works?


Google Ads uses Historical Data from your campaign and evaluates contextual signals such as the location of the user, type of device, remarketing list, time of the day, etc.

Target Cost-Per-Acquisition finds the optimal Cost per Click (CPC) bid for each and every auction made by the user.

Conversion may go more than your budget target or may go less, but Google Ads will maintain and adjust your CPC equal to the target CPA that is set by you. These changes are because your actual CPA depends on various factors which aren’t under the control of Google such as Increased competition in ad auctions, changes in website or ads.


Bid Limits:


Bid Limit is not recommended by Google Ads as it confines to lesser opportunities for your ads to show up whenever and wherever required. But under a limited budget and to monitor your bids closely, You can set the Maximum and Minimum bid so that your Target CPA doesn’t get exhausted.


  • Maximum bid Limit:

    The maximum bid which you can give to Google Ads for your Ad group or for a set of keywords while using Target CPA Bidding.


  •  Minimum bid Limit:

    The Minimum bid which you can give to Google Ads for your Ad group, set of keywords while using Target CPA Bidding.


Automated Bid Strategy:


Managing a large Ad spent is complicated and confusing, That’s why Google Ads has an option called as Automated Bid strategy

Automated Bid strategy comes in place when you are bidding on a large volume of keywords and have a huge budget but don’t have enough time to manage the individual campaign.

Note: when you’re on less budget and having enough time to manage individual campaign the best way is to go for Manual bidding option in Google Ads.


Device Bid Adjustments:


Device Bid Adjustment is a feature provided by Google Ads to target users based on devices. You can set bid adjustments for Mobile, Tablet, and desktop.


How to Set up Target CPA:


Setting up Target CPA for your Campaign is Extremely easy, Let’s Go through the below steps:


  1. Log In to your Google Ads Account

  2. Select Campaign Option and Click On Settings Tab

  3. Click on All settings and Scroll down to Bid Strategy

  4. Click on Edit option and then click change bid strategy

  5. Select Dropdown- menu and select Target CPA

  6. Enter Target CPA and Click Save.




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