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Google Ads Smart Bidding Strategies: Which One to Use

Maximize Conversions, Maximize Conversion Value, Target CPA and Target ROAS — what each does, and how to pick the right one for your campaign’s stage and business.

Quick answer

Smart Bidding uses Google’s AI to set your bid in every auction toward a goal. The four strategies are Maximize Conversions, Maximize Conversion Value, Target CPA and Target ROAS. Start new campaigns on a Maximize strategy to gather data, then move to Target CPA for leads or Target ROAS for ecommerce once you have steady conversions. All of it requires working conversion tracking.

📢
2026 updateFrom June 2026 Google relabelled two strategies: “Maximize conversions with a Target CPA” is now simply Target CPA, and the value version is now Target ROAS — the behaviour is unchanged. And from 17 August 2026, target-based strategies hold to your stated target more consistently even when you change budgets, so if your actual CPA or ROAS is beating your target, lower the target to lock in that performance.
1What it is

Smart Bidding sets your bids in every auction

Smart Bidding is Google’s set of automated strategies that use AI to set a bid for every single auction — called auction-time bidding — aiming at a goal you choose. Instead of guessing a cost-per-click, you tell Google the outcome you want and it works out the bid for each search.

The four core strategies are Maximize Conversions, Maximize Conversion Value, Target CPA and Target ROAS. (Enhanced CPC still exists but is effectively retired — don’t build on it.)

Free tool

Bid strategy chooser

Answer two questions and we’ll suggest where to start. (All Smart Bidding needs working conversion tracking first.)

2The four strategies

Volume now, or efficiency to a target

StrategyOptimises forBest when
Maximize ConversionsThe most conversions for your budgetNew campaigns gathering data — but it spends the full budget with no efficiency guardrail
Maximize Conversion ValueThe most total value for your budgetNew value-based campaigns (ecommerce) building data
Target CPAA set average cost per conversionLeads with roughly equal value, once you have steady conversions
Target ROASA set average return on ad spendEcommerce with variable order values and enough value history
⚠️
The Maximize trapMaximize Conversions and Maximize Conversion Value spend your entire budget every day, even on weaker traffic. Treat them as a data-gathering phase, not a permanent home.
3How to choose

Let your data maturity decide

The right strategy changes as a campaign grows:

  • 0–30 conversions → Maximize Conversions (or Maximize Conversion Value if values vary). You’re gathering data; accept imperfect efficiency.
  • 30–100 conversions → move to Target CPA or Target ROAS, setting the target at or just above your current average so you don’t shock the algorithm.
  • 100+ conversions → tighten the target gradually and test portfolio strategies across similar campaigns.

The split between the two target strategies is simple: Target CPA treats every conversion as equal (good for leads), while Target ROAS prioritises higher-value conversions (good for ecommerce, where a large order shouldn’t count the same as a tiny one).

4Requirements & pitfalls

What Smart Bidding needs to work

  • Conversion tracking must be working — the system optimises on the conversions in your “Conversions” column, so accurate tracking is non-negotiable.
  • Give it a learning period. After switching strategies or targets, expect a week or two of fluctuation before performance settles.
  • Don’t set targets too aggressively. A Target CPA or ROAS that’s far from reality will choke your volume.
  • Broad match pairs well with Smart Bidding, since the AI sets a bid per query rather than per keyword.
Key takeaways
  1. Smart Bidding sets a bid for every auction using AI, toward a goal you choose.
  2. The four strategies: Maximize Conversions, Maximize Conversion Value, Target CPA, Target ROAS.
  3. Start new campaigns on a Maximize strategy to build data, then move to a target strategy.
  4. Target CPA suits equal-value leads; Target ROAS suits variable-value ecommerce.
  5. All of it needs accurate conversion tracking and a learning period after changes.
?Frequently asked

Smart Bidding FAQs

What is Smart Bidding in Google Ads?
Smart Bidding is a set of automated strategies that use Google’s AI to set your bid in every auction, optimising for conversions or conversion value. The main strategies are Maximize Conversions, Maximize Conversion Value, Target CPA and Target ROAS.
Which Smart Bidding strategy should I use?
Start a new campaign on Maximize Conversions, or Maximize Conversion Value if values vary, to gather data. Once you have steady conversions, move to Target CPA for leads or Target ROAS for ecommerce.
What is the difference between Target CPA and Target ROAS?
Target CPA optimises for a set average cost per conversion and treats every conversion as equal, while Target ROAS optimises for a set return on ad spend and prioritises higher-value conversions.
Do I need conversion tracking for Smart Bidding?
Yes. Smart Bidding optimises on the conversions in your Conversions column, so accurate conversion tracking must be working before you switch it on.
Why did my Smart Bidding strategy names change in 2026?
From June 2026 Google relabelled the strategies, so ‘Maximize conversions with a Target CPA’ is now simply Target CPA and the value version is Target ROAS. The bidding behaviour is unchanged.
How long does Smart Bidding take to work?
Expect a learning period of roughly one to two weeks after switching strategies or targets, during which performance can fluctuate before it settles.
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Vikas Disale
Author · Digital Marketing

Vikas Disale is a digital marketer with around a decade of hands-on experience running and teaching paid search. He builds practical, example-led Google Ads training for business owners and marketers. More about Vikas →

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Google Ads Course · Bidding & Budgets