Google Ads is making it easier for advertisers to launch Video Reach campaigns without manually calculating and entering a Target CPM bid. With the new automated bidding option, Google can adjust and set bids in real time, which will enable advertisers to utilize their advertising budgets more efficiently.
The Google Ads Help documentation says that automated bidding is a beta feature, available for qualified Google Ads accounts. Advertisers can still use manual Target CPM bidding when they need more control over their costs.
This update applies to businesses that are managing YouTube ads, video advertising campaigns, and brand awareness campaigns targeting a broader audience.
What Is Automated Bidding in Google Ads?
Automated bidding is a feature in Google Ads that changes the bids automatically according to the campaign settings and auction conditions. Advertisers can leave Google Ads to handle bidding for eligible Video Reach campaigns, rather than researching competitive bids and manually entering a Target CPM.
New automated bidding allows advertisers to launch supported video campaigns without having to provide a bid amount. Google Ads optimizes bids within an auction to get the most out of the campaign budget.
If the advertiser desires to go for a certain cost target, a manual Target CPM is possible.
How Does Automated Bidding Work for Video Reach Campaigns?
There are two bidding options: automated bidding and manual target CPM bidding when creating a Video Reach campaign.
Automated bidding allows Google Ads to set and adjust bids based on auction conditions. The advertiser is not required to work out the starting bid or to make frequent manual adjustments.
Manual Target CPM bidding involves advertisers setting an average CPM that their ads should appear. Google Ads then adjusts its bids in an effort to achieve the maximum number of impressions at or below the desired average CPM.
For example, if a business uses YouTube ads to promote a new product, they may not know that the CPM bid would give them enough reach. Using the automated bidding feature, Google Ads is able to do the bidding process without the need for the advertiser to estimate the bid amount beforehand.
It should also be noted that even using the automated bidding feature does not guarantee the number of impressions, reach, or conversions. The outcomes would depend on other factors such as budget, targeting, and competition.
Benefits of Automated Bidding for Video Reach Campaign:
1. Easier Campaign Creation
There would be no need to calculate and enter the manual Target CPM to start Video Reach campaigns. This can make the process of creating campaigns easier, especially when starting new campaigns.
2. Reduced Manual Bid Management
Adverts do not have to spend time searching for CPM benchmarks and adjusting bids. This would allow campaign managers to focus more on audience targeting, ad creatives, performance, and advertising in general.
3. Flexible Bidding Options
Advertisers do not have to use automated bidding as mandatory. Those that require certain cost targets can use manual Target CPM bidding.
Which Google Ads Campaigns Support Automated Bidding?
According to Google’s documentation, automated bidding is available for eligible Video Reach campaign subtypes:
Efficient reach: Helps advertisers reach audiences efficiently.
Non-skippable: Uses non-skippable video ads to deliver the advertiser’s message.
Target frequency: The frequency you hope to get to views.
The feature is for YouTube, Google video partners, and Google TV. It also supports daily budget and campaign total budget.
As of yet, there is one limitation to automated bidding; it is not available for Video view campaigns.
What Do Advertisers Need to Take into Account When Switching?
Although automated bidding can streamline campaign management, there’s still value in monitoring campaigns after launch.
First, check out average CPM, impressions, reach, and budget delivery. These could serve as indicators of the effectiveness of the campaign in reaching the target audience and how effective the money spent on the campaign has been.
Google advises users to allow the viewers and the budget 24 hours to get accustomed to the new setup before they change it up for them. This enables the bidding system to respond to the bidding conditions.
In addition, the advertisers need to make sure that their budgets are appropriate for the target audience. In the case where the targeting is very specific and the budget is very high, then the average CPMs would be increased.
Advertisers who need control over their costs may prefer manual Target CPM bidding. Automated bidding may be suitable for you if you are targeting more campaigns, but don’t want to make many bid changes.
What this Means for Advertising
Google Ads automated bidding feature helps to minimize the work for the advertiser when creating a video reach ad campaign. Google Ads also offers advertisers automated bid management and Target CPM.
This feature can make it easier for businesses that advertise on YouTube and other supported video campaigns to reduce manual work. But advertisers must look at the real reach, Cost per Mille (CPM), and delivery of the campaigns, rather than relying on automated bidding to do better. Since the feature is still in beta, it may not be available to all Google Ads accounts.
