In which scenario is Target ROAS recommended?

• A. You want to maximize conversions while staying under a CPA cap.
• B. You want to automatically optimize bids to maximize revenue within your target ROAS.
• C. You want to minimize spend regardless of results.
• D. You want to maximize impressions.

Answer: (B)

Target ROAS is a bidding approach that automatically adjusts bids to maximize the value of conversions while hitting a target return on ad spend you specify. It’s the right choice when your goal is revenue or conversion value and you want the system to optimize bids to achieve as much value as possible within the ROAS target. The algorithm uses historical conversion value data to estimate the likely value of each auction and bid accordingly, rather than simply trying to lower cost per conversion or push more impressions. It doesn’t focus on maximizing conversions alone (that would be a different bidding objective) or on minimizing spend or boosting impressions without regard to value. So the scenario where you want bids to automatically optimize for revenue within your target ROAS is the best fit.