TARGET CPA

[Kumud Gandhi]

Hi Google Ads Scripts Forum,

I'd like to inquire about whether it's better to set a target CPA higher or lower than the daily budget, and why.

Thank you.

[Google Ads Scripts Forum]

Hi,

Thank you for reaching out to the Google Ads Scripts support team.

Kindly note that it's not ideal to set a Target CPA either significantly higher or lower than your daily budget in Google Ads. Please find the explanation below and set Target CPA according to your requirements

Target CPA Higher than Daily Budget:

Limited Conversions: If your target CPA is much higher than your daily budget, the algorithm might struggle to find enough clicks that could potentially convert at that cost. This can lead to fewer conversions overall, even if some fall within your target CPA range.

Target CPA Lower than Daily Budget:

Wasted Spend: Setting a target CPA too low might lead the algorithm to prioritize clicks with a very low chance of conversion just to meet the target cost. This can result in wasted spend on clicks unlikely to generate conversions.

Thanks,

Google Ads Scripts team