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Video Transcript: Maximize Clicks Bid Strategy in Google Ads (AdWords) Explained
In this video, we’re going to take a closer look at the Maximize Clicks Bidding Strategy on Google Ads. We’re going to take a look at how it works, how to use it, when to use it and also the shortcomings of using a Maximize Clicks Bidding Strategy on Google Ads. You’re going to learn all of that and more coming up. Hey guys, Darren Taylor of thebigmarketer.com here. My job is to make you a better marketer. Now, if that sounds like your street, you should consider subscribing to my channel.
In this video, we going to take a close look at the Maximize Clicks Bidding Strategy on Google Ads. I think a good place to start off is to understand exactly what this strategy is trying to achieve and how it works. This strategy used to be called Automated Bidding. Essentially what Google Ads is trying to do is use your budget to maximize the amount of clicks your ads get in your campaigns so as the name says maximize clicks, it’s going to take a look at all of the keywords in your accounts, all of the bid levels needed to appear on page one and learn and understand which keywords and which scenarios of those keywords are going to generate the most traffic to your ads.
Now, this sounds like pretty much a good idea in some respects because it means you’re maximizing your traffic for your budget, but again this strategy has very specific scenarios you should and shouldn’t be using it in. You’ll learn a lot more about that for the rest of the video. Keep watching and I’ll go into detail about those in particular. Now, you may think this strategy will be something that will use tons of your budget because it will push the bids up really high in order to maximize because of course, that’s what is trying to do but actually like manual CPC maximize clicks you can also set a max CPC level meaning that if you don’t want to spend more than a certain amount per click then you can add that into your Maximize Clicks Strategy.
Google won’t push your bids up too high but it will try and find the most clicks for your money with this strategy. When is it a good idea to use this bid strategy? When should you use it when building campaigns? Well, the best examples I can give you of when to use this kind of strategy is if you don’t get many conversions in your account and you’re setting up a brand new campaign, then in that scenario, Maximize Clicks could be a great start point because it will allow you to gather a lot of data and a lot of traffic that you’re generating for your campaigns.
You’d start to generate conversions and then from that point onwards, you could potentially transition to a more I guess business-focused bidding strategy like target CPA, target return on advertising spend or maximize conversions or something essentially that’s going to look at developing your conversion strategy. Another potential reason to use this strategy is if your budget restricts it and you literally from the budget point of view can’t afford to spend a certain amount more per click.
You want to maximize your traffic and if that’s one of your objectives, then great. This is probably the strategy to use for that scenario. If you want to maximize your clicks, of course, this strategy is going to be the one for you, if you have a low budget and you want to maximize the traffic to your website through Google Ads. So far it sounds really positive and this strategy sounds like it’s something you should potentially test on your campaigns but there are some shortcomings as well to be aware of.
One of the biggest disadvantages with this bidding strategy is that it doesn’t allow you to test all of your keywords in your account effectively in terms of visibility for each of your keywords. What I mean by that is, say for example, in your account you have a really, really competitive keyword, one that has a really high average CPC generally speaking because it’s a really competitive term. With a Maximize Clicks Strategy you’re not going to show as often as you’d like to for that particular term because Google will look algorithmically at all of the keywords in your accounts and say, “This keyword is too expensive if I bid on this one and generate traffic from this particular keyword then I’m going to go through the budget too quickly, and then I’m not really maximizing my clicks.”
What are the implications of this scenario? What this means is that if that keyword was really competitive but could also generate revenue and leads and conversions to your business, you’re not going to show for it. You might be maximizing your clicks, you might be spending tons of budget on cheaper keywords to bring that volume through to your accounts by not showing for those really, really expensive terms, then you might be missing out on potential conversions because even though those terms are more expensive and more competitive.
The implications of not showing for really expensive terms could be quite severe for your campaigns because ultimately those really expensive keywords could be really valuable for bringing a conversions and revenue to your campaigns, but because the algorithm of a Maximize Clicks Strategy wants to maximize your budget, it’s going to spend the money on the cheaper keywords that bring the higher frequency of clicks. Now, if you were to spend money on the really expensive keywords Google’s algorithm in this point will think actually, I’m not going to maximize clicks by spending money on the high expensive high-value terms.
Therefore, they often become ignored. Now, that could have serious implications because those high-value keywords could generate so much revenue for your business and you’re going to miss out on them because of this strategy. That’s a major major shortcoming of a maximize click spinning strategy to be aware of. In addition, I touched on this earlier and that is it’s not a strategy that’s led by conversion or led by your business goals.
When you think about Google Ads, the whole point of the system is to generate leads or revenue or sales for your business. Now, if you’re picking a strategy that doesn’t focus on conversions or revenue, then there could be a problem there in terms of your business goals because your strategy should lead how you want to run your business. By maximizing clicks, you’re not really focusing on conversions. Overall maximize clicks could be a good interim strategy for you.
It could work in the short term to maximize your traffic, to learn more about the data behind your campaign which will allow you to eventually transition to a more business focused strategy. Overall, if you’ve got the conversion dates, you’ve got the confidence in your website and the confidence of the Google Apps products, you are much better off with a more business focused bidding strategy like target CPA, maximized conversions or maximize your return on advertising spend. That’s my thoughts on the Maximize Clicks Strategy.
Let me know in the comments if you want to even consider using this strategy or if you need help indeed of transitioning onto a smart bidding strategy. I’ve done a ton of videos on smart bidding which you can find in the comments below. I really hope you’ve enjoyed this video and you have a clear understanding of the Maximize Clicks Bidding Strategy. Thank you guys for watching this video. If you liked it, please leave me a like. Please don’t forget to subscribe to my channel, tons of digital marketing PPC and SEO videos for you there. I’ll see you guys on my very next video.