25 Effective Bid Strategies In Google Ads To Maximize ROI

11 Apr, 2025

Arnab Das

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Google Ads bid is the maximum amount that all the business owners or the service provider are willing to pay. Bid Strategies in Google Ads play a vital role in getting the best prices for your brand promotion.

You must set your budget first. The amount of money you are ready to spend on your ads must be clear in your mind. Otherwise, at the time of your bidding chances are there you overshoot your budget.

The Google algorithm makes use of the auction system to make a determination that which ads are displayble in which order. Application of the right plans can make things work well in your way.

What Is Google Ads Bid?

A Google Ads bid is the amount of money an advertiser is willing to pay for a specific action within a Google Ads campaign. This action could be a click, impression, conversion, or view, depending on the campaign type and bidding strategy. Bids are a core component of Google Ads’ auction-based system, determining how often your ad appears, its position, and how much you ultimately spend.

How Google Ads Bid Strategies Work?

There are numerous ways Google Ads bids work. In this article, you will get to know the details of it one after the other to make the best use of it. So, in this article, you will get to know about the bidding strategies that can make a difference from your counterpart.

1. Auction Basis

Whenever the user searches the keyword watches the videos and visits the webpage where your ads can be visible Google runs an auction. Most importantly your bids need to face the composition at the time of publishing the ads. As your bids compete with other advertisers targeting the same .

Ad Rank: A formula combining your bid and Quality Score (ad relevance, landing page experience, expected click-through rate).
Actual Cost: You pay just enough to outrank the next competitor (not your full bid), calculated as their Ad Rank divided by your Quality Score, plus $0.01.

2. Manual Bidding

You set specific bid amounts for keywords, ad groups, or placements. Google uses these bids directly in auctions without adjustments. However, you control every bid, raising or lowering them based on performance data (e.g., increasing bids for high-converting keywords).

For advertisers who want precision and have time to monitor and adjust bids for them, it is one of the best bidding strategies to adopt. However, you should make a selection of the correct bidding strategy that can make your life easier.

3. Smart Bidding

Smart Bidding uses machine learning to adjust bids in real time, factoring in signals like device, location, time of day, and user behavior. However, Google sets bids to get the maximum clicks within your limited budget, lowering bids when the budget nears its limit.

It prioritizes volume over cost efficiency as you test all opportunities to drive traffic. This is best for building awareness and gathering all the initial data. Additionally, Google adjusts bids to maximize the number of conversions within your budget, favoring auctions likely to convert. Lead generation or sales with sufficient conversion tracking.

4. Impression Based Strategies

Google adjusts bids to achieve a set percentage of impressions (e.g., 70% at the top of the page). Raises bids to outrank competitors until the target is met, capped by a max bid limit you set. It is best for brand visibility in competitive markets.

You bid per 1,000 impressions, paying only when your ad is shown (not clicked). It focuses on reach, not engagement, with fixed pricing per impression block. Display or YouTube awareness campaigns.

5. Cost Per Thousand Impression

You bid per 1,000 impressions, paying only when your ad is shown (not clicked). It focuses on reach, not engagement, with fixed pricing per impression block. This is best for display or YouTube awareness campaigns.

Additionally, it can make things work perfectly well in your favor while meeting your needs with ease. Cost per thousand impressions can help you to meet your goals with complete ease.

6. vCPM

You bid per view (e.g., 30 seconds watched or an interaction). Google prioritizes placements likely to drive video engagement within your bid. This is best for brand campaigns where exposure matters.

In most of the cases, vCPM can increase the visibility of your brand to a greater extent. Here, you need to follow the correct strategy that can assist you in reaching your requirements with absolute ease.

Effective BID Strategies In Google Ads To Maximize ROI

There are some effective Bidding strategies present in Google Ads that will help you to maximize your ROI. So, you cannot make your selection and choices on the incorrect end. Proper planning here helps you to meet your goals with ease.

