AdWords Adds New Bidding Tools For Target CPA & Target ROAS

Target CPA Simulator and Target Opt-In Recommendations

Google announced two new bidding tools, target opt-in recommendations and Target CPA Simulator, this week.

The new target opt-in recommendations help you select the correct performance target when initially setting up an automated bid strategy for target CPA. Google will recommend a performance target based on your CPA or ROAS performance from the past couple of weeks. The idea of this is to help you maintain previous performance while the big strategy optimises to “increase conversions or revenue at that similar target”.

Target CPA simulator will help you estimate what’ll happen to conversions if you adjust your target CPA. Google first announced this feature during the AdWords live stream earlier this year, and now it’s completely available to all advertisers. It means you can see how many conversions you could lost by lowering your target CPA, or vice versa, how much you could gain by increasing it. Here is an example of what it looks like in the US version of AdWords (Note: both tools are globally available now!):

google adwords target cpa simulator

These estimates are measuring the performance of a week and are based on an unrestricted budget.

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