Google Ads has has introduced two new simulators to support advertisers using smart bidding:
- A bid simulator support for the Target ROAS bid strategy.
- A new budget simulator.
Before this update, bid simulators have only been available for campaigns set up to use manual bidding or Target CPA, so this is a huge development for smart bidding campaigns.
For advertisers, this update should prove to be hugely beneficial. Bid simulators exist to indicate the potential performance within the account at different ad levels, and the Target ROAS bid simulator has been designed to show the relationship between the ROAS target and the campaign’s key metrics.
The bid simulator works by utilising data from the auctions that have taken place over the past 7 days to show what would’ve happened with a higher target. It is worth noting however that the simulator assumes that all other variables remain the same. Essentially, the two new tools should help advertisers see if a higher target will positively impact the performance of their campaign.