Google continues to increase the use of automation in its advertising services. Let’s give a big welcome to the newest member, Performance Max Campaigns. While everyone is still finding their footing with this new campaign type, we have been given some important information to keep in mind. Follow our experts as we talk about what exactly performance max campaigns are, how they work, our pros and cons, and what they mean for your business.
What Is Performance Max?
Performance Max Campaigns are the latest advertisement class Google has incorporated into its repertoire. This campaign type took over Smart Shopping, as well as, Local campaigns in 2022. These campaigns are goal-based and focus on optimizing ad performance to hit conversion goals. It also allows advertisers to build out a single campaign that works across the entire Google Network. They allow advertisers to optimize ads across YouTube, Display, Search, Discover, Gmail, and Google Maps from a single source. This means less work since advertisers would not need to create multiple campaigns. Performance Max ads are also intended to work alongside your keyword-based Google Search Campaigns.
Google also plans to add new features to Performance Max ads to help individualize and optimize ads even more. So, keep an ear out for these changes to see if they will benefit your business.
How Do Performance Max Campaigns Work?
Google uses AI, or automation, to track and optimize the performance of your advertisement to fit the needs of your business. Simply put, the AI learns from data analysis what does and does not work. By giving the advertisement a framework, such as a budget, goals your business wants to reach, and conversions you want to measure, Google Ads will build out ads that should perform best and hit the target audience.
Performance Max has four main techniques to help reach your business goals:
- Increase conversions and values by using automation and smart bidding in real time.
- Find new customers by using AI to create audience segments based on data from ad performance.
- Give you richer insights via the Insights Page where Max Performance has been added.
- Working together with automation by providing creative assets and your knowledge of audiences to steer AI in the right direction.
If you want to learn a bit more about Max Performance Ads, watch the video below:
What Pros & Cons Have Our Experts Found With This New Campaign?
We have started using Performance Max for some of our clients and so far like the results we see. There are a few areas for improvement in our eyes, so we’ll share our pros and cons with you.
Pros
- We love that Max Performance works across the entirety of Google Networks.
- A great mixture of assets for individualization during targeting.
- They use automated video creation, which is especially helpful for those intimated with building their own.
- Allows you to help steer the campaign to the right audience.
Cons
- Limited reporting: It can take 6-8 weeks to see data and stable performance. We also want to know which assets are working best so we can tailor future campaigns.
- Less control with smart bidding and automation. We appreciate AI, but also like the human component.
- They are very new which means that many changes and updates will be happening.
What Does Performance Max Mean For Your Business?
Performance Max Campaigns are intended for retail and eCommerce businesses and they can help bridge the gap between online and in-store goals. Additionally, we have found great success using it for brand awareness. They offer more inventory and formats that can help you reach your intended audience. More importantly, you can A/B test to measure incremental uplift that each campaign is driving.
According to Google, “Performance Max allows you to promote your business across all Google Ads inventory. As a result, you can show up for more customers and drive more conversions based on your goals.” This is still a new feature and there will be a learning curve for many people. However, Google is giving businesses a streamlined way to advertise to target audiences and it is promising.
Google also plans to roll out new features catered toward retail businesses such as a feature to showcase inventories in local stores on their ads, integration of loyalty rewards programs to entice customers, and more. So stay tuned!
Stay Cyberlicious®, Stay Up-To-Date
Our specialists at Cyberlicious® are slowly integrating Performance Max campaigns for our eCommerce clients. So far, we like what we see and are excited to see how this changes the advertising game! We also know that working with Google Ads and building campaigns can be daunting. If you want to see what Cyberlicious® can do for your business goals, take a peek at our Advertising Services or schedule a consultation today!