Now that you have your COGS set and campaigns are aligned with best practices, it’s time to turn on bid automation by setting your MACS for your campaigns and ad groups.
What is MACS?
MACS ('Max Advertising Cost per Sale') is a user-defined input that communicates with our bidder your willingness to spend. It can be viewed as your bidding strategy. Our bidding algorithm will factor in the potential payoff, conversion rate, and MACS to calculate bids at the keyword and ad group level.
How to Set MACS:
Set MACS based on your advertising goals, product margins, and current performance (campaign ACoS) to get started. MACS can be set on the Campaigns page. Learn the basics for setting your starting MACS.
- Goal: Launch → Increase Sales → Higher MACS
- Goal: Profit → Reduce Spend → Lower MACS
The MACS Calculator is a helpful tool that can be used to help to get you started. *Requires COGS.
Adjusting your MACS:
Review your MACS every 2-3 weeks to ensure they align with your current performance and goals, make changes accordingly. Learn more here.
Review the entire collection on MACS to learn more about maintaining MACS and the journey of our bidder. Understanding how the bidder works as a whole will help you understand the different phases of optimization and how certain keywords may affect your overall performance.
Pro Tip: Users who bid on fewer more high-quality keywords see a higher conversion rate than users who bid a high number of poor keywords. Continue to step 4, Keyword Actions, to understand the importance of using data to identify keywords and how to identify keywords that may be hurting your performance.