A Smart Bidding strategy where you set the conversion value you want back for each rupee spent, and Google bids to get as much conversion value as it can at that average return.
Example
Meera sets a Target ROAS of 400%, meaning she asks for ₹4 of tracked sales for every ₹1 of spend. Google's tool shows the target as a percentage, so 4x is entered as 400%.
How you'll hear it
“If we push Target ROAS too high, spend will drop and we'll lose volume.”
Don't confuse it with
- ROAS: the result you measure; Target ROAS is the setting that steers bids.
- Target CPA: aims at a cost per conversion, ignoring order value.
Related terms
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Sources
- About Target ROAS bidding, Google Ads Help