Google Marketing Live 2022 was held last month with many new improvements and features, Marketers are eager to hear about all the new features they might come across this year. But before we discuss them let’s look at Performance Max, the major feature release of Google Marketing Live 2021.
You may be wondering why a blog on Performance Max now?
Google envisioned Performace max as a full-end function with end-to-end automation with the help of Google algorithms, machine learning and data that it feeds on from a Data-driven mechanism.
With Performance Max, marketers have a goal-based automated campaign type with access to all Google inventory from a single campaign.
Our team has had their hands on Performance Max for many of our clients, and it performed better than we expected. To our surprise, Performance Max helped us deliver 20X ROAS for one of our e-commerce clients.
This is just one of many reasons why we have jotted down this article. So, in what ways does Performance Max differ from regular campaigns? And, how does it fare with other campaign types?
Let’s delve deeper into our campaign insights to define Performance Max better.
WHAT ARE PERFORMANCE MAX CAMPAIGNS?
Performance Max is a versatile campaign type that uses different channels on Google Ad’s Network, such as Display, Search, Maps, Shopping, etc., to reach a conversion goal set by the marketers. It is designed to automatically adapt to changes in real-time using automation and machine learning established by Google’s algorithms to achieve maximum conversions for the goal set by the marketer. This is achieved by showing ads on appropriate channels that are expected to perform well.
HOW DOES IT WORK
Campaign managers have much less to do, as setting up the campaign is very simplified. First, they have to provide an objective and choose conversion goals that satisfy the objective. Multiple conversion goals are set with different values to optimise the campaign to drive better ROI and achieve desirable conversions.
This is done by setting value rules. Performance Max understands the objectives and uses machine learning to automate and optimise bidding and ad placements. It uses inputs from the campaign manager, such as high-quality text, images, or video, that can significantly impact the campaign’s performance.
CAMPAIGN OBJECTIVES TO SELECT FROM(Campaign type selection)
SALES
LEADS
WEBSITE TRAFFIC
PRODUCT AND BRAND CONSIDERATION
BRAND AWARENESS AND REACH
APP PROMOTIONS
LOCAL STORE VISITS AND PROMOTIONS
DO PERFORMANCE MAX WORK ALONG WITH SEARCH ADS?
Keywords-specific Search ads have been the most trustworthy campaign type as they target a well-defined audience with the highest probability of converting. And Performance Max commends well with your search campaigns, and therefore Search campaigns have more priority over Performance Max if any query from the user matches any search keyword.
And, if it does not match, the campaign with the highest AD RANK is hierarchised as per its performance.
BENEFITS OF PERFORMANCE MAX
Performance Max is a goal-based campaign type suited for marketers with a dire setup to attain a definitive goal. It has much to offer and can scale up over time with customer data.
But automation and easing out managing campaigns are not the only benefits of Performance Max. Here I have laid down 3 other important benefits of Performance Max campaigns.
1. TARGET AND REACH A HIGHLY CONVERTING AUDIENCE.
Performance Max allows you to set objectives and goals with conversion values and inputs such as audience signals and high-quality creatives. Apart from this, it offers Google’s real-time understanding of customer intent, behaviour, and preferences. Also, you will have access to audiences from all the different channels of Google.
2. MAXIMISE TOUCHPOINTS WITH DATA AND MACHINE LEARNING
Being data-driven and with the use of Machine learning, marketers have the advantage of making accurate predictions and thus increase the touchpoints in a customer journey, ensuring better conversions.
3. GATHER MORE INSIGHTFUL REPORTS
Performance Max reports are very definitive and will inform you which creatives are performing well, thus helping you optimise creatives and drive better ROI.
WHEN TO USE PERFORMANCE MAX?
Our team has mixed reactions on when and which campaigns are apt for Performance Max from our hands-on experience.
As Performance Max is a goal-based campaign, marketers should choose it for more conversion-oriented campaigns, such as online sales or lead generation. We also recommend using them for additional reach and push for your Search Campaigns.
Though being a front runner in all Google Marketing Live events, our team has noticed that Performance Max impacts different categories of clients disparately, which has been the main reason for our mixed opinions.
We did achieve 20X ROAS for our ‘Ecommerce client,’ but that’s not the case with our ‘Online dating service client.’ We are facing higher CPA and lower traction there, which has been bleeding us out initially.
Our thoughts on why it didn't perform as we thought?
From our understanding, we have realised that this is due to the closed ecosystem of the online dating site. Google Search’s engine has fewer pages to crawl and fewer audience data due to the limitation of privacy restrictions in this category. Whereas in the Ecommerce category, most of the pages of the webstore are open and are crawled by Google’s Search engine, Google also has more access to audience data.
For Dating sites or similar client categories, our team suggests running the Performance Max campaign at a lower TCPA, allowing it to mature over time by gathering more data and signals. And, until that time, carry out other campaigns like Search, targeted Display, and Discovery on automated TCPA bidding.
Hope we have simplified Performance Max for your understanding. Now, head to our Youtube channel and watch our video on Performance Max, where our team has laid down their expertise, thoughts, and understanding. Click the button below.
Leaving us without subscribing to us. Fill in your name and mail IDs below to ensure you don’t miss out on any of our content.
We cook creative mails too. Subscribe!!!
Never mind! Our content experts wont spam you with ponderous content.