7 Google Ads bidding strategies for the end of 2026: growth or just pretty metrics
Since August, Google has been pulling some campaigns toward CPA and ROAS targets, and in October it expanded customer acquisition and retention modes to more campaign types. We compared which strategy builds sales and which only improves the metrics in the dashboard.
The number in the target field now works like a command
On August 17, 2026, Google Ads changed how Smart Bidding works, meaning automatic bid setting by the algorithm. The change applies to campaigns that meet three conditions at once. They have the status “Limited by budget,” use Target CPA (target cost per acquisition) or Target ROAS (target return on ad spend), and have historically outperformed their target. Google determines eligibility based on the campaign history from the last 12 months. Such campaigns are now being pulled toward the set value.
Google's Help Center gives an example. A campaign with a Target CPA of $10 that was acquiring conversions at around $5 will be shifted toward $10. A campaign with a Target ROAS of 300% that was achieving around 400% will be brought down toward 300%. The change covers Search, Shopping, Performance Max, Demand Gen, and Travel campaigns. It does not apply to app campaigns, video campaigns focused on reach and views, or manual cost-per-click bidding (Manual CPC). Google justifies it with greater predictability of results.
In campaigns covered by the change, a target set years ago is no longer just a loose guideline. The algorithm will stick to it, even if it has nothing to do with today’s margin. In October, Google also made additional modes available to more campaign types. High Value acquisition was added to Shopping campaigns, and three retention modes were added to Search, Shopping, and Performance Max. The rollout is gradual, and Google’s documentation on the days of the announcement did not keep up with the message. So availability must be checked in your own account.
The criteria we used to compare the strategies
We describe each strategy according to the same framework so they can be compared:
- who it is intended for,
- what it actually measures and optimizes,
- what risk of “pretty metrics” without business growth it carries,
- when it realistically translates into sales,
- what it requires at the start (data, customer lists, settings).
Using these strategies themselves costs nothing beyond the media budget. The cost is data, the algorithm’s learning time, and the work involved in customer lists. We rely on articles from Search Engine Journal and PPC Land, including coverage of Google announcements, as well as posts from paid-per-click (PPC) advertising companies: Location3, Digital Applied, and Miraflow. We treat the latter as the voice of practitioners, not independent analysis.
Seven strategies, one by one
1. Target CPA (target cost per acquisition)
The algorithm sets bids so that the average cost of one conversion matches the specified amount.
- Who it’s for: lead generation, business-to-business (B2B) sales, services with a simple, repeatable conversion.
- What it optimizes: the number of conversions at a set price, regardless of their value.
- Risk: if the conversion is a form submission or a PDF download, the algorithm learns to find people who fill out forms, not people who buy. Every conversion carries the same weight, so price-sensitive customers who leave quickly win out.
- When it drives growth: when data on closed sales is fed back into Google Ads and the CPA target is calculated from LTV (customer lifetime value over the entire relationship).
- At the start: stable conversion volume and a reliably defined conversion.
2. Target ROAS (target return on ad spend)
ROAS is revenue from advertising for every złoty spent. This strategy sets bids toward a specified level of that metric.
- Who it’s for: online stores with assigned order values.
- What it optimizes: revenue relative to spend, but not profit.
- Risk: a ROAS of 4.0 with a 20% margin is a completely different financial situation than with a 60% margin. The highest ROAS usually comes from brand campaigns and remarketing, which largely capture demand that would have come anyway. An overly aggressive target also shuts out more expensive auctions where new but still profitable customers are waiting.
- When it drives growth: when the target comes from product economics. A company with a 40% margin breaks even at a ROAS of 250%, because 1 divided by 0.4 equals 2.5. It only starts making money above that threshold.
- At the start: Google requires a minimum conversion history. Industry blogs usually cite 15 conversions in the last 30 days for Search and Shopping. Before making a change, check that threshold in Google’s documentation.
3. Maximize conversions or value without a target
The algorithm spends the budget to get as many conversions or as much value as possible, without a fixed cost limit.
- Who it’s for: new and small accounts with limited data.
- What it optimizes: volume or value within the budget.
- Risk: no control over the cost of an individual conversion.
- When it drives growth: at the data collection stage, before a target can be reasonably calculated. Agencies advise switching to Target CPA or ROAS after 3-4 months.
- At the start: accurate conversion tracking, nothing more.
