Bidding overview for Hotel ads

Note: This article applies only to Hotel campaigns in Google Ads. If you haven’t yet migrated  your campaigns to Google Ads, read about bidding in the Hotel Center.

The following bid strategies are available for Hotel campaigns in Google Ads:

  • Manual CPC (cost-per-click): Bid a fixed amount whenever a traveler clicks on your ad.
  • CPC%: Bid a percentage of the room price per night when a traveler clicks on your ad.
  • Enhanced CPC: Used with CPC bidding, this strategy lets you automate bid adjustments for clicks most likely to lead to conversions.
  • Commissions (pay-per-conversion): You bid a fixed percentage of room booking value for every time a traveler books through your ad.

This article contains the following sections:

Choosing a bid strategy

Bidding strategy

Type

When to use

Optimizes for

What you can control

Commissions (pay-per-conversion) Automated You want to maximize the number of conversions while keeping costs predictable. You bid a percent of the booking value, and the bid is automatically adjusted. Conversion value Cost per conversion
Enhanced CPC Semi-automated You want to automate chosen bid multipliers to prioritize your best converting traffic.

Note: Works only with the Max CPC bidding strategies. Requires conversion tracking.

Conversion rate
  • Campaign Budget
  • Bids
  • Bid adjustments
CPC% Manual You want to maximize clicks by bidding a percentage of the hotel price per night. You want to use Enhanced CPC to automate bid multipliers, or manually adjust bid multipliers. Clicks
  • Campaign budget
  • Cost-per-click
  • Enhanced CPC
  • Bid adjustments
Manual CPC (fixed) Manual You want to maximize clicks by bidding a fixed bid amount per night. You want to use Enhanced CPC to automate bid multipliers, or manually adjust bid multipliers. Clicks
  • Campaign budget
  • Cost-per-click
  • Enhanced CPC
  • Bid adjustments

Notes:
  • Conversion tracking is required for the Enhanced CPC and Commissions (pay-per-conversion) bid strategies.
  • You can't use bid adjustments with the Commissions bidding strategy.

Bid levels

Bid strategies are set at the campaign level during campaign setup. Learn how to change your bid strategy

For Commissions pay-per-conversion bidding, you can also set the bid amount at the campaign level.

For Manual CPC and CPC% bid strategies, you set the strategy at the campaign level. For CPC% you can set a maximum effective bid limit at the campaign level. Specific bid amounts however need to be set at the ad group level.  Learn how to change your ad group bid

The following table summarizes where bids of each type can be set, and whether they can be combined with Enhanced CPC or manual bid adjustments.

Bid strategy

Level where bid amount/target is settable

Strategy works with...

Campaign Ad group Hotel group ECPC Manual bid adjustments
Automated
Commissions (pay-per-conversion) YES Pause only** Pause only** NO NO
Manual
Manual CPC (fixed) NO  YES YES YES YES
CPC% NO * YES YES YES YES

 

Notes:

* You can't set a specific CPC% bid at the campaign level, but can set a maximum effective bid limit.

** For Commissions bidding, you can pause ad groups and hotel groups from running in a campaign, but can't set their bid amounts at the ad group or hotel group level.

Manual bid adjustments

Bid adjustments can be used only with the Manual CPC, CPC%, and Enhanced CPC bid strategies. You can adjust your bid by factors such as traveler location, device type, length of stay, check-in day, date type, advanced booking window, and audience list.,

Learn more about bid adjustments for Hotel campaigns

Qualifying for auctions

When a traveler executes a search that would result in Hotel Ads being displayed, Google first fetches available prices for hotels and then runs the auction. After the results of the auction, Google displays the ads with the winning bids to the end-user.

Several factors can affect whether your bids qualify for inclusion in the auction:

  1. Itinerary matching: Rates from your Hotel Price Feed must match the end-user's exact itinerary. For example, if the traveler searches for a 3-night stay that starts on July 14, then you must have submitted rates that exactly match 3 nights, starting on July 14. No other rates for any other combinations of lengths of stays/check-in dates will be considered for the auction.
  2. Note: For a particular itinerary, only 1 CRS (Central Reservation System) is eligible to show their ads.
  3. All-inclusive vs itemized rates: Your participation in an auction can depend on whether you provide all-inclusive rates or itemized rates (rates that break out taxes and fees).
    1. For the US and Canada: Hotels with all-inclusive rates are only included in the auction if no hotels with itemized rates bid.
    2. For all other countries: Hotels with all-inclusive rates and itemized rates are treated the same.
    3. Incomplete rates: Regardless of geographic location, hotels with incomplete rates are only included in the auction if no other hotels with all-inclusive or itemized rates are part of the auction. Incomplete rates are when Google detects that tax information is missing or incomplete, or if the taxes are set to 0, but the price is not tagged as all-inclusive.
    4. Account status: If your account has been disabled due to Price Accuracy Policy violations, your hotels will not be included in the auctions.
    5. Campaign budget: If your Hotel campaign has exceeded your budget, then your hotels will not be included in the auction and you may see a "limited by budget" status. Learn how to manage your campaign budget
    6. Account budget: If you use an account budget (monthly invoicing), and the sum of your campaign spend exceeds your account budget, your ads will not serve.

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