Google Ads has announced a significant change in its bidding strategy, as the company plans to discontinue its Enhanced Cost-Per-Click (eCPC) option for search and display ad campaigns. This move marks the end of an era for one of Google’s earliest smart bidding options, signaling a shift towards more advanced AI-driven bidding strategies. Existing campaigns using eCPC will have until March 2025 to transition to manual CPC or newer alternatives recommended by Google.
Transition Timeline
Starting October 2024, new search and display ad campaigns will no longer be able to select Enhanced CPC as a bidding strategy. However, existing eCPC campaigns will continue to function normally until March 2025. From March 2025 onwards, all remaining search and display ad campaigns using Enhanced CPC will be automatically migrated to manual CPC bidding. Advertisers who prefer not to change their campaigns before this date will see their bidding strategy default to manual CPC.
Impact on Display Campaigns
For advertisers running display campaigns with the Maximize Clicks strategy and Enhanced CPC enabled, no immediate action is required. These campaigns will automatically transition to the Maximize Clicks bidding strategy in March 2025, ensuring a smooth transition without disruptions in campaign performance.
Reasoning Behind the Change
Google introduced Enhanced CPC over a decade ago as its first Smart Bidding strategy. However, the company has since developed more advanced machine learning-driven bidding options, such as Maximize Conversions with an optional target CPA and Maximize Conversion Value with an optional target ROAS. In an email to affected advertisers, Google highlighted the potential for these newer strategies to deliver comparable or superior outcomes, leading to the decision to phase out Enhanced CPC.
Recommended Alternatives
Google recommends exploring its more advanced, AI-driven bidding strategies as alternatives to Enhanced CPC. These strategies, including Maximize Conversions and Maximize Conversion Value, offer additional flexibility with optional target CPA or ROAS settings, providing advertisers with more control over their campaign goals. By leveraging these strategies, advertisers can potentially improve campaign performance and efficiency while adapting to the evolving digital advertising landscape.
Preparing for the Change
In preparation for the transition away from Enhanced CPC, advertisers are advised to evaluate their current reliance on the bidding strategy and explore alternatives. This proactive approach involves assessing how newer AI-driven bidding strategies can be integrated into their campaigns, considering transitioning some campaigns earlier to adapt gradually, and leveraging tools and resources provided by Google to maximize performance and efficiency. By taking these steps, advertisers can effectively manage the upcoming changes and explore opportunities for enhancing their advertising efforts.
As Google continues to push towards more sophisticated, AI-driven bidding strategies, advertisers can expect to see ongoing developments in the digital advertising space. The transition away from Enhanced CPC signifies a broader trend towards utilizing advanced technologies to optimize campaign performance and achieve advertising goals effectively. By staying informed and proactive in adapting to these changes, advertisers can position themselves for success in the evolving landscape of online advertising.