Glossary - PPC Bidding and Budget

The amount you allocate to a Google Ads campaign on a daily basis — controlling how much you can spend on clicks.

The amount you pay each time someone clicks your ad — one of the most fundamental metrics in paid search advertising.

The total amount spent on paid advertising in a given period — distinct from management fees or other marketing costs.

The method Google Ads uses to set your bids — from manual control to fully automated strategies optimising for conversions or revenue.

A Smart Bidding strategy that automatically sets bids to maximise conversion value at a target return on ad spend.

A Smart Bidding strategy that sets bids automatically to get as many conversions as possible at your desired cost per acquisition.

A bidding strategy where you set individual bid amounts for each keyword, giving you full control over what you pay per click.

Google's automated bidding strategies that use machine learning to set bids in real time, optimising for conversions or revenue.

The score Google calculates to determine where your ad appears on the search results page — not just based on bid, but on quality too.

Google's 1–10 rating of how relevant and useful your keyword, ad, and landing page are — a major factor in your ad position and cost per click.