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Target CPA bidding: Definition

An automated bid strategy that sets bids to help get as many conversions as possible at the target cost-per-acquisition (CPA) you set.

Note: Conversion Optimizer is now Target CPA bidding

Since Conversion Optimizer is no longer the only way to automatically bid for conversions, we’re calling this bid strategy what it is: Target CPA bidding. The change is in name only -- campaigns using Target CPA bidding will work the same way as those that used Conversion Optimizer. Learn more about all automated bid strategies

  • If your main advertising goal is getting conversions (like sales, signups, or mobile app downloads), then Target CPA bidding can help automatically get more conversions for your budget. It can also help you get more sales while paying less for the clicks that lead to those purchases.
  • Target CPA bidding uses your conversion tracking data to avoid unprofitable clicks and get more conversions at a lower cost. Based on your campaign's history of conversions, Target CPA bidding automatically finds the optimal cost-per-click (CPC) bid for your ad each time it's eligible to appear. It sets higher CPC bids for more valuable clicks and lower CPC bids for less valuable clicks.
  • Target CPA bidding requires you to set a target CPA (the average amount you'd like to pay for a conversion). The Target CPA simulator can help you estimate how changing your target CPA might affect your conversion volume.
  • A similar feature is Enhanced CPC (ECPC) which can also help you get more sales or other conversions. The main difference is that ECPC makes adjustments to max CPC bids that you manually set, while Target CPA automatically generates bids to try and meet your target CPA.
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