Google says that on average, campaigns that adopt Conversion Optimizer achieve a 21% increase in conversions while decreasing their CPA by 14%. With Conversion Optimizer, you can set a maximum CPA (the most you are willing to pay for each conversion) or a target CPA (the average amount you would like to pay for each conversion). In addition, you can set a different maximum or target CPA for each campaign. So if you have a product line that you are willing to spend additional funds on in order to get a conversion, you can bid a higher CPA for that campaign compared to a different line of products.

Conversion Optimizer uses your conversion tracking history to figure out how often each type of auction leads to a conversion and based on this past performance, Conversion Optimizer creates a prediction model to guess which auctions will perform best for you in the future.  Then, it adjusts your bids on an ongoing basis so that your money is efficiently used in each auction. It will generate an ad rank by your CPA bid, quality score and predicted conversion rate.

Display Campaign Optimizer is a tool that automatically optimizes both targeting and bidding to find additional conversions for your GDN campaigns. It works similarly to Conversion Optimizer, where you simply provide us with your target cost-per-acquisition (CPA), creatives and budget, and the Display Campaign Optimizer automatically determines the appropriate placements to show your ads at the right prices. The Display Campaign Optimizer relies on Google algorithms to predict, test, and optimize targeting based on data.
Must-know:
 Campaigns opted in to the Display Campaign Optimizer should have no keywords, managed placements, topics, or audiences.
– To start using the Display Campaign Optimizer, your campaign needs to have Conversion Optimizer set up and Target CPA bidding enabled.
– If a campaign doesn’t have enough conversion data, you won’t be able to use Display Campaign Optimizer.

Fox Symes a client of ours started a four-week trial with this new set up, and saw promising results during the first week.  By week three, results were so good that they decided to fully implement the trial setup. Between the first and second trial, conversions increased by 227 percent and CPA decreased by 5 percent. Segmenting performance by device also yielded compelling results: desktop conversions increased by 1,500 percent and CPA decreased by 43 percent and tablet conversions—which were lower in the initial test—increased by 1000 percent with a CPA decrease of 88 percent.