Is CPA with broad match worth it for new camp?
We’ve been running Google Ads with Enhanced CPC for a while and noticed that most of our high-quality leads, and about 90% of our revenue, came from California, even though only 10% of our budget was spent targeting the state. This made it clear that focusing on California could significantly improve our ROI. However, when we launched a campaign specifically targeting California, it seemed like Google penalized us for over-optimization, as our ads barely showed up. Now that Enhanced CPC is no longer available for our account, we’ve switched to Target CPA, but the results have been disappointing. Lead quality has dropped significantly, and acquisition costs have gone up substantially. I’m considering running Target CPA campaigns specifically for California again, but this time starting with broad match keywords instead of exact or phrase matches. My reasoning is that Google might favor broad match campaigns initially and, as we gather more data and impressions, it could help improve performance and eventually benefit phrase and exact match keywords. While this could lead to higher spends initially, I suspect competition for broad match keywords in our industry might be low, potentially resulting in cheaper clicks and some relevant leads. Does this strategy make sense? Or should we explore alternative approaches to improve performance?