When I started out, I didn’t understand bid strategies.
Sometimes it feels like they contradict themselves. Other times, the performance and results just don’t add up.
So, I decided to spend some proper time diving deep into how they work and what we’ve seen work best in real campaigns. This blogpost is my way of sharing those insights with you. I hope it gives you a bit of clarity in a very confusing, but really important, part of the platform.
Two things, before we dive in:
Firstly, remember: bid strategies are not a one-size-fits-all solution. You have to look at your own data, test what works, and be okay with failing a few times. That’s how you move up and learn. (Let me know if you get everything absolutely right on the first try in paid marketing. We might have an open position for you here at Profound North 😆)
Secondly, no matter which bid strategy you choose, your campaign will only be as good as the data you feed it.
The better your tracking setup, the better Google’s algorithm can learn and optimize. Whether you use Google Ads conversion tracking, GA4, offline conversion imports or a CRM integration (like HubSpot or Dreamdata), make sure that:
Conversions are accurate and reflect real business outcomes
You distinguish between hard and soft conversions
You import backend data if possible (especially for B2B)
We’ve seen too many accounts running with poor conversion setups - and wondering why performance isn’t performing..
If you get this part right, bid strategies will work better. Period.
In Google Ads, there are several bidding strategies; each with different goals and behaviours. Google broadly divides them into three main categories:
For Clicks
Manual CPC
Maximize Clicks
(Target CPC) – not a standalone strategy, but sometimes mentioned
For Visibility
Target Impression Share
(CPM)
(tCPM)
(vCPM)
Note: The ones in parentheses are mostly used in Display or Video campaigns and rarely relevant for Search. In order to not make this a read too long, I will not prioritize these for now.
For Conversions
Maximize Conversions
Maximize Conversion Value
Target CPA
Target ROAS
Here’s a breakdown of the key bidding strategies in Google Ads and when (or when not) to use them:
Manual CPC
You set your max cost-per-click bids on each keyword manually. Full control, no automation. If your tracking is good enough, you will only need this for branded-campaigns as you want to control how much you pay per branded click - and thus spending as little as possible on branded campaigns.
Use when:
You want full control for very specific reasons.
You’re running brand campaigns
Avoid if:
You don’t have time to manually adjust bids
You have enough conversion data to move towards automated bid strategies.
Maximize Clicks
Google tries to get as many clicks as possible within your budget. Good for traffic, but not necessarily conversions. This is also great, and preferable, if you have a new account and you want to gain as much data as possible
Use when:
New accounts and campaigns in order to gain more data quickly.
You want traffic volume
You’re launching a low-risk, top-of-funnel campaign
Avoid if:
You have a strict budget
You need to hit specific CPA or ROAS targets
Maximize Conversions
Google spends your budget to get the most conversions possible, without targeting a specific CPA. Needs conversion data to work well. Without good tracking, this will not work well.
Make sure that your campaigns and conversions have enough data.
Use when:
You’re converting well, but need more volume
You have >30 conversions/month
Efficiency is less important than scale
Avoid if:
You need to control CPA tightly
Your offer is highly seasonal or fluctuating
Maximize Conversion Value
Just like with Maximize Conversions, this strategy won’t work without good tracking. You need to have reliable value data in place; either directly from your CRM or assigned through conversion actions in Google Ads.
Google spends your budget to get the highest possible total conversion value — instead of just focusing on volume. This could be revenue, lead scores, or any weighted conversion values you’ve set up.
Make sure that your campaigns and conversion values have enough data before using it.
Use when:
You track conversion value (revenue or weighted leads)
You want to focus on higher-value conversions
You have >50 conversions/month
Avoid if:
You’re optimizing for CPA
You have limited conversion value data
Target CPA
Google tries to get you as many conversions as possible at your target cost-per-acquisition. Needs a lot of historical data before it makes sense.
Use when:
You have 30+ conversions/month
You want to balance efficiency with volume
Avoid if:
You have less than 30 conversions/month
You prioritize total lead volume over cost-efficiency
Target ROAS
Focuses on getting the best return on ad spend. You’ll need to track conversion values reliably to use it well. This won’t make any sense if you do not track the va
Use when:
You have 50+ conversions/month AND revenue data
You’re running lead scoring or weighted conversions
Avoid if:
You don’t track conversion value accurately
You’re optimizing for volume over profitability
Target Impression Share
Aims to show your ads in a specific spot on the page (top, absolute top, or anywhere). Ideal for brand visibility.
Use when:
You’re running brand campaigns
You want to own top placements
Avoid if:
You’re running non-branded campaigns
Performance is more important than visibility
Recommendations
How should you choose a bid strategy? Start with three simple filters:
1. How many conversions do you get monthly?
<30: Stick with Manual or Maximize Clicks
30-50: Consider Max Conversions or Target CPA
50+: Max Value or Target ROAS becomes viable
2. What matters more - efficiency or volume?
Efficiency = CPA/ROAS targets
Volume = Max Clicks or Max Conversions
3. What kind of business do you run?
B2B with longer sales cycles might benefit more from Max Conversion Value or ROAS if they import value from CRM
Shorter cycles = CPA strategies can work well
What we usually recommend:
For new B2B accounts: Start simple. Manual or Maximise Clicks to gather data.
For accounts with solid history: Move to Max Conversions or Target CPA depending on volume
For data-rich accounts: Start testing Target ROAS or Max Conversion Value
And for this reason, nothing works if your tracking isn’t on point.
Implementation
Before switching, ensure:
Your conversion tracking is working and reliable
Budgets and campaign structures are stable
You’re not changing multiple things at once
Smart bidding takes time to optimize. Give each change 7-14 days at minimum. Avoid:
Frequent bid changes
Pausing/reactivating campaigns
Daily budget swings
Look at CTR, CPC, engagement (and soft conversions)
For B2B, also check CRM signals: form fills, demo bookings, qualified leads
Let each strategy run at least 2-3 weeks before evaluating. Frequent switches confuse the algorithm and delay optimization.
Instead of flipping the switch entirely, use experiments to split test bid strategies in a controlled way. Or clone a campaign and A/B split the budget.
It’ll help you (and your team) in the long run. Keep a log:
What you changed
Why you changed it
What you expect to happen
Even basic notes will give you better hindsight when reviewing performance weeks later.
Bid strategies in Google Ads aren’t magic. But when paired with the right data, goals, and implementation, they can make a huge difference in campaign performance.
There’s no single “best” strategy. It’s about the right strategy for you, right now. So be honest about your data quality, business objectives, and what you’re optimizing for.
And if you’re ever unsure? That’s okay. Test, evaluate, and move forward. That’s how you get better.
Need help figuring out which bid strategy fits your accounts and business? Feel free to reach out at ss@profoundnorth.com or +45 93 93 03 43. We’re always happy to help you improve your Google Ads performance.