1. Maximize Clicks

Automatically Bid setting is done to drive the maximum clicks within your budget. Ideal for increasing website traffic and gathering data for new campaigns. If you want to grow your business then your bid strategy needs updation.

The Maximize Clicks bid strategy in Google Ads can be an effective tool for brand promotion by driving high volumes of traffic to your website or landing page, increasing visibility, and building awareness among your target audience.

How To Maximize Clicks Works for Brand Promotion?

Core Function: Google automatically adjusts your bids to generate the maximum number of clicks possible within your daily budget. It prioritizes volume over cost efficiency or specific conversion goals.
Brand Impact: More clicks mean more people see your website, content, or brand message, amplifying exposure.

Mechanics In Action

Auction Optimization: Google bids aggressively in auctions where your ad can win a click at the lowest possible cost, stretching your budget to cover more impressions and clicks.
Traffic Surge: By focusing on click volume, it brings a steady stream of users to your site, exposing them to your brand story, visuals, and value proposition.
No Conversion Dependency: Unlike conversion-based strategies, Maximize Clicks doesn’t require prior conversion data, making it ideal for new brands or campaigns starting from scratch.

2. Manual CPC

Allows full control over bids for individual keywords or ad groups. Use this to allocate budget to high-performing keywords for better ROI. The Manual CPC (Cost-Per-Click) bid strategy in Google Ads can be a highly effective approach for brand promotion by giving you precise control over where and how your budget is spent.

Unlike automated strategies like Maximize Clicks, Manual CPC lets you strategically allocate resources to prioritize brand visibility, target specific audiences, and optimize for cost-efficiency—all critical for building awareness and recognition.

How Manual CPC Works for Brand Promotion

Core Function: You set individual bid amounts for each keyword, ad group, or placement, and Google uses those bids in auctions without automated adjustments.
Brand Impact: This hands-on approach allows you to focus spending on brand-relevant terms or placements, ensuring your ads reach the right people while reinforcing your brand message.

Mechanics In Action

Bid Customization: You decide how much to bid on specific keywords (e.g., $1 for “eco-friendly coffee” vs. $0.50 for “coffee deals”), tailoring spend to brand priorities.
Auction Control: Your bids compete directly in auctions, with ad placement determined by your bid and Quality Score. Higher bids can secure top positions for maximum visibility.
Flexibility: You can adjust bids in real-time based on performance, channeling the budget toward what’s driving brand exposure.

3. Enhanced CPC

Combines manual bidding with automation, adjusting bids in real time to maximize conversions. Great for balancing control and efficiency. The Enhanced CPC (ECPC) bid strategy in Google Ads can be a smart choice for brand promotion by combining the control of manual bidding with Google’s automated optimization.

It adjusts your bids in real-time to prioritize clicks likely to lead to conversions, while still driving significant traffic for brand visibility. For branding, ECPC strikes a balance between awareness and engagement, making it a versatile tool.

How Enhanced CPC Works for Brand Promotion

Core Function: You set base CPC bids manually, and Google adjusts them up or down (by up to 30% typically, though uncapped in some cases) based on the likelihood of a conversion. While “conversion” is the focus, the increased clicks and visibility also serve branding goals.
Brand Impact: ECPC boosts exposure by securing more clicks—especially from engaged users—while keeping you in the driver’s seat for budget and keyword choices.

Mechanics In Action

Manual Base Bids: You define initial bids for keywords or ad groups (e.g., $1 for “organic skincare”).
Real-Time Adjustments: Google analyzes signals (e.g., device, location, user intent) and raises bids (e.g., to $1.30) for clicks with higher conversion potential or lowers them (e.g., to $0.70) for less promising ones.
Traffic + Engagement: The strategy drives more clicks overall, exposing your brand to a broader audience, while favoring users likely to interact meaningfully with your site.

4. Maximize Conversions

Aims to get the most conversions within your budget. Perfect for lead generation or sales-focused campaigns with ample conversion data. The Maximize Conversions bid strategy in Google Ads can work for brand promotion by driving a high volume of meaningful interactions with your brand.

