Google Ads: Automatic Bidding vs. Manual Bidding

Google Automatic Bidding Manual Bidding

For many companies, Google Ads is an easy and effective way to promote their products and brand.

Google Ads levels the playing field for smaller companies by enabling them to advertise without laying out large sums of capital.

Recently, Google has gone even further by offering the option of allowing artificial intelligence (AI) to run pay-per-click (PPC) campaigns.

This is a risky gambit for many companies. If you have limited resources and a shrinking advertising budget, you may be hesitant to turn over control of your PPC campaign to an automated process.

In this blog, I’ll review several important considerations related to manual bidding versus automated bidding.

Why Companies Use Pay-Per-Click

More and more people are using the Internet to shop, communicate, and socialize. This shift in where the public spends the majority of its time has made Google—the world’s premiere search engine—an advertising giant.

What You Should Know About Manual Bidding

Manual bidding, as the phrase suggests, is the direct and on-hands management of keyword bids on Google Ads. You make all decisions about your PPC account without AI assistance.

Experience, unique market insight and expertise, and analysis of past keyword performance data can all be used to guide such decision-making. However, it should be noted that this process requires a great deal of time and effort. To get a good return on manual bidding, the people involved in it must be highly competent and have the right level of experience.

This form of bidding may be best if you have a limited budget and a small amount of consumer data. The benefits of manual bidding include:

  • Control: You can be as aggressive as you want to win bids on specific key words and phrases
  • Responsiveness: You can change your keyword bids quickly in response to new competitors and your lowest performers
  • No delays: Manual bidding changes take effect immediately

You should also be aware of the downsides of manual bidding. As your PPC account grows bigger, it will become harder to manage. You may be compelled to hire more people to monitor and manage it, which can eat away at your advertising budget. Manual bidding is also vulnerable to human errors, some of which can be quite costly.

What You Should Know About Automatic Bidding

Automatic bidding is also known as smart bidding. This form of bidding is the best option if you have large PPC accounts, a great deal of historical data, and no experts in manual bidding and no desire to hire any.

If you are a growing company or a well-established one with significant capital reserves, you may be better off letting Google AI take charge of your account.

Here are some of the specific benefits of going down this route:

  • Versatile segmentation: This involves the creation of customized subsections within your broader target audience based on their shared interests and behaviors
  • Efficiency: The AI technology will allow you to manage thousands of keywords and hundreds of ad groups at once
  • Accurate prediction models: The advanced algorithms can give you a sound foundation for decision-making by making accurate predictions about your campaigns
  • Cost-effectiveness: Your team will spend less time on monitoring your Google Ads accounts, which will free them up for more pressing business matters

While automated bidding is a highly effective way to manage your PPC campaign, in almost all cases, you should not start off with it. The smarter move is to go with manual bidding initially, test the waters, and wait until your account has a steady flow of traffic and you have reached a statistically significant number of conversions from which you can make educated decisions.

You should also be aware that any changes you make to Google Ads will take some time to implement if you are using AI. You will need to manually sync if you want the changes to take effect immediately.

If you intend to pursue automated bidding, then there are a few common strategies—which appear as settings on the account—that are worth learning about. They include:

1. Maximize conversions

This sets keyword bids to get the most conversions possible with a given budget. If you set your account to maximize conversions, the AI system will check your daily budget and determine how best to use it. You should be warned that your entire budget can be consumed if you are not careful, which is why you should carve out a stand-alone budget for this type of campaign.

2. Maximize clicks

If you configure your Google Ads campaign with this option, the top priority will be getting ad clicks. The AI system will automatically determine bids based on the likelihood of earning a click or conversion. The system will do so based on the following criteria: device, operating system, demographics, location, and time of day.

It is still possible to set bid limits with this option. However, you should be aware that excessively tight limits will restrict the number of clicks you may get.

There are real differences between manual and automatic bidding on Google Ads. If you have just established a start-up, then you should begin with manual bidding. Over time, you may decide to opt for automatic bidding. But this decision should only be made in light of your PPC budget, your business goals, and the experience and expertise of your workforce.

The Internet, And The Future Of Bumper Stickers

Bumper Stickers

Oh where, oh where have the corporate bumper stickers gone?

It used to be that in the good old days of marketing, not so very long ago, businesses could simply go to any trade show and hand out bumper stickers with their name and corporate logo on them, and that would be about it for any outbound marketing effort. Add on some type of contest like the radio stations did, and you were really going above and beyond.

But look around these days and you don’t see anything near the proliferation of bumper stickers that there used to be.

