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Nope, this isn’t a prank.
🎉 Check your inbox tomorrow for the 48-Hour Birthday Sale!
Over the last few years, Google has made running Google Ads campaigns more accessible than ever.
That’s great—if you’re just getting started, it's never been easier to launch a campaign.
But here’s the catch: many default settings are automatically applied during setup, and they aren’t necessarily what's best for your business—especially if you’re a small or medium-sized business (SME).
Google may call them “best practices,” but most of those recommendations are based on data from high-spending advertisers. We're talking multiple six-figure ad budgets.
For those accounts, the impact of a poorly set default is minimal because of the massive amount of data they generate.
But for SMEs, those same settings can mean the difference between a profitable campaign and throwing money down the drain.
So whether you're running your own Google Ads or working with an agency or freelancer, make sure these settings are dialed in correctly.
1. Auto-Applied Recommendations (AAR)
Google provides campaign recommendations directly in your dashboard, like adjusting your ROAS targets or increasing budgets.
What you might not know is that many of these can be applied automatically—without your approval.
Most critically, Google may auto-adjust your Target ROAS or Target CPA goals, which can completely change how your campaign behaves and performs.
Make sure Auto-Applied Recommendations are turned off unless you’re closely monitoring them. Manual control ensures you’re staying aligned with your strategy and budget.
2. Display Expansion & Broad Match Keywords
When creating a search campaign, there are two sneaky settings to watch for:
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Display Network Expansion: If left on, Google will push your ads to the Display Network using your search campaign budget. This usually leads to lower-quality traffic and poor performance.
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Broad Match Keywords by Default: Broad match can be powerful when used intentionally, but using it as the default can waste spend fast. Instead, mix broad and exact match keywords, and keep broad matches to longer-tail (3+ words) to give Google better context.
If you want to run Display ads, do it in a dedicated Display campaign where you control placements and creative.
3. Brand Name Exclusions for PMAX & Account-Wide Negative Keywords
Still in 2025, many Performance Max (PMAX) campaigns are running without brand exclusions—and it’s costing advertisers.
PMAX is built to maximize conversions, which often leads it to over-target branded search terms (i.e., people already looking for you).
These conversions are easy wins, but they can also skew your performance data and waste budget that could go toward attracting new customers.
At the same time, set up account-wide negative keywords to filter out low-intent search terms. Words like:
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“free”
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“review” / “reviews”
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“discount code”
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“coupon”
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“sample”
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“Amazon”
These typically attract browsers, not buyers. Eliminating them saves money and keeps your campaigns focused.
4. Targeting New Customers in PMAX
If you’re running PMAX campaigns, make sure they are targeting new customers only—unless you have a good reason to include repeat buyers.
By narrowing your targeting, you ensure your budget is focused on growth.
Existing customers may already be returning via email or organic traffic, so there’s no need to pay for their clicks again through PMAX.
5. Optimized Targeting in Demand Gen
Demand Gen campaigns let you target specific audiences with custom messaging—one of the key strengths of this campaign type.
But if you leave Optimized Targeting turned on, Google overrides your targeting and starts using signals instead (just like PMAX does).
That means both campaign types might start targeting the same audiences, reducing your control and increasing redundancy.
Turn this setting off if you want to preserve precise audience targeting in Demand Gen.
6. Conversion Settings: "Every" vs "One" & Campaign-Specific Goals
Finally, let’s talk conversions—because this one’s easy to overlook, but critical for performance.
If your conversion actions aren't set up correctly, Google will optimize toward the wrong goals. For example:
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Are you counting every conversion or just one per user?
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Are you applying conversion goals at the account level or campaign level?
Smart bidding strategies like Max Conversions or Conversion Value rely heavily on this data.
A misstep here could lead to inefficient bidding and poor results.
Final Thoughts
Getting these settings right can save you a lot of budget and massively improve your campaign performance—especially if you're not working with a huge ad spend.
Here’s a quick recap of what to check:
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Turn off Auto-Applied Recommendations
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Disable Display Expansion & avoid default Broad Match
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Add Brand Name Exclusions in PMAX + set up Account-Wide Negative Keywords
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Target New Customers Only in PMAX
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Turn off Optimized Targeting in Demand Gen
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Review your Conversion Settings carefully
If you're running Google Ads yourself or reviewing work from your agency, take 15–20 minutes to check these settings.
It could be the most profitable time you spend this week.
Have a great week,
Aaron
- Monday 31st March, 8pm AEST: Make Sure You Get these Google Ads Settings Right
- Wednesday 2nd April, 8pm AEST: Google Ads Keyword Match Types in 2025 [Interview with Darren Taylor]
Head Over To My YouTube Channel 👇
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[LIVE MASTERCLASS + Q&A]
Improving Your Ads & CTR With Johan Carlbergerđź’»
Thursday, 3rd April, 2025, 1:00 AM (AEST)
Wedesday, 2nd April, 2025 3:00 PM (GMT)
Wednesday, 2nd April, 2025, 7:00 PM (PT)
