A marketer is keeping track of the revenue generated by his campaign. He wants to see a specified return-on-investment for his monthly ad spend. Which type of automated bidding strategy will meet his needs?

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Bhupati Barman

Flat-style educational illustration comparing automated bidding strategies with ROI focus, highlighting the correct choice: revenue-focused bidding strategy.

While studying for my Google Ads Bidding Strategies Certification, I came across a real-world scenario that many advertisers face:

“What’s the best bidding strategy when your main goal is return on investment (ROI)?”

This question helped me understand how Google Ads’ smart bidding works — especially when your campaign isn’t just about clicks or conversions, but actual revenue.

In this post, I’ll break down the exact exam question, explain why revenue-focused bidding is the right answer, and show you how strategies like Target ROAS help you spend smarter. You’ll also get real examples, a comparison chart, and FAQs to master the topic easily. Let’s start,

Question:

A marketer is keeping track of the revenue generated by his campaign. He wants to see a specified return-on-investment for his monthly ad spend. Which type of automated bidding strategy will meet his needs?

  • A consideration-focused bidding strategy
  • ✅ A revenue-focused bidding strategy
  • An awareness-based bidding strategy
  • A conversion-focused bidding strategy

Here is the correct answer: ✅ A revenue-focused bidding strategy

If you’re interested, you can take the exam here: Google Ads Display Certification via Skillshop.

Why This Is the Correct Answer

A revenue-focused bidding strategy is the right fit when the goal is to maximize ROI (Return on Investment) — not just get more conversions, but more valuable ones.

This strategy uses Google’s machine learning to adjust bids in real-time based on:

  • Predicted conversion value
  • Past campaign performance
  • Real-time signals like device, location, and audience

The two main revenue-focused strategies are:

  • Target ROAS (Return on Ad Spend) – sets bids to help you reach a specific ROI
  • Maximize Conversion Value – focuses on bringing in the highest-value conversions regardless of number

✅ Example: If you spend $100 and want $500 in sales, you’d use a Target ROAS of 500%.

Why the Other Options Are Incorrect

A consideration-focused bidding strategy

  • Focuses on clicks or engagement, not revenue.
  • Strategies include: Maximize Clicks, Manual CPC

An awareness-based bidding strategy

  • Optimizes for visibility — not performance or revenue.
  • Strategies include: Target Impression Share, CPM (cost per thousand impressions)

A conversion-focused bidding strategy

  • Aims for more conversions, but not necessarily more valuable conversions.
  • Works best if all conversions are of equal value.
  • Strategies include: Maximize Conversions, Target CPA

Google Ads Bidding Strategy Comparison

Bidding Strategy TypeGoalBest For
Revenue-focusedMaximize conversion value / ROIE-commerce, high-ticket sales
Conversion-focusedGet more conversionsLead gen, uniform value products
Consideration-focusedIncrease site trafficEarly-funnel awareness
Awareness-basedBoost impressions & visibilityBranding, reach campaigns

Bar chart comparing average revenue per conversion for different bidding strategies: awareness-based, consideration-focused, conversion-focused, and revenue-focused.
Revenue-focused bidding delivers the highest average revenue per conversion, followed by conversion-focused, consideration-focused, and awareness-based strategies.

Real-World Example: Emma’s Online Store

Emma runs a boutique selling luxury leather bags ranging from $50 to $500. She used Maximize Conversions at first, but noticed most sales were of her lower-priced items.

She wanted to change that and target higher-value buyers, so she switched to Target ROAS.

Within weeks:

  • 📈 Average order value went up
  • 💸 More high-ticket items were sold
  • 📉 Cost per sale stayed within budget

That’s the power of a revenue-focused bidding strategy.

FAQs

Q: What’s the difference between Target CPA and Target ROAS?

Target CPA focuses on the cost per conversion. Target ROAS focuses on the revenue value of each conversion.

Q: Can I use revenue-focused bidding with any type of campaign?

Yes — especially effective for Search, Shopping, and Performance Max campaigns.

Q: How do I track conversion value?

Use Google Ads conversion tracking and assign values to each type of conversion in your account settings.

Helpful Resources:

Final Answer:

If your marketing success depends on return-on-investment, the best strategy is ✅ a revenue-focused bidding strategy.

It gives you the power to tell Google: “Don’t just bring me leads — bring me the most valuable ones.”

Now, if you are ready, you can take the Google Skillshop test for the Google Ads Display Exam. Want more real exam questions with easy answers like this? Follow along — I’ll be breaking down more Google Ads Display Measurement Certification Free examples in the next posts!