Smart bidding strategies with Call Tracking

by | May 18, 2021

There are numerous possibilities, media and channels marketers can use to increase sales. Using Google Ads or the right bidding strategy are the most common.

We therefore want to share a little insight into the most useful and effective bidding strategies using Call Tracking.

Bidding strategy: CPA target

Thanks to CPA (Cost Per Acquisition) target, marketers always have their costs under control and this is therefore a very popular bidding strategy. Since significantly more targets are reached with additional call conversions for the same budget, the Google algorithm can play out ads more often than with pure clicks.

Those who have a homogeneous product portfolio are well advised with this strategy. However, in reality, the value of a lead can vary anywhere between €5 and €5,000 and the CPA target does not take this bidding variance into account.

The goal: ROAS target

The ROAS (Return of Advertising Spend) target can certainly be seen as an extension of the CPA target, but here the revenue generated by a lead is also taken into consideration.
In this bidding strategy, the algorithm not only takes into account the probability of sale, but also the sale total – an important factor when handling a broad product portfolio.

For Call Tracking, there are three sensible variants for turnover transfer here:

  1. Defining fixed conversion values, depending on the respective department or product URLs
  2. Evaluating the call and/or turnover, with information entered by the sales representative via telephone keypad
  3. Integrating into CRM systems with subsequent Google Ads commercial fee. 

The advantage of the ROAS target is the flexible approach offered by the bidding system; the more conversion data available, the better Google Ads performs.

Maximizing conversions

The name says it all – maximizing conversions with Call Tracking is a bidding strategy that will increase your call numbers and make full use of your daily budget.

However, in practice, we have seen that while the budget is completely exhausted, the significant increase in the number of calls is not necessarily matched by a corresponding increase in the quality of the leads gained.

Maximizing conversion value

This bidding strategy can significantly improve lead quality in addition to increasing call volume. In this instance, the daily budget is also fully utilized; clean tracking and dynamic turnover transfer (CRM integration) are minimum requirements.

Those who focus on fewer but larger revenue generators may find this to be the more suitable strategy.

What strategy would we recommend?

While we should be aiming for the ROAS target, experience shows that collecting data is key, especially in the beginning. For those with time on their side, they should start by “maximizing clicks” for 30 days, then spend another 30 days “maximizing conversions”, and subsequently implement CRM integration for the ROAS target to begin from this point onward. With the appropriate experience, the CPA target can also be used in the second month, but it must first be defined realistically.

May 18, 2021

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