Why You ALWAYS Need a Campaign Objective

Mar 06, 2023

There are countless numbers of Youtubers recommending that you should never choose a campaign objective when you are setting up a new campaign.

Unfortunately, this advice is just plain wrong, and what’s worse is that it is wrong on so many levels.

When setting up a new campaign in Google Ads, one of the first decisions you'll face is choosing a campaign objective. This choice is critical as it directs Google on what you aim to achieve with your advertising efforts. A well-chosen campaign objective aligns your campaign's operational mechanics with your business goals, leading to more efficient ad spend and better outcomes.

Neglecting to choose a campaign objective, or selecting one that does not align with your ultimate goals, can lead to suboptimal ad performance and wasteful spending. The objective guides Google's algorithms to utilize available data - such as user intent, market conditions, and your past campaign performances - to optimize your ads most effectively.

In the next sections, we will delve deeper into the different types of campaign objectives available in Google Ads, discuss why the right choice is crucial for successful advertising, and explore strategies to optimize your campaign settings for maximum impact. This foundation will not only enhance your understanding but also empower you to make informed decisions that drive better results from your ad spend.

Common Campaign Objectives

In Google Ads, each campaign objective is designed to support different types of business goals. Understanding the nuances between them can significantly impact the effectiveness of your campaigns. Here’s a breakdown of the most common campaign objectives and how they function to meet specific advertising needs.

Sales

The Sales objective is ideal for businesses focused on driving purchases directly through their ads. When you select this objective, Google Ads prioritizes users who are more likely to buy, based on their recent search behaviors and other contextual data. The algorithm becomes more aggressive in its bidding and targeting strategies to reach potential buyers at the moment they’re ready to make a purchase.

Leads

Choosing the Leads objective is beneficial for businesses that aim to generate inquiries, such as form submissions, sign-ups, or phone calls. This objective uses data to identify and target users who are likely to engage with your business but may need more time before making a purchase. The targeting is fine-tuned to capture these potential customers early in their decision-making process.

Website Traffic

If the primary goal of your campaign is to increase the number of visitors to your website, the Website Traffic objective is the appropriate choice. This objective does not prioritize converting users into buyers or leads but rather focuses on maximizing the visibility of your ads to drive as much traffic as possible. It’s suitable for new product launches or content-driven campaigns aimed at increasing exposure.

Brand Awareness

For businesses looking to enhance their market presence and visibility, the Brand Awareness objective helps in reaching a broader audience. This objective is not concerned with immediate conversions but rather with expanding your reach. Ads are shown to users who may not currently be in the market for your product or service but could remember your brand in the future.

Why Choosing the Right Objective Matters

Selecting the appropriate campaign objective is not just a procedural step in setting up your Google Ads; it's a strategic decision that significantly influences the success of your marketing efforts. Here’s why making the right choice is crucial:

Tailored Advertising Strategy

Each objective you choose tailors Google Ads' approach to suit your specific business needs. For example, if your goal is to drive sales, Google’s algorithms will focus on targeting users who are ready to purchase, using aggressive bidding strategies to outcompete others vying for the same audience. Conversely, a brand awareness campaign spreads your reach wider, prioritizing visibility over immediate conversions.

Efficient Budget Use

A correctly chosen objective ensures that every dollar you spend contributes towards your desired outcome. It prevents wastage of resources on uninterested audiences and optimizes your ad spend for the highest possible return on investment (ROI). For instance, a campaign aimed at generating leads will focus on engaging users who have shown interest but might need more information before making a purchase, rather than trying to convert someone with no prior interaction.

Enhanced Data Utilization

Google Ads leverages vast amounts of data to predict and influence user behavior. Choosing the right objective allows Google to harness this data effectively, aligning its targeting and bidding strategies with your business goals. For businesses with less data or those new to Google Ads, selecting the right objective can help compensate by using indexed data from similar campaigns to guide decision-making.

Competitive Advantage

A well-defined objective ensures that your ads are more relevant to the target audience, which can improve ad performance and engagement rates. This relevance is particularly important in industries where customers have many options, as it helps your ads stand out by directly addressing the users' current needs and interests.

Data usage in Google Ads

A core understanding you need of Google Ads is that Google uses and stores data on 2 different levels:

  • Account level
  • And Campaign level

At the account level, Google stores your conversion data which is then also indexed against other Google Ads accounts that are targeting the same keywords or products - your competitors.

While at the campaign level, Google uses this conversion data in the context of your individual campaign bidding strategies - its target ROAS or Target CPA - along with the historical performance data of your audiences, devices, time of day/day of week data

And it’s this indexed data - at the account level - that we want to use and activate for a new campaign.

If you have a new campaign starting that has no conversion data - because it has not started yet - you will get quicker results if you allow Google to use the indexed data from your competitors on what are the best users & searches to target to get those all-important conversions. 

Choosing your Campaign objective is a very important step, but for continued success in Google Ads you need to make sure that you are using the correct optimisation strategy for your Google Ads campaigns.

You can get access to my Google Ads e-commerce checklist in the video description above.