Even if the primary focus is on conversions rather than pure awareness. While it’s designed to optimize for actions like sales or sign-ups, you can adapt it for branding by defining conversions in ways that align with exposure and engagement goals.

How To Maximize Conversions Works for Brand Promotion

Core Function: Google automatically bid setting is possible to achieve the most conversions possible within your daily budget, using machine learning to prioritize clicks likely to result in a tracked action.
Brand Impact: By redefining “conversions” as brand-building activities (e.g., page visits, video views, or form submissions), it drives traffic that engages with your brand, boosting recognition and recall over time.

Mechanics In Action

Conversion Prediction: Google analyzes signals (e.g., user behavior, device, location) to bid higher on clicks with a strong chance of converting.
Budget Optimization: It adjusts bids dynamically to exhaust your budget while maximizing the number of conversions, ensuring efficient spend.
Traffic with Purpose: For branding, this translates to more users interacting with your site or content, amplifying your brand’s presence.

5. Maximize Conversion Value

Optimizes for the highest total conversion value (e.g., revenue) within your budget. Best for eCommerce businesses prioritizing profit. The Maximize Conversion Value bid strategy in Google Ads can enhance brand promotion by focusing on driving the highest total value from conversions within your budget.

As it can be tailored to emphasize brand-building actions rather than just revenue. While it’s typically used for eCommerce to maximize sales value, you can adapt it for branding by assigning value to engagement metrics that boost awareness and perception.

How To Maximize Conversion Value Works for Brand Promotion

Core Function: Google automatically adjusts bids to maximize the total conversion value (e.g., revenue or assigned value) within your daily budget, prioritizing clicks that are likely to yield higher-value outcomes.
Brand Impact: By defining “value” as brand-related interactions (e.g., time spent on-site, video views, or sign-ups), it drives meaningful exposure and engagement, amplifying your brand’s presence and equity.

Mechanics In Action

Value Assignment: You set values for conversions (e.g., $1 for a page visit, $5 for a newsletter sign-up) to reflect their branding impact.
Bid Optimization: Google uses machine learning to bid higher on clicks predicted to deliver greater value, balancing volume and quality.
Brand Reinforcement: This results in more users interacting with your brand in valuable ways, building recognition and loyalty over time.

6. Target CPA

Sets bids to achieve conversions at a specific cost. Use this when you know your desired CPA for predictable ROI. Now there are some techniques you need to adopt while setting the Bid strategies to meet your goals.

What It Is: Google adjusts bids to hit your desired cost per conversion.
When to Use: When you have a specific CPA goal based on historical data.
Maximize ROI: Set a CPA slightly below your break-even point to ensure profitability, and scale budget as performance stabilizes.

7. Target ROAS

Adjusts bids to hit a specific revenue return per dollar spent. Ideal for eCommerce or campaigns with clear revenue goals. It is one of the effective Bid strategies in Google ads to maximize your ROAS. Now there are certain things to remember while using this Bid strategy. Some of them are as follows:-

What It Is: Aims to achieve a specific return (e.g., 400% ROAS means $4 revenue per $1 spent).
When to Use: Ideal for e-commerce or revenue-focused campaigns.
Maximize ROI: Base your target ROAS on past campaign data, and adjust incrementally to balance volume and profitability.

8. Target Impression Share

Focuses on achieving a set percentage of impressions (e.g., top of page). Use for brand visibility while controlling costs. It is one of the crucial aspects that you should be well aware off while having an effective bid strategy in Google ads. Some of the key aspect to know about it are as follows:-

What It Is: Sets bids to achieve a desired impression share (e.g., 70% at the top of the page).
When to Use: For brand visibility or competitive markets.
Maximize ROI: Use sparingly for high-value keywords where visibility drives downstream conversions.

