Articles on: Google Ads

Set up Target ROAS to optimize your shopping campaigns on Google Ads

Learning how to implement an effective bidding strategy is essential to maximizing the return on ad spend (ROAS) of your Shopping campaigns on Google Ads. This article will not only guide you through this process, but also direct you to useful resources to help you make full use of the tools and artificial intelligence (AI) offered by Google Ads.

Understanding how Target ROAS works

Target ROAS uses Google Ads' AI to adjust your bids to optimize your return on investment. This smart bidding strategy assesses the value of a potential conversion and adjusts your bids to maximize ROAS. If a search seems likely to generate a high-value conversion, a higher bid will be placed, and vice versa.


Before implementing a ROAS bidding strategy for your Shopping campaigns, make sure you have activated conversion tracking. Note that it's recommended to have recorded at least 15 conversions per Merchant Center ID over the last 30 days.

How to set up Target ROAS in two easy steps

Define the Bidding Strategy in your Account:

In Google Ads, click on the "Campaigns" icon.
Navigate to "Campaigns" via the drop-down menu, then select the campaign you wish to modify.
Go to "Settings" and click on "Bids", then "Change bidding strategy".
Choose "Target ROAS" from the drop-down menu and save your settings.

Select Your Target ROAS :

Your Target ROAS should represent the average conversion value you hope to achieve for each euro spent.
Set a realistic ROAS target based on your historical conversion value/cost data.

Tip: An over-ambitious target can limit your ad traffic. Find out more about setting target ROAS bids.

Tracking and optimizing your strategy's performance

Temporal analysis: let your strategy run for at least 15 days before evaluating it, and base your analyses on weekly rather than daily data for a more accurate perspective.

Expect the Results: consider conversion times and adjust your ROAS target as your marketing objectives evolve.

Check Conversion Value: Make sure you're generating enough sales and that you're close to your target ROAS by examining conversion value and the conversion value/cost ratio.

Tips for optimizing your campaign

Increase Conversion Value: To increase your sales and conversion value, tell your strategy that you're willing to spend more per conversion by gradually reducing the target ROAS.

Examine your strategy: Make sure that each strategy records at least 15 conversions per month and fully exploits the target ROAS. In the event of increased competition or shopping seasons, consider reducing your target ROAS to maintain competitiveness.

By following these steps and constantly optimizing your campaigns according to your data and objectives, you can maximize the success of your advertising efforts with Google Ads. For a more in-depth exploration of Google Ads' advanced features and strategies, check out the official documentation.

Updated on: 08/02/2024

Was this article helpful?

Share your feedback


Thank you!