Google continues to broaden its advertising opportunities as machine learning and artificial intelligence become more and more sophisticated.
In late 2021, Google announced a new campaign type – Performance Max – which allows advertisers to reach and convert their target audience across all of Google Ads inventory within a single campaign. Google properties include YouTube, Display, Search, Discover, Gmail, and Maps as illustrated below.
Performance Max campaigns are for goal-based initiatives, since they focus on finding additional users across the Google Network who are likely to convert based on the advertiser’s specified conversion goals. The campaign objectives that support Performance Max campaigns are “Sales”, “Leads”, “Website Traffic” and “Local store visits and promotions.”
Google is able to find these “likely to convert” users by utilizing Smart Bidding along with budget optimization, audiences, creatives and other automation technologies. All of these signals allow Google’s machine learning to optimize campaign performance in real time and to serve ads to the most qualified users in optimal channel placements. Campaign success does still depend on the data that the advertiser is able to provide; this includes business objectives, proper conversion goal set-up and tracking, high quality ad copy and images, and audience signals (such as first party customer data).
Advertisers who have specific advertising / conversion goals, such as lead generation or online sales, are the ideal users for this campaign type. Without this type of advertising goal, Performance Max campaigns will not have conversions to optimize against, and in turn will not perform as designed.
In addition, the advertiser must not have limitations on what channels ads may appear on (but rather should embrace), as ads can and will reach users across Google Ads inventory that is likely to increase performance.
By allowing Google the flexibility to serve ads outside of specific targeting dictated by the advertiser, Performance Max campaigns can give insights into creative that is impacting performance, reveal new audience segments that may not have previously been considered or targeted, along with unveiling rising search trends that may impact overarching business objectives.
Performance Max is the next big step in the direction of compliant campaign automation, especially when considering the increase in privacy concerns across digital channels.
If you want to learn more about Performance Max and other digital advertising opportunities, please reach out to your dedicated client strategist or contact us today.