{"id":21984,"date":"2025-06-06T07:03:32","date_gmt":"2025-06-06T07:03:32","guid":{"rendered":"https:\/\/www.adenlab.com\/smart-bidding-roas-target-or-cpa-target\/"},"modified":"2025-11-06T07:27:12","modified_gmt":"2025-11-06T07:27:12","slug":"smart-bidding-roas-target-or-cpa-target","status":"publish","type":"post","link":"https:\/\/www.adenlab.com\/en\/smart-bidding-roas-target-or-cpa-target\/","title":{"rendered":"Smart Bidding: ROAS target or CPA target?"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"21984\" class=\"elementor elementor-21984 elementor-16246\" data-elementor-post-type=\"post\">\n\t\t\t\t<div class=\"elementor-element elementor-element-14e1f94 e-flex e-con-boxed e-con e-parent\" data-id=\"14e1f94\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-3424a0b noted_content elementor-widget elementor-widget-text-editor\" data-id=\"3424a0b\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>You&#8217;ve discovered <a href=\"https:\/\/www.adenlab.com\/news\/smart-bidding-comment-fonctionnent-les-encheres-automatiques-de-google-ads\/\">Smart Bidding<\/a> and would like to launch a Google Ads campaign?<br>There are a few prerequisites you need to take into account: without data, machine learning can&#8217;t do much for you. So, if you&#8217;re not sure whether to launch an automatic bidding campaign with a ROAS or CPA target, it might be a good idea to read these few lines first. <\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-60d0b45 e-flex e-con-boxed e-con e-parent\" data-id=\"60d0b45\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t\t<div class=\"e-con-inner\">\n\t\t\t\t<div class=\"elementor-element elementor-element-700a5f7 elementor-widget elementor-widget-text-editor\" data-id=\"700a5f7\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>Here are the definitions of these 2 indicators:<\/p><ul><li><a href=\"https:\/\/support.google.com\/google-ads\/answer\/6396841?hl=fr\">CPA <\/a>: &#8220;The average cost per action (CPA) is calculated by dividing the total cost of conversions by the total number of conversions.&#8221; This is very often the cost of your sale, or the cost of your new customer acquired via your Google Ads campaign.<\/li><li><a href=\"https:\/\/www.definitions-marketing.com\/definition\/roas\/\">ROAS <\/a>: &#8220;ROAS&#8221; stands for &#8220;Return On Ad Spent&#8221; and is therefore a measure of the return on investment of an advertising spend. If your ROAS is 10 or 1000%, then this means that for every \u20ac1 spent via Google Ads, you have generated \u20ac10 in sales.<img fetchpriority=\"high\" decoding=\"async\" class=\"alignleft wp-image-16260 size-full\" src=\"https:\/\/www.adenlab.com\/wp-content\/uploads\/2025\/06\/Smart-Bidding.webp\" alt=\"\" width=\"600\" height=\"200\" srcset=\"https:\/\/www.adenlab.com\/wp-content\/uploads\/2025\/06\/Smart-Bidding.webp 600w, https:\/\/www.adenlab.com\/wp-content\/uploads\/2025\/06\/Smart-Bidding-300x100.webp 300w\" sizes=\"(max-width: 600px) 100vw, 600px\" \/><a href=\"https:\/\/www.adenlab.com\/news\/smart-bidding-comment-fonctionnent-les-encheres-automatiques-de-google-ads\/\">Smart Bidding: How Google Ads&#8217; automatic bidding strategies work<\/a><\/li><\/ul>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-188d658 e-con-full category-data e-flex e-con e-child\" data-id=\"188d658\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t<div class=\"elementor-element elementor-element-d4d2e2c elementor-widget elementor-widget-heading\" data-id=\"d4d2e2c\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">ROAS or CPA: how to use these indicators?<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-cd03200 elementor-widget elementor-widget-text-editor\" data-id=\"cd03200\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>Google Ads automatic bidding offers several strategies, as different as whether you want to improve your visibility or increase the number of visits to your site. Among Smart Bidding strategies, two tend to stand out: <\/p><ul><li><strong>Achieve a target ROAS<\/strong> (return on ad spend):<br>Google Smart Bidding&#8217;s ROAS strategy aims to achieve as many conversions as possible based on a predefined ROAS target. This smart bidding strategy can be applied to a single campaign or to several. <\/li><li><strong>Get more conversions with a target CPA<\/strong> (cost per action) at a controlled cost:<br>Smart Bidding&#8217;s target CPA strategy automatically defines your bids on the Search Network (also known as Display). The aim is to generate as many conversions as possible for the target CPA you set before launching your campaign. <img decoding=\"async\" class=\"alignleft wp-image-16267 size-full\" src=\"https:\/\/www.adenlab.com\/wp-content\/uploads\/2025\/06\/strate-gies-d-enche-re-google-ads.webp\" alt=\"\" width=\"943\" height=\"606\" srcset=\"https:\/\/www.adenlab.com\/wp-content\/uploads\/2025\/06\/strate-gies-d-enche-re-google-ads.webp 943w, https:\/\/www.adenlab.com\/wp-content\/uploads\/2025\/06\/strate-gies-d-enche-re-google-ads-300x193.webp 300w, https:\/\/www.adenlab.com\/wp-content\/uploads\/2025\/06\/strate-gies-d-enche-re-google-ads-768x494.webp 768w\" sizes=\"(max-width: 943px) 100vw, 943px\" \/><\/li><\/ul>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-8d1f511 e-con-full category-data e-flex e-con e-child\" data-id=\"8d1f511\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t<div class=\"elementor-element elementor-element-8df3426 elementor-widget elementor-widget-heading\" data-id=\"8df3426\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Target ROAS or target CPA: what does Google have to say?<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-aca1755 elementor-widget elementor-widget-text-editor\" data-id=\"aca1755\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>All automatic bidding strategies require a minimum number of conversions to work. In terms of ROAS and CPA, for example, Google recommends : <\/p><ul><li><strong>Target ROAS<\/strong>: as soon as a campaign has more than 100 conversions over the last 30 days;<\/li><li><strong>Target CPA<\/strong>: as soon as a campaign has more than 30 conversions in the last 30 days.