4. High Value acquisition (acquiring valuable new customers)
The mode allows you to bid higher for new customers similar to your most valuable current buyers. It distinguishes three groups: promising new customers, other new customers, and existing ones.
- Who it’s for: e-commerce businesses that want to expand their customer base, not just serve returning buyers. It works in Search and Performance Max, and since October also in Shopping.
- What it optimizes: the value of acquiring a new customer.
- Risk: everything depends on the model list. A customer with one large, heavily discounted order may deliver less profit than someone who regularly buys smaller amounts.
- When it drives growth: when the list is based on repeat purchases and margin, and the additional conversion value reflects what the company can really afford to pay for such a customer.
- At the start: bidding based on conversion value and at least one Purchase conversion goal.
5. Re-engagement (winning back inactive customers)
The mode prioritizes customers who have not bought in a long time, but it does not exclude other audiences.
- Who it’s for: stores with a repeat purchase cycle.
- What it optimizes: the return of customers considered inactive.
- Risk: a poorly chosen inactivity threshold. A customer who has not bought coffee for 90 days may be ready to buy. A customer who bought a refrigerator 90 days ago is unlikely to be looking for a new one.
- When it drives growth: when lists are divided by product categories rather than one rule for the whole store.
- At the start: a Customer Match list marked in the Customer Lifecycle Optimization section as inactive customers.
6. Loyalty (loyalty program members)
The mode is used to reach loyalty program members with separate messaging and offers just for them.
- Who it’s for: companies that run a loyalty program with real benefits.
- What it optimizes: purchases by program members.
- Risk: this is a group that would often buy even without advertising, so it is easy to inflate the result.
- When it drives growth: when the offer for members increases purchase frequency or value, rather than just shifting a purchase that would have happened anyway.
- At the start: a separate campaign and a separate list, because a campaign can have only one retention mode at a time.
7. Retention-only (existing customers only)
The campaign is limited to selected segments of existing customers.
- Who it’s for: companies with a dedicated budget for customer retention.
- What it optimizes: sales within a known customer base.
- Risk: the greatest of all the modes when it comes to “pretty numbers.” By definition, the campaign does not expand the customer base, and its ROAS usually looks great.
- When it drives growth: when it runs alongside campaigns acquiring new customers, not instead of them.
- At the start: up-to-date Customer Match lists.
Value multipliers and the timing before Black Friday
In October, percentage conversion value multipliers, from 1.1 to 5, also came out of testing. They replace a fixed cash bonus and scale the bid proportionally to cart value. According to Miraflow, a small company with a narrow price range will gain little from them, and a simple fixed bonus will be clearer. A large store with products priced several times apart, on the other hand, may, in the company’s view, use them to direct more bidding power toward the most important carts. Still, it is worth remembering that profit does not always grow along with revenue, because margin can vary across different price ranges. Multipliers require at least 100 active people on the list.
Six questions before you move a target
Before you change strategy, check where the real problem lies. Search Engine Journal suggests a list of questions that the Google Ads dashboard itself will not prompt:
- When and on what basis was the current target set, and can anyone link it to today’s margin?
- What share of conversions comes from new customers, and what share from returning customers?
- How much of reported revenue comes from brand campaigns?
- Is the main conversion a sale or only a sign of one, and does the account learn the outcome?
- Are campaigns that meet the target losing impression share due to ad rank because the target does not allow higher bids?
- How quickly do salespeople contact leads, and are the products in stock?
The last question is often the most important. Leads waiting three days for contact or orders for unavailable products are leaks that no bidding strategy will fix.
What to choose: a small company and a large organization
If you run a small store or a one-person service business, start with maximizing conversions or value without a target and move to Target CPA or ROAS when you have gathered a few months of data. Calculate the target from margin, not from the account’s old results. Of the new modes, Re-engagement is the simplest, provided you know your customers’ purchase cycle. You can skip percentage multipliers for now.
If you manage a large budget, the account usually has enough data from the start for Target ROAS or value maximization, and the main risk is a poorly set target. First, check whether campaigns flagged by Google are not being pulled toward a target that is too lenient. Digital Applied advises distinguishing whether outperforming the target came from a deliberate strategy or from algorithm drift, and in most accounts bringing the target closer to actual results. Then combine High Value acquisition with separate retention campaigns, and apply multipliers where cart prices vary widely. Compare results with financial data including discounts and advertising costs, not with the report in Google Ads.