9. Cost Per Thousand Impression

Charges per 1,000 impressions are great for awareness campaigns on the Display Network to maximize reach efficiently. The cost of a thousand impressions can make things work perfectly well in your favor. Some of the key factors to know here are as follows:-

What It Is: Manual bidding for 1,000 impressions, used in Display and YouTube campaigns.
When to Use: When reach is the priority (e.g., awareness campaigns).
Maximize ROI: Target niche audiences to ensure impressions lead to engagement, not just views.

10. Viewable CPM

Optimizes for viewable impressions. Use for display ads where visibility matters more than clicks, improving ROI on brand exposure. Additionally, if your visibility matters then this effective Bid strategy can make your life easier at times.

What It Is: Pay only for viewable impressions (e.g., ad visible for 1+ second on Display).
When to Use: For Display campaigns where visibility matters more than clicks.
Maximize ROI: Combine with remarketing to focus on users already familiar with your brand.

11. Cost Per View

Bids per view for video campaigns. Effective for video ads aiming to maximize engagement at a low cost. The Cost per view campaigns matters a lot. It can boost the scope of your effective Bid strategy to make things happen in your way.

What It Is: Bid per view or interaction on video ads (e.g., 30 seconds watched).
When to Use: YouTube campaigns aiming for engagement.
Maximize ROI: Use compelling CTAs to drive post-view conversions.

12. Portfolio Bid Strategy

Applies a single bidding strategy across multiple campaigns or ad groups. Streamlines optimization for consistent ROI across efforts. However, the application of the correct Bid Strategy to maximize your ROI.

What It Is: A portfolio bid strategy is an automated, goal-driven approach to bidding in digital advertising, such as Google Ads, where multiple campaigns, ad groups, or keywords are grouped together under a single strategy.
When To Use: You’re running several campaigns (e.g., across different products, regions, or channels) that all aim for the same outcome, like a $50 CPA or 400% ROAS.
Maximize ROI: Group similar campaigns (e.g., all lead gen) to optimize collectively.

13. Seasonal Bid Adjustment

Temporarily increases or decreases bids during peak times (e.g., holidays). Boosts ROI by capitalizing on high-demand periods. So, you must take care of these facts while having peak seasons of demand for specific products and services.

What it is: Seasonal bid adjustments in Google Ads are temporary changes you can apply to your bidding strategy to account for short-term fluctuations in demand or performance tied to specific events, seasons, or promotions.
When to Use: Demand for your product or service spikes due to seasonal trends or widely recognized events.

Maximize ROI: Google increases your bids (e.g., from $1 to $1.30) during the sale to capture more traffic and conversions, then reverts to normal afterward.

14. Device Bid Adjustment

Adjusts bids based on device performance (e.g., mobile vs. desktop). Allocate more budget to devices with higher ROI. It will assist you to reach your objectives with complete ease. Some of the core factors that you should know here in this regard are as follows:-

What It is: A Device Bid Adjustment Strategy in Google Ads involves modifying your bids based on the performance of different devices—mobile, desktop, and tablet—to optimize campaign efficiency and maximize ROI.
When To Use: Data shows one device outperforms others in key metrics like conversion rate, cost-per-conversion, or ROAS.

Maximize ROI: Targeting the right device at the right time increases conversion likelihood, optimizing spend efficiency and ROI.

15. Location Bid Adjustment

Increases bids in high-performing geographic areas. Improves ROI by targeting regions with better conversion rates. A Location Bid Adjustment in Google Ads is a feature that allows you to increase or decrease your bids for specific geographic areas within a campaign. It’s a way to tailor your ad spend based on how well your ads perform—or how valuable customers are—in different locations.

What It Is: A Location Bid Adjustment in Google Ads is a feature that allows you to increase or decrease your bids for specific geographic areas within a campaign.
When To Use: Demand spikes in certain locations due to temporary events, holidays, or trends.

Maximize ROI: More budget in high-ROI areas amplifies returns, while less in low-ROI areas minimizes losses.

