What is target CPA?

Target CPA is a Smart Bidding setting in which you state what a conversion may cost on average. Google Ads then sets a bid in each auction that tries to keep the cost per conversion as close as possible to that amount. It is a target, not a guarantee or a hard limit.

Why is target CPA important?

A grip on your cost: you steer on what a conversion may cost on average.
Automated bidding: the bid differs per auction, based on the expected chance of a conversion.
Runs on data: with too little conversion history, bidding becomes unreliable.

Examples of target CPA

An installer sets a target CPA of €40 per quote request.
A B2B software company chooses a target CPA of €100 per demo request.
If the target is far below the current CPA, impressions and conversions may drop instead.

How do you use target CPA?

First look at your current CPA and choose a target close to it. Lower it step by step later if things go well. Make sure your conversion tracking is right and let the learning phase finish before you adjust. A target that is too ambitious can limit your reach. We fine-tune this in Google Ads campaigns.

Target CPA