Question

How does setting a &#x27;Target Impression Share&#x27; bidding strategy in Microsoft Ads impact the control over cost-per-click (CPC) compared to manual bidding?

Accepted Answer

Setting a &#x27;Target Impression Share&#x27; bidding strategy in Microsoft Ads significantly reduces control over cost-per-click (CPC) compared to manual bidding. With manual bidding, you directly set the maximum amount you&#x27;re willing to pay for each click, giving you granular control over your CPCs. &#x27;Target Impression Share&#x27;, on the other hand, automates bidding to achieve a desired percentage of impressions in a specified location on the search results page (e.g., top of page, anywhere on the page). To achieve this target, the system will automatically adjust your bids, potentially increasing your CPCs significantly, without your direct intervention. While you can set a maximum CPC limit, the &#x27;Target Impression Share&#x27; strategy prioritizes achieving the impression share target over maintaining a specific CPC. Consequently, the system may bid aggressively to ensure your ads appear in the desired position, even if it means exceeding your typical CPC range. For example, if you&#x27;re manually bidding $1 per click and consistently appearing on the first page, switching to &#x27;Target Impression Share&#x27; to always appear at the top of the page might cause the system to bid $2 or more per click to outbid competitors and secure that top position, despite your previous CPC level.

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How does setting a 'Target Impression Share' bidding strategy in Microsoft Ads impact the control over cost-per-click (CPC) compared to manual bidding?