Conversion Optimizer

Conversion Optimizer is an AdWords feature that seeks to maximize the number of conversions in your campaigns.   This is how Conversion Optimizer works:

  1. You set a maximum budget for your AdWords campaign;
  2. You pick a goal for your campaign (i.e., you want to get leads to feed your sales team, or you want to sell products directly on your website);
  3. And then you set either a maximum CPA (cost-per-acquisition) bid, which is the most money your willing to pay for a single conversion, or you can set a target CPA, which is the average amount of money you are willing to pay for each conversion.

After you setup Conversion Optimizer by following these steps, Google will attempt to spend your entire budget while maximizing conversions.  You should compare Conversion Optimizer with ECPC (Enhanced Cost-Per-Click) bidding, which is another bidding strategy that seeks to maximize conversions.