If I have a limited budget in a campaign and I raise my CPC (Cost per click) bids, will I improve my conversions?
The answer is no.
If a campaign with a limited budget is not profitable, raising your bid only will not improve your number of conversions, and you are likely to pay more on average per conversion.
To get more conversions if your campaign is not profitable and limited by budget, you need to manage your keywords and placement bids to find opportunities where conversions are more likely to happen.
If your campaign is profitable, and you’re in a position to increase your budget you should do so.
Increasing and decreasing bids
Increasing your bids may increase the number of conversions, but at a higher CPA (Cost per acquisition).
Decreasing your bids may decrease the number of conversions, but at a lower CPA (Cost per acquisition).
Find the right balance between your bids and CPA (Cost per acquisition).
Extract from my Book ‘Making Google Ads Work’.
