Target Metric recommendations helps you optimize your target metrics in Google campaigns.
From the Google documentation:
Using Google Ads Smart Bidding, this bid strategy analyzes and uses Google's AI to predict the value of a potential conversion every time a user searches for products or services you’re advertising. Then, Google's AI adjusts your bids for these searches to maximize your return on them.
In practice, this means if the bid strategy determines that a user search is likely to generate a conversion with high value, Target ROAS will bid high on that search. If this bid strategy determines that the search isn’t likely to generate a high-value conversion, it’ll bid low.
Based on this, a high set target ROAS will, as a result, only show your ads to prospects that are highly likely to buy your products or services. Potentially only showing your ads to customers that already know you and would have bought anyway. This can limit your growth and waste marketing budget. The flip side of this is that a low target ROAS can show your ads to people for whom it isn’t relevant, which will also waste marketing budget.
With the Target Metric recommendations based on the correct attribution data, you can use Billy Grace to find the right Target ROAS / CPA to not miss any conversions from prospects and at the same time keep control over your advertising budget. Target Metric recommendations are available after you created an Automation containing Google Ads campaigns that have these parameters activated.
In Automations Performance, you will find the tab Target Metric recommendations. the ROAS numbers you see here are imported from Google Ads. (this is not the Billy Grace ROAS).
Our algorithm starts by evaluating the current spend of each campaign and then decides whether increasing or decreasing the budget is beneficial. How we might tweak the target metric plays a part in this decision.
If a campaign is performing well and stands out from the rest, it might suggest adjusting the target metric downward, allowing for greater campaign scalability.
Conversely, if a campaign is using up its budget but isn't delivering as strongly as others, it may advise nudging the target metric upwards for enhanced results.
Always keep in mind, these recommendations align with the overall budget you've set for the automation. Consider setting up automation rules to fine-tune your total budget, and our algorithm will recalibrate its suggestions accordingly. New target metric recommendations are provided every 4 days. We advise to only follow up on recommendations once a week.