Here’s an important question in current PPC days:
“What does PMax maximize, exactly?“
You go first. I’ll let you answer and then I’ll give my take.
You think: “Profits?”
My take: No.
You: “Revenue?”
Me: No.
“Conversions?”
Nope.
“Clicks?”
Nope again.
…
It’s Spend.
PMax is designed to make Google money. BIG money. And thus, it maximizes your spend.
Now, don’t get me wrong — it won’t spend without returns. That would be foolish. Advertisers like you and me would jump ship and thus total ad spend would tank.
However, here’s the thing: PMax will spend as much as it can, as long as we think it delivers a decent return.
It is your job to judge this return, NOT Google’s.
If that’s true, how should we think about enhanced conversions, consent modeling, data-driven attribution, and the likes?
– Nils