Oh sure, you can still find witty and religious sayings, magnetic ribbons for various diseases, words of support for politicians and sports teams, “my child is an honor student” and those omnipresent stick figure families.

But when was the last time you saw a bumper sticker with the name of a local business on it? If you have seen one, odds are that it was probably on an older vehicle and had a purpose of helping to keep the bumper on the car!

Well, times have changed, bumpers have changed and the marketer’s idea of only using bumper stickers to attract prospects and customers will have to change, too.

Those once-plentiful signs of company pride used to be a popular form of traditional — or push — marketing. The objective was to push information, the company’s name or branding statements out to consumers, and they would be more inclined to frequent your business.

Now it’s a much more in-depth and delicate wooing process for companies to capture the attention of prospects and win their consumer hearts. It demands the strategic use of Internet marketing.

The good news is that businesses of every size can utilize Internet marketing. The bad news is that businesses of every size have to utilize Internet marketing, or they will simply lose out to their much more aggressive and Internet-savvy competitors.

This form of marketing is known as pull marketing. It’s a little similar to fishing, where you put something of interest out there to attract some attention, and let it slowly lure in a prospect. The differences here are that you have to use lots of lures and you sometimes have to gain the fish’s permission to participate in the process.

The Move to Social Media and Online Marketing

One similarity between bumper stickers and pull marketing is that you have a very short period of time to garner some attention. Just like passing another car and noticing what the slogan is, your online communications have to be sharp, focused and consistent.

Get to the top of the search engine rankings or nobody can find you, have a succinct Facebook message or it’s gone in 60 seconds as new posts appear, catch attention in six seconds with a blog title or your prospect moves on. It’s a fast and furious world, and you’ve got to be on the top of your game.

Here are just some of the amazing statistics about the opportunity represented by social media and online marketing:

» Social media is huge and it’s still growing: In January, ClickZ highlighted a report from eMarketer that found that social media will have 5.4 million more users by 2016, on top of the 180 million Americans who already rely on it for social interaction and information.

The top five social media outlets are Facebook, TwitterInstagramPinterest and Tumblr. If your business doesn’t have a presence on these five as a minimum, you could be missing out on customers, regardless of your target age group.

Amazingly enough, there will be 4.9 million social network users younger than 12 and 21.1 million teenagers engrossed in social media. Older Millennials are the most active social networkers, and even 17.1 million 55-64 year olds frequent Facebook.

No matter who you need to communicate to in order to present your features and benefits, you had better include social media if you plan to accomplish that goal.

» Young adults are watching less TV: According to Nielsen’s 2014 fourth-quarter analysis of television viewing habits, young adults between the ages of 18 and 24 are actually watching less television.

If this is your target group, it’s going to be harder and harder to find them without incorporating an Internet element to your marketing strategy.

The primary reason for their decreased interest in traditional television is their increased interest in digital devices. They are surfing the web, using social media, and Googling answers to every question that comes up in conversation. They use their mobile devices and smartphones extensively and, if they want information on a product or company, they want it now. If it’s not easily available, they are more than willing to move on.

» Social media is the new “back fence”: If people wanted to communicate with their neighbors just a few years ago, they could simply walk to the back fence and exchange information. They might ask about local businesses, relate good and bad experiences, or even provide a referral.

Now all of that is accomplished online through social media networks, bloggers and influencers. Consumers are now in the habit of searching online for answers and information first before making decisions from where to eat to where to have surgery.

In fact, Power Reviews found that 86 percent of consumers say reviews are an essential resource when making purchasing decisions. They trust peer recommendations more than they trust advertising and, if they do have a question or concern for a business, they want to be able to get a response quickly.

Does it seem like too much effort to learn about the new “pull” marketing? The return on investment for the time and energy needed is that you get to stay in business and keep attracting customers. Not such a bad return.

So, are bumper stickers totally useless now? Well, not exactly. But I’d recommend adding your web site with a call to action and a coupon code.

— Taylor Reaume is an e-Business coach and founder of Search Engine Pros. He can be contacted at taylor@thesearchenginepros.com, or 1.800.605.4988. Click here to read previous columns. The opinions expressed are his own.

Holiday Internet Marketing Strategies

Holiday Internet Marketing Strategies

Dear Friends,

I would like to take this time to wish everyone a Happy Thanksgiving! I am thankful for the clients who have inspired me in so many ways, and for the members of my team who help make our clients’ marketing goals come true. This has been a great year in many ways, and yet I am looking forward to even more next year.

