Google is releasing a device based bidding system in AdWords next month. It means advertisers can set individual bid adjustments according to device type: mobile, desktop and tablet. It is going to be a significant change as advertisers will have more control over their bidding on campaigns. This significant announcement came during Google Performance Summit in San Francisco earlier in this month. Google also stated that it now handles trillions of searches globally per year and more than half of the searches start on mobile devices.
The bids are usually tied to desktop when mobile usage is ascending so rapidly over the years. Advertisers face challenges to scale mobile which has been limited to a desktop multiplier. To address this issue, Google has announced this to help advertisers set bids for each type of device easily.
Now, advertisers can set a base keyword bid to the most valuable device for business and set bid adjustments for other devices as well. It will provide a wider range to adjust bids and it is up to +900%, according to Sridhar Ramaswamy, senior vice president of Ads and Commerce, stated in the blog post while announcing the update.
The device bidding will be used applied to all campaign types, even when keyword targeting isn’t used, as in shopping campaigns.
It means tablet bidding is back and the base bid can be applied to mobile with bid modifiers set for desktop or tablet. But, this move is a retreat from earlier enhanced campaigns which group desktop and tablet together in a base bid.
“Google saw the fast growth of mobile search behaviour on the web but advertisers weren’t ready for that change. But, now advertisers want to start on mobile and get more opportunities from mobile first initiative” according to Jerry Dischler, chief of product management of AdWords.
Advertisers can set a default bid/base bid for one device and has the option to set bid adjustments for other two in -100 to +900 per cent, which was only 300 earlier. If you’re not setting a bit adjustment, it means not setting a mobile bid adjustment and default max CPC desktop/tablet will also apply to the mobile device.
For instance, advertisers can set base bid to mobile and set bid adjustments for desktop and table easily to make mobile the baseline.
But, device level bidding will still use bid plus bid adjustment format of enhanced campaigns.
Google isn’t supporting having multiple campaigns for targeting different devices. This is an important change with greater control, optimization and greater precision in targeting consumers from a single campaign in different devices. It will be interesting to see how advertisers will put this new functionality into practice. Surely, it will bring a lot of discussion about best practices and approaches in the industry. Till then, let us wait and see how it is received by the advertiser community next month.