Troubleshooting performance changes on Conversion Bid Strategy campaigns

This article outlines different reasons that could be causing performance change on your Conversion Bid Strategy Campaigns, and help you understand why these happen and what you can do to navigate them.

Before you begin: The success of your Conversion Bid Strategy starts with choosing the mode and settings that best match the goal your campaign is optimizing towards. To make sure you’re using the right mode based on your business objective, please refer to this article

Common reasons for performance changes and how to resolve them

1. Conversion tracking setup & conversion volume

Conversion tracking is one of the most important pillars of your Conversion Bid Strategy campaigns. In case you notice any sudden performance drops or if your newly created campaign isn’t working as expected, please make sure your pixel is implemented correctly and that conversion setup is working as intended.

Keep in mind: the higher the conversion volume, the less performance changes you can expect.

2. Click-through rate (CTR) performance

Performance changes can be caused by a drop in CTR so make sure to monitor it regularly and ensure your ads and landing pages are relevant to your users.

A healthy CTR means the algorithm is more likely to serve your ads to more users, bringing you more inventory at a lower CPC, which in turn improves your CPA performance.

3. Targeting limitations

If your campaign is targeting a smaller audience or if it’s limited by narrow location settings, it might be more likely to have performance fluctuations. Narrow targeting means there is a smaller pool of users and fewer opportunities for your content to be shown.

4. Recent changes to campaign settings

Any bigger changes to your campaign, such as adjusting the budget, target goal, bids, targeting or content, can cause your performance to change.

5. Budget settings

Performance changes might be a result of a budget that is too limited based on your conversion goals.

For example, if you are running a campaign that is generating less than 3 conversions per day, you might see more performance changes since the algorithm doesn’t have sufficient data to optimize.

6. CPC settings

Your campaign might be more likely to have performance fluctuations when it’s limited by low CPC settings. Setting strict bid limitations, limits the algorithms’ ability to modify your bids to the level that best meets your goals.

7. Auction dynamics and market fluctuations

Market conditions and actions of other advertisers, who are targeting the same audience as you, can affect your campaign’s performance.

For example, during the holiday season the competition on the market increases, which affects inventory prices.

8. Target CPA/ROAS goal settings

If running a Target CPA or Target ROAS campaign, make sure to set a realistic target to not limit the system in achieving your goal.

For example, setting a goal that is too low, may result in the system missing out on traffic that could lead to a conversion, resulting in fewer total conversions and causing performance changes.

Please note: It is completely normal for your campaign performance to vary. If you’re seeing any sudden performance changes over a longer period of time and have excluded all the below reasons, please reach out to our Customer Success team for support.

To learn more about Conversion Bid Strategy, click here.

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