Google Ads introduced a new way to evaluate the impact of reallocating budgets from Dynamic Search Ads (DSA) or Display campaigns to Performance Max (PMax) campaigns. The update could help marketers unlock greater efficiency and drive stronger results.
How it works:
- Navigate to experiments: In your Google Ads account, head to the Campaigns section and select Experiments.
- Create a new experiment: Click the plus button, choose Performance Max experiments, and select “Test vs. Search or Display campaign.”
- Control setup: Choose an eligible DSA or Display campaign that meets statistical significance requirements.
- Traffic split: Define how much traffic will be split between the control and PMax campaign.
- Configure treatment: Build a new PMax campaign as the treatment group, ensuring assets, budgets, and bidding strategies align with goals.
- Finalize and schedule: Name the experiment, set start and end dates, and launch it.
Why we care. This update allows you to run controlled experiments in Google Ads, providing clear insights into how reallocating budgets to PMax campaigns would perform compared to traditional campaign types like DSA or Display.
This data-driven approach helps you optimize your budget allocation with confidence, leading to more efficient ad spend and improved performance.
The big picture. Performance Max campaigns leverage Google’s AI to dynamically serve ads across Google properties, often yielding performance by optimizing creative, audience, and bidding in real time. This new experiment tool could help advertisers fine-tune their budget allocations with greater confidence.
What to watch. As Google continues pushing automation and AI-driven solutions, expect ongoing enhancements to PMax and more opportunities for advertisers to optimize for ROAS (Return on Ad Spend) at scale.
Dig deeper. Google Performance Max: Everything you need to know
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