Objectives
Target CPA is a Google Ads bidding strategy that sets bids to help obtain as many conversions as possible at (or below) the target cost per action (CPA). If the strategy has been working efficiently and is currently under the target CPA, the algorithm may increase the bids to capture more competitive conversions until it hits the target CPA.
- Increase paid search conversions
- Increase clicks to sale
- Reduce the cost per sale
Our Approach
We applied the test to high volume Generic keywords, during a seasonal peak and then ran a campaign experiment, splitting traffic 50/50 on two different bid settings. We made sure to limit the number of changes to the experiment and control to ensure a fair test, running the same ad copy on the control & test.
After ringfencing the budget for testing, we continued to test until results are statistically significant to a confidence level of 99% and
ensured we had ample testing budget for the smart bidding test (Google recommend the daily budget being 10x your current CPA).
Results
The campaign was a success producing some brilliant results and ultimately increasing the Click Through Rate and click to sale percentage while reducing the cost per sale.
- 35% increase in CTR (2.89% vs 3.88%)
- 40% increase in click to sale % (3.37% vs 5.64%)
- 45% reduction in cost per sale (£122.45 CPS vs £62.38 CPS)
35% increase in CTR
40% increase in click to sale %
45% reduction in cost per sale
Interested in seeing what we can do for you? Get in touch and let us know about your requirements today.
