Drive 35% more Conversion Value with Target ROAS

Table of Contents

What is Google Ads Target ROAS

Target ROAS is a Google Ads Smart Bidding solution that uses exclusive, auction-time bidding capabilities to automatically set the right bid for each auction and help you get the highest conversion value possible at your target return on ad spend (ROAS).

  • Target ROAS bidding system predicts conversion values for every single auction on Search, Display, and Shopping.
  • Target ROAS for Shopping also takes your data feed into account as a signal for bidding.
  • Target ROAS is Google Ads Smart Bidding strategy that helps you get more conversion value or revenue at the target return-on-ad spend (ROAS) you set.
  • Target ROAS lets you bid based on a target return on ad spend (ROAS).
  • Target ROAS is available as either a standard strategy or portfolio strategy across multiple campaigns.
  • Target ROAS can be applied at Campaign and Ad-group levels.

When to use Target ROAS Bid Strategy

  • You want to drive campaigns to a specific Return on Ad Spend.
  • Use when conversions have different values and you want them to meet a target return.
  • You have multiple conversion actions and want to weigh each individual conversion based on its total value.
  • Do not use it when you do not know the different values of your conversions.
  • You’re an eCommerce or lead generator business.

Requirements - Target ROAS Bid Strategy

  • You must be tracking conversions and conversion value.
  • Your campaign has at least 15 conversions** in the last 30 days that are passing conversion values through Google Ads.

Target ROAS with Shopping Campaigns

  • Median increase in Shopping campaigns using the Target ROAS Smart Bidding strategy.
  • Target ROAS for Shopping campaigns needs at least 20 conversions in the last 45 days unless using Smart Shopping Campaigns, which have zero eligibility.
  • The time period analyzed is 7 weeks.

What does Target ROAS stand for

Target ROAS stands for Target Return on Ads Spend.

About the Author

Zabi Niazi - Director of Search Marketing SEM and SEO

Hands-on execution & Revenue-focused digital marketer with expertise in Design & Operations centered around people, processes & technology engineering a Demand-Gen Engine capable of delivering innovative experiences that tell the brand story and map to the buyer's journey generating awareness, acquisition, retention, and advocacy.