AdWords Automated Rules | The Good, the Bad and the Ugly
- March 14, 2011
- by Andrew Harris
Adwords Automated Rules was launched to all advertisers in February. This new feature lets you set rules which will automatically make changes to your campaigns/adgroups/keywords based on set criteria.
The video below demonstrates this new feature:
This blog highlights some of the scenarios where this feature will bring great control (the good). I will also highlight some factors that should be considered carefully before using this feature (the bad). Finally I will highlight a serious concern which should certainly be considered before implementing this feature (the ugly).
Automated rules are great for timed promotions and events. You can set rules so that promotional adverts are activated and paused on a timer. Previously this was a manual effort. You are also able to adjust bids and budgets based on performance which is great for target CPA (cost per action). If your CPA is currently below your target, you can increase your bids and budget, which in turn should help capitalise on the high converting traffic and therefore generate more sales. Similarly if CPA for a certain day is too high, then rules can be used to limit you budget and reduce your bids thus allowing you to save your precious budget for a new day.
Before adding a new rule, I highly recommend that you double check the settings. Have all the scenarios been considered? Once a rule has been applied make sure you don’t leave your campaign unattended. You will need to monitor performance carefully to ensure the rules are having the intended impact on your account.
For every new rule, you need to consider a counter rule. For example, a rule which will automatically increase your budget by 50% if CPA is less than £X may result in a large overspend. This will happen unless daily budgets are reset each day to the original required daily budget.
If this rule runs each day, an original daily budget of £100 would result in a new daily budget of £1,139 by the end of the week (£100, £150, £225, £337.50, £506, £759, £1139). Your CPA will be in line with your targets, however your marketing budget may not be able to accommodate such as large increase in spending.
Rules can fail!
The screen shot highlights that automated rules are NOT 100% reliable. Therefore you need to consider the consequences of a failed rule and always monitor your campaigns performance closely. If you have used automated rules, please write a comment and share your experience.4 Comments