You are tracking conversions in a budget-constrained campaign. If you raise CPC bids within the budget constraint, which result is most likely?

You are tracking conversions in a budget-constrained campaign. If you raise CPC bids within the budget constraint, which result is most likely?

  • Receive more conversions while paying more on average per conversion.
  • Receive fewer conversions while paying more on average per conversion.
  • Receive more conversions while paying less on average per conversion.
  • Receive fewer conversions while paying less on average per conversion.

The correct answer is:

  • Receive fewer conversions while paying more on average per conversion.

Explanation: A campaign that’s limited by budget can still be successful and help you meet your business goals. But there might be opportunities to gain more exposure if you’re able to increase your budget. If you use manual cpc bidding in budget constrained campaign, you have to devote time to manage keywords and placement bids where the conversion is more likely to happen.

Raising only bid can’t increase the chance to improve the conversion numbers. You have to analyze and figure out those keywords and placement where conversions are more likely to happen. When you get fail to find those placements and keywords, raising manual cpc will be resulted to fewer conversions while paying more on average per conversion.

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