16. Time Of Day Bid Adjustment

Raises bids during peak hours or days when conversions are higher. Maximizes ROI by focusing on optimal times. Time-of-day bid adjustments, also known as ad scheduling bid adjustments in Google Ads, allow you to increase or decrease your bids during specific hours or days based on when your audience is most likely to convert or when your campaign performs best.

What It Is: A percentage adjustment (e.g., +20% or -50%) applied to your base bid for specific hours or days, set within the ad schedule of a campaign.
When To Use: When conversion rates, CPA, or ROAS vary significantly by time (check your “Day & Hour” report).

Maximize ROI: Time-of-day bid adjustment is a tactical lever to make your ad dollars work harder by syncing bids with your audience’s rhythm.

17. Remarketing Bid Adjustment

Increases bids for past website visitors. Enhances ROI by targeting warm audiences more likely to convert.

What It Is: A percentage adjustment (e.g., +30% or -20%) applied to your base bid when your ad targets users in a remarketing audience, layered on top of your existing bidding strategy.
When To Use: You’re targeting users who started but didn’t complete an action (e.g., abandoned carts, form drop-offs).
Maximize ROI:- If conversion rates double (e.g., 2% to 4%) with only a modest bid increase (e.g., +30%), revenue rises faster than costs.

18. Competitor Outranking Share

Bids to outrank a competitor’s ads. Use cautiously to gain visibility in competitive markets without overspending. It’s expressed as a percentage and reflects your ad’s competitive positioning against another advertiser’s domain across the auctions you both participate in.

What It is: Competitor Outranking Share is a metric in Google Ads, found in the Auction Insights report, that measures how often your ad ranks higher than a specific competitor’s ad in the same auction or appears when their ad does not.
When To Use It: You’re refining bids (manual, enhanced CPC, or portfolio) and want to benchmark against a specific competitor.

Maximize ROI: Increase revenue or conversions relative to ad spend (ROI = (Revenue – Cost) / Cost), not just outranking for vanity’s sake.

19. Keyword Level Bid Optimization

Manually adjusts bids for top-performing keywords. Drives ROI by prioritizing terms with proven profitability. The keyword-level BID optimization can boost your brand value to a greater level. A Keyword-Level Bid Optimization Strategy in Google Ads involves adjusting bids for individual keywords within a campaign or ad group to maximize performance based on specific goals, such as clicks, conversions, CPA (Cost Per Acquisition), or ROAS (Return on Ad Spend).

What It Is: It’s a hands-on tactic often used with Manual CPC or Enhanced CPC bidding, though it can complement automated strategies too.
When To Use It: Certain keywords signal strong purchase intent (e.g., “buy now,” “near me”).

Maximize ROI: More budget flows to terms that generate revenue or conversions efficiently, amplifying returns.

20. Negative Keyword Bid Strategy

Reduces wasted spend by excluding low-ROI terms. Refines traffic to boost overall campaign efficiency. Additionally, words or phrases block your ads from appearing when they’re part of a user’s search query.

What it is: A Negative Keyword Bid Strategy in Google Ads isn’t a standalone bidding strategy like Target CPA or Manual CPC, but rather a tactical approach to improve the efficiency of your existing bid strategy by using negative keywords.
When to use it: Traffic misaligns with your specific objective (e.g., sales vs. awareness).

Maximize ROI: Lower ad spending without losing valuable conversions increases the profit margin per dollar spent.

21. Smart Bidding With Conversion Tracking

Leverages Google’s AI with robust conversion data to optimize bids. Maximizes ROI through precise, data-driven adjustments. An umbrella term for Google Ads’ AI-driven bidding options that automatically set bids for each auction (not just a static daily bid) to meet your performance objectives.

What it is: Smart Bidding in Google Ads is a set of automated bidding strategies that use machine learning and real-time data to optimize your bids for specific goals, such as maximizing conversions, hitting a target CPA (Cost Per Acquisition), achieving a target ROAS (Return on Ad Spend), or increasing clicks within a budget.