Many businesses look at December as a kind of down time, but I think it’s the perfect time to lay out a strategy for the upcoming year. Because 2013 is so rapidly coming to a close, I want to offer a few end-of-year marketing strategies as my way of saying thanks:

  • Check Your Google Rankings: Your Google ranking can be the most valuable asset your business has. Score a high ranking and increase your probability of potential customers finding your business. Have a low ranking, and your business is much more difficult to find. Get a free Google rank analysis now, discover areas in need of improvement, gain valuable insights, and start developing a marketing plan to increase your online visibility.
  • Learn About Web Marketing Success: Use The Strategic Circle as a marketing benchmark analysis to learn about the multitude of ways your website impacts your marketing. Answer the questions about email, website design, Pay-Per-Click marketing, social media, press releases, and search engine optimization to find out whether your website is working as hard as it can for you.
  • Receive a Website Analysis: Let Search Engine Pros conduct an objective site analysis and provide you with a free 30 page report that tells you how well your website is working and gives you useful suggestions on how to make it better.
  • Make a Commitment to Learn More About Marketing: Subscribe to our e-newsletter and get a variety of Free Marketing e-Books every month.
  • Learn While You Lunch: Come to Verde Restaurant every Friday from 12:30-2pm. For $20, you’ll get lunch, a drink, and a chance to hear me talk about how to market your business online.

Over 90% of consumers now make buying decisions on the internet, so your web marketing strategy has to be running at full force every day to attract their attention. Don’t sit back while your competitors get ahead with their web strategy, social media and web marketing. Search Engine Pros are trained search engine marketers who help you meet your online marketing goals. Outsource your marketing to Search Engine Pros and let us do all your online work while you work with your customers.

May you remember all the things you have to be thankful for this year,

From all of us at Search Engine Pros, Happy Thanksgiving everyone!

Taylor Reaume

Meet The Search Engine Pros On April 18th At Tech Brew

Meet The Search Engine Pros On April 18th At Tech Brew

SANTA BARBARA, CA – April 18, 2011  Monday – 4:30PM start. Once again The Search Engine Pros are a proud sponsor of TECH Multi-dimensional BREW MEGA MIXER/Maverick Angels and Pacific Coast Business Times. Sponsor’s also included several colleges and universities from Central and Southern California. It will be a special event at the Fess Parker Double Tree Resort on the beach in Santa Barbara, California. Come mingle with High Tech Professionals, Cutting Edge Entrepreneurs, Innovators, Investors, Community Leaders and more.

Search Engine Pros – (https://www.thesearchenginepros.com) will have a booth where they will be giving you free advice about PPC and SEO related concerns. This Mixer’s theme is: “New Current Dimensions for Successful Innovations, Entrepreneurs, Investments and Investors”.

What is TECH BREW? –Tech Brew is the region’s premier networking event for high technology professionals, cutting edge entrepreneurs and innovators, business and community leaders and related non-profits dedicated to sustainable economic development. Maverick Angels is a next generation, global network for angel and venture investors, and is presenting multiple expert speakers in Mini-Seminars.  Plus there will be a a review of funding options, mechanisms, resources and advantages to both start-ups, and growing enterprises.

Not only have we welcomed a new world helping non-profit partner — FD3– and now Co-Producer, but we are adding new elements such to make these growing gatherings more entertaining, informative, fun and an important part of the ongoing fund raising to assist the world helping enterprises and non-profits that are active in finding permanent solutions to our major global problems.

This year, TECHBREWS are also going to be launching in Los Angeles, and other communities in California and across USA.

And, the new expanded scope and breadth of TECHBREWS are now linked to the launch of The Great Rescue Mother Earth Festivals starting later this Fall. These festivals will be extraordinary international problem solving and festive expos and fund raisers. Therefore we need to review and position our supportive friends within these new dynamic atmospheres.

Currently we are ramping up the need for higher quality, engaging and interesting exhibits to appeal to expanding audiences and sponsors. We wish to have more deliberate marketing and contributing activities and efforts in exchanges for exhibiting opportunities with our past presenting partners.

We welcome your immediate exploration of your continuing involvements and levels of participation in support of TECH BREW Multi-dimensional MEGA MIXERgrowth and impacts for sustainable economic development, human and planet helping activities. Of course, both non-profit and for-profit paid exhibits, sponsorships and attendee PROGRAM advertising is available.

For information on being a Sponsor, Program advertising and enterprise or non-profit exhibit space at the April 18th TECH BREW Multi-dimensional MEGA MIXER, contact Alan Tratner at (805) 879-1729; alan@smallbizentrepcntr.org.

Written by Teresa Turner, Press Director at Search Engine Pros. Teresa can be reached by emailing press at thesearchenginepros.com