<\/li><\/ul><p>The more historical conversion data you have, the more accurate Google&#8217;s algorithm will be.<\/p><p><img decoding=\"async\" class=\"alignleft wp-image-16270 size-full\" src=\"https:\/\/www.adenlab.com\/wp-content\/uploads\/2025\/06\/google-ai.webp\" alt=\"\" width=\"529\" height=\"277\" srcset=\"https:\/\/www.adenlab.com\/wp-content\/uploads\/2025\/06\/google-ai.webp 529w, https:\/\/www.adenlab.com\/wp-content\/uploads\/2025\/06\/google-ai-300x157.webp 300w\" sizes=\"(max-width: 529px) 100vw, 529px\" \/><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-c697fc7 e-con-full category-data e-flex e-con e-child\" data-id=\"c697fc7\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t<div class=\"elementor-element elementor-element-282b91f elementor-widget elementor-widget-heading\" data-id=\"282b91f\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Intelligent auctions at Target CPA, for whom?<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-80cc3ed elementor-widget elementor-widget-text-editor\" data-id=\"80cc3ed\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>The first thing you need to know is that using Smart Bidding with a target CPA strategy requires a thorough understanding of Google Ads. This implies that you&#8217;ve already launched several campaigns manually, and that you know the cost of a conversion. <\/p><p><strong>What you want<\/strong>: to optimize the cost of your conversions.<\/p><p><strong>What Google Smart Bidding will do<\/strong>: your campaigns will be adjusted automatically, which means that some acquisitions may cost you more, but in the end, your bids will be balanced.<\/p><p><strong>The risk<\/strong>: not having enough historical data and not defining your target CPA correctly. The algorithm won&#8217;t help you at all.<br>Another &#8220;risk&#8221; is a lack of control over the products you want to sell first. This is a recurring problem we encounter with our customers and account managers. But you should know that we have solutions and methods to make the most of these &#8220;risks&#8221;.   <\/p><p><img loading=\"lazy\" decoding=\"async\" class=\"alignleft wp-image-16275 size-medium\" src=\"https:\/\/www.adenlab.com\/wp-content\/uploads\/2025\/06\/1_conseil-google-300x110.webp\" alt=\"\" width=\"300\" height=\"110\"><\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-8718f0d e-con-full category-data e-flex e-con e-child\" data-id=\"8718f0d\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t<div class=\"elementor-element elementor-element-66ad22b elementor-widget elementor-widget-heading\" data-id=\"66ad22b\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Automatic auctions at target ROAS, in what context?<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-0c27d1d elementor-widget elementor-widget-text-editor\" data-id=\"0c27d1d\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p><strong>What you want<\/strong>: to optimize the profitability of your campaign.<\/p><p><strong>What Google Smart Bidding will do<\/strong>: Google will automatically adjust your bids according to the target ROAS you&#8217;ve defined, in order to maximize the value of your conversions.<\/p><p><strong>The risk<\/strong>: as we saw earlier, without sufficient data, you won&#8217;t get the results you want. In order for your campaign to be properly defined, you need to have gathered information and defined your average ROAS. <\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-4a1bbb8 e-con-full category-data e-flex e-con e-child\" data-id=\"4a1bbb8\" data-element_type=\"container\" data-e-type=\"container\">\n\t\t\t\t<div class=\"elementor-element elementor-element-7ac80e5 elementor-widget elementor-widget-heading\" data-id=\"7ac80e5\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h2 class=\"elementor-heading-title elementor-size-default\">Conclusion<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t<div class=\"elementor-element elementor-element-8818b97 e-con-full category-data e-flex e-con e-child\" data-id=\"8818b97\" data-element_type=\"container\" data-e-type=\"container\" data-settings=\"{&quot;background_background&quot;:&quot;classic&quot;}\">\n\t\t\t\t<div class=\"elementor-element elementor-element-833d83b elementor-widget elementor-widget-heading\" data-id=\"833d83b\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"heading.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t<h5 class=\"elementor-heading-title elementor-size-default\">Target ROAS or target CPA: which to choose?<\/h5>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<div class=\"elementor-element elementor-element-dd5439d elementor-widget elementor-widget-text-editor\" data-id=\"dd5439d\" data-element_type=\"widget\" data-e-type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t\t\t<p>Because the ROAS target strategy remains complex to set up correctly (you need a lot of data), it&#8217;s advisable to start with a CPA target or a strategy aimed at maximizing your conversions.<\/p><p>Nevertheless, in the long term, especially if you have an e-commerce site, target ROAS probably remains the best solution for optimizing your campaign and above all your profits through machine learning.<\/p><p>Last but not least, bear in mind that while changes in the CPA ceiling may not necessarily influence Google&#8217;s algorithm, fluctuations in your market can have a very big impact on learning your target ROAS.<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>You&#8217;ve discovered Smart Bidding and would like to launch a Google Ads campaign?There are a few prerequisites you need to [&hellip;]<\/p>\n","protected":false},"author":10,"featured_media":16250,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[75],"tags":[77,82],"class_list":["post-21984","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-trends","tag-search-en","tag-shopping-en"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.2 (Yoast SEO v27.6) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Smart Bidding: ROAS target or CPA target? 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