Google Smart Bidding.
Everybody’s talking about it and to a certain extent, it’s unavoidable.
For those who maybe aren’t as familiar, Smart Bidding is a set of conversion-based bid strategies that make use of machine learning to optimise your bids when they enter the auction. It takes into account over 70,000,000 signals to make sure each bid is tailored to maximise on both conversions and conversion value.
As an agency we believe there are so many advantages to using Smart Bidding:
However, not everyone understands or appreciates the advantages Smart Bidding can bring your business. We’ve decided to share with you a few of the most common objections to smart bidding we come across and how we respond to them…
Objection: Trusting Google with so much influence on bids.
Our Response: Why would you not trust Google? They’ve invested so much in their artificial intelligence (AI) in recent years, so it’d be foolish of them to push it so hard if they weren’t confident about it being able to work longer term. A human will learn how to be a better Account Manager or to do bit optimisation a little better over a few years, but realistically, you hit a level where you’ll consistently be able to do bid optimisation. On the flip side of that, smart bidding eliminates any potential human error, which is mega and offers peace of mind.
Objection: Its reaction to swings in seasonality.
Our Response: This is no longer an issue; once it may have been when the machine learning wasn’t as good as it currently is, however the machine learning and smart bidding strategies have improved immensely in the last 6-12 months, meaning we can trust Google’s smart bidding to be quick to react during busier times.
Objection: Of everyone is using automation, where is the advantage/ who has the advantage?
Our Response: You win by having a finely tuned shopping feed, ad text, prices, promotions, websites and user experience.
Objection: Control over what products are being sold.
Our Response: This is on the Account Manager – Client relationship to understand margins, how to structure certain campaigns, and where you need to be optimising smart bidding.
Objection: Fear about AI and machine learning.
Our Response: This is about how we deal with the conversations and how we approach them with clients. We’ve been aware of the ‘fear’ but we understand that AI won’t necessarily take our jobs, and on the flip side, can make us better. We now know how to optimise it and get the best out of it, so it’s nothing that should be feared.
Objection: Who policies Google?
Our Response: Us to a degree. It’s partially self-policed too; if Google just let it run away, Google will lose out in the long-term as advertisers could potentially move away from smart bidding.