Choose target ACoS
The target ACoS is your desired ACoS.
Advigator uses it to calculate bids per click for each keyword/target so that the campaign group's actual monthly ACoS is as close as possible to the target ACoS.
Recommended Starting Values
If you just signed up, choose a target ACoS close to your current monthly ACoS. Once you see orders and clicks flowing, gradually adjust it to your desired long-term value.
5-10%
5-10%
10-20%
15%
20-30%
25%
30-40%
30%
50 - 100%
30-40%
This way, the campaigns are more likely to generate traffic because the bids per click will be similar to before. If you choose a target ACoS that is much lower than the historical ACoS, you risk that the campaigns will not generate spending.
Change Target ACoS
You can change it anytime, and it will immediately change bids in your campaigns.
If you increase the target ACoS, your bids per click will rise. Campaigns will spend their daily budget more quickly, causing your product to appear higher in sponsored search results and attracting more clicks. However, since the cost per click (CPC) will increase, the final ACoS will also rise, reducing the product's profitability. Therefore, it's important to understand the risks and have a well-planned daily budget when increasing the target ACoS.
If you lower the target ACoS, your cost per click will decrease, causing campaigns to spend their budget more slowly and resulting in your product appearing lower in search results. If you reduce it too much, your product may not show up at all.
Increase Target ACoS
Better sponsored positions
High impressions / clicks
Lower profitability
Budget spent faster
Reduce Target ACoS
Higher profitability
Lower clicks
Budget not spent
Bids per click change proportionally to the target ACoS. For instance, if you increase the target ACoS from 15% to 30%, the bids will increase by 100%. Conversely, if you reduce the target ACoS from 30% to 15%, the bids will decrease by 50%.
The optimal long-term Target ACoS
In general, we recommend a Target ACoS between 5-30% so that campaigns are slightly profitable and you can keep them active in the long run.
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