-
Conversion Value Question
Posted by on July 1, 2021 at 7:52 pmI was on a call with a Google Strategist and he told me that entering a value in conversions can help the algorithm optimize better versus not putting in a value or keeping the default of $1.
I always knew that inputting the conversion value could help PPC managers recognize ROI and optimize performance, but I didn’t realize it actually also helps the machine learning. I have the campaign set to maximize conversions and thought the algorithm just generally optimized for anything that was “included” in the conversions.
I can’t find any articles confirming this thigh. Does anyone else know?
-
5 Replies
-
Google marketing strategists are not to be trusted
-
Was actually just asking around about something similar to this. Although I am not 100% sure i feel like max conv. value would be better for prioritizing certain conversions considering google will try to get the most value from the conversion so in theory it should prioritize the conversion with the higher value. When I suggested this before I got a bit of mixed responses on if it would work or not. Just from a common sense perspective I feel like max conv value would do this better than standard max conv but sometimes google just doesn’t make sense lol. Definitely is a gray area with little to no information on it out there, I would test out for yourself to get your answer
-
If we asked you how much profit you make from every sale would you feel comfortable telling us? And what you mark up every product?
If you ever wondered how CPC increased from 0.05 in the good days of AdWords it’s because the sneaky experts made everyone feed the algorithm such data and so they found out how much a conversion is worth to everyone in each niche of every business and every product on Earth in every language, too. So now a cpc can easily be $300. Instead of 10 cents per word in the paper.
So yes, it will greatly help the machine learning – to learn how to make leads so expensive for all of us that soon it’ll be like Google owned 51% of your business.Everything Google does is to benefit Google. And A Google strategist gets a fat pay-check from Google.
As a fringe benefit to you, a value can help set a tCPA and achieving convenience, as in offering to buy 20 conversion at $50 per, rather than chance it with manual CPC.
Trying to get conversions for your profile is not related to the value, but to the likelihood that users with certain /signals/ will convert on your page. The value is just so they know what is the absolute maximum value they can milk us for a lead.
-
OP mentioned that they are using Maximize Conversions. In that case, all conversions in the conversion column are treated equally even if you enter values.
If you use Maximize Conversion Value or Target ROAS, the algorithm will take value into consideration. However, if for example, you have have a give a page view conversion a value of 1 and a form submission a value of 10, that means that if the algorithm thinks it can get 10 or more page views before 1 form submission, it will optimize towards page views.
Tracking and setting up conversions properly is more difficult than the Google Account/Sales Reps or Smart Campaigns make it seem. -
The most advanced bidding strategy Google has available right now is Target ROAS, more than Max conv and TCPA. The structure goes, Max Conv, TCPA, TROAS with Max Conv Value somewhere in the middle.
Simply put the suggestion is to maximize your return on investment by capitalizing on more complex bidding strategies that prioritize conversions.
That being said make sure any suggestions make sense both for your business and for the maturity of your account and if you do attribute values to your conversions do it after thinking it through.
Log in to reply.