When to use it: You’ve tracked at least 15-30 conversions in the past 30 days (or 50+ for ROAS-focused strategies) across your campaign.

Maximize ROI: Smart Bidding handles scale efficiently, adjusting bids per auction based on conversion likelihood.

22. Bid Simulator Testing

Uses Google’s bid simulator to test bid changes and predict ROI impact. Helps fine-tune strategies without risking budget. A predictive tool within Google Ads that models the impact of bid adjustments (e.g., increasing or decreasing CPC) on key performance indicators (KPIs).

What It Is: Bid Simulator Testing in Google Ads is a feature that allows you to simulate how changes in your bids might affect campaign performance without actually altering your live settings.
When To Use It: You’re considering raising or lowering bids but want to predict the outcome first.

Maximize ROI: Use conversion value data to favor bids that boost high-revenue outcomes over sheer volume.

23. Maximize Conversion Value With Target ROAS

Combines value optimization with a specific ROAS goal. Balances revenue growth and profitability for eCommerce. It can boost the scope of conversion to a greater level. An automated bidding strategy that optimizes for a specific revenue return (e.g., 400% ROAS = $4 revenue per $1 spent). Furthermore, it prioritizes high-value conversions, which can sometimes reduce conversion volume if lower-value conversions are deprioritized.

What It Is: Combines value optimization with a specific ROAS goal. Balances revenue growth and profitability for eCommerce. It can boost the scope of conversion to a greater level. An automated bidding strategy that optimizes for a specific revenue return (e.g., 400% ROAS = $4 revenue per $1 spent).
When To Use It: Your campaign success is measured by the revenue or profit it generates, not just conversion volume.

Maximize ROI: Prioritizes clicks that deliver higher conversion values, not just more conversions, aligning spend with profit potential.

24. Maximize Conversions with Target CPA

Pairs conversion volume with a cost goal. Ensures high conversion rates at a sustainable cost for ROI.Target CPA (Cost Per Action) is a Google Ads (or general paid media) bidding strategy where you tell the platform how much you’re willing to pay for a conversion. However, the system then automatically adjusts your bids to try to get you as many conversions as possible at or below that CPA.

What It Is: It’s a bidding strategy used mostly in Google Ads (but also in other ad platforms) where you tell the platform how much you want to pay for each conversion.
When to Use It: If you know exactly how much you’re willing to pay for a lead, sale, or sign-up (based on your margins or business model), Target CPA is perfect.

Maximize ROI: Target CPA optimizes in real-time, minimizing spend on underperforming areas.

25. Hybrid Manual + Automated Bidding

Starts with manual CPC to gather data, then transitions to Smart Bidding (e.g., Target CPA). Builds a strong ROI foundation over time.

What It Is: Hybrid bidding is when you combine manual bidding (where you set bids) with automated bidding (where the system adjusts bids based on performance signals).
When to Use It: It is best for campaigns with super valuable or sensitive keywords. Brand campaigns where you want to control positions.

Maximize ROI: Getting a performance lift without rebuilding campaigns

How To Select Your Ideal Google Ads Bid Strategy?

There are several ways you can adopt to select the Google Ads BID strategy. Some of the core techniques that you can adopt here are as follows:-

Define your main goal.
Check your current data.
Decide how much control you want.
Understand the campaign needs and types
Match strategy to your budget and risk tolerance

Final Take Away

Hence, these are some of the effective Bid strategies in Google Ads campaigns you can adopt to get the maximum ROI. You can try out any one of these techniques as per your requirements and convenience.

FurthermoreYou can share your views and comments in our comment box. This will help you to meet your goals with absolute ease. Ensure that you follow the right strategy for your branding purpose.

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Arnab Das

Content Specialist at MyIDCM

Arnab Das is a passionate blogger having 10 years of experience in the field of digital marketing and content writing. He possess a proven track record in SEO content writing and blogging. An experienced digital marketing specialist with a proven track record