Should I Use Automated Bidding for My PPC Campaigns? A Guide for Milton Keynes Businesses
Understanding Automated Bidding in PPC Advertising
Automated bidding is a feature offered by platforms like Google Ads that uses machine learning to set your bids automatically. It aims to optimise your ad spend by adjusting bids based on user behaviour and other signals.
For local businesses in Milton Keynes, deciding whether to utilise automated bidding can directly impact your ad performance and ROI. This article explores the advantages, disadvantages, and best practices for using automated bidding effectively.
Pros of Automated Bidding for Local Businesses
1. Saves Time and Resources
Automated bidding minimises manual bid adjustments, freeing up time for strategic tasks. It is especially beneficial for small teams that may lack the resources for constant campaign optimisation.
2. Data-Driven Optimisation
Using vast amounts of data, automated bidding adjusts bids intelligently, often outperforming manual bidding in achieving specific goals. It factors in device, location, time of day, and user behaviour.
3. Increased Bid Precision
Automation enables precise bid adjustments at the user level, which can lead to higher click-through rates and better conversion outcomes for local campaigns.
Cons and Considerations of Automated Bidding
1. Less Control Over Bids
Automated systems may override manual controls you prefer, potentially leading to bids that aren’t aligned with your specific business strategies.
2. Dependence on Data Quality
Effective automation relies on robust data; poor or insufficient data can result in suboptimal bidding decisions and wastage of ad spend.
3. Cost Implications
Some automated bidding strategies can lead to higher costs if not properly monitored, as the system might optimise for impressions or clicks rather than conversions.
When Should Local Businesses Consider Automated Bidding?
1. Campaigns with Clear Conversion Goals
If your campaign’s objective is specific, such as booking consultations or online sales, automated bidding can optimise towards these goals efficiently.
2. Limited Internal Resources
For businesses without dedicated PPC specialists, automation reduces the need for constant bid management and allows focus on other areas.
3. Large or Complex Campaigns
Automated bidding performs well when managing numerous keywords and audiences, where manual optimisation would be labour-intensive.
Best Automated Bidding Strategies for Local Campaigns
1. Maximise Conversions
This strategy bids to get the most conversions within your budget, ideal when lead generation or sales are your priority.
2. Target CPA (Cost Per Acquisition)
You set a target cost per conversion, and the system adjusts bids to meet this goal. Suitable for predictable conversion values.
3. Enhanced Cost Per Click (ECPC)
This is a semi-automated strategy where bids are adjusted in real-time, giving you more control while benefiting from automation.
Implementing Automated Bidding Effectively
1. Set Clear Goals and KPIs
Define whether your focus is on clicks, conversions, or ROAS to choose the right automated bidding strategy.
2. Ensure Data Accuracy and Sufficient Volume
Automated bidding performs best when campaigns receive enough relevant data; thus, optimise targeting and tracking.
3. Monitor and Adjust Regularly
Automated strategies require ongoing monitoring to adjust goals, budgets, and to identify any issues early.
4. Combine Manual and Automated Tactics
For control, many local campaigns benefit from combining manual keyword/ads optimisation with automated bidding.
Conclusion: Is Automated Bidding Right for Your Milton Keynes Business?
Automated bidding offers significant advantages, especially for local businesses seeking efficient and scalable PPC management. However, it’s essential to align the strategy with your specific goals, budget, and available data.
At Milton Keynes Marketing, we recommend testing automated bidding strategies in controlled campaigns first. Continual monitoring and optimisation ensure you get the best results from your digital advertising spend.
FAQs About Automated Bidding in PPC
1. Is automated bidding suitable for small local campaigns?
Yes, especially if resources are limited, but ensure your campaign has enough data to perform well.
2. How long does it take for automated bidding to optimise?
Typically, it can take a few weeks of data collection to for the system to optimise effectively.
3. Can I switch between manual and automated bidding easily?
Yes, most platforms allow easy switching; however, monitor performance closely after switching.
4. Will automated bidding increase my advertising costs?
It can, especially if not diligently monitored, so always set clear KPIs and budgets.
5. How do I measure success with automated bidding?
Track your core metrics—conversions, CTR, CPA, and ROAS—to evaluate performance.
6. What are the common pitfalls of automated bidding?
Over-reliance without monitoring, poor data quality, and mismatched goals are common issues.
7. Can automated bidding work alongside manual optimisation?
Yes, combining both approaches often yields the best results.
8. Is automated bidding GDPR compliant?
Yes, as long as your data collection and handling comply with data protection regulations.
9. Should I use automated bidding for remarketing campaigns?
It can be effective, especially for managing bids to maximise conversions in remarketing lists.
10. How often should I review automated bidding campaigns?
At least bi-weekly, or more frequently during campaigns’ initial phases.
For a free consultation please contact us through our Milton Keynes PPC agency