Bid strategy determines how you set your bids in ad auctions. Every major platform uses an auction system — your bid strategy tells the platform how aggressively to compete for impressions and what outcome to optimize for.
Common Bid Strategies
- Lowest Cost / Maximize Conversions: Let the platform get you the most results within your budget
- Cost Cap / Target CPA: Set a target cost per result the platform tries to maintain
- Bid Cap: Set a maximum bid per auction — full control but less delivery
- ROAS Target: Optimize for a specific return on ad spend
- Manual CPC: Set bids manually at the keyword/ad group level
When to Use What
Use automated strategies when you have enough conversion data (50+ per week). Use manual or cap strategies when you need strict cost control.
