Google is rolling out Smart Bidding Exploration inside Performance Max campaigns, giving advertisers more flexibility to capture conversions by loosening rigid ROAS targets.
Why we care. Smart Bidding Exploration in Performance Max could unlock new conversions by expanding beyond narrow ROAS targets. However, it also risks lowering efficiency if the AI over-prioritizes volume. It’s a shift in control: Google’s automation is doing more of the decision-making, which means marketers need to weigh the tradeoff between growth and return on spend.
What’s new:
- A Smart Bidding Exploration toggle is now appearing in Performance Max accounts.
- The tool allows Google’s system to “relax” ROAS targets when it sees fit, opening the door to higher-volume but lower-intent search queries.
- First announced at Google Marketing Live, Smart Bidding Exploration was initially tested on search campaigns.
By the numbers. Google says early use of the feature drove an 18% increase in unique converting query categories and a 19% lift in total conversions.
What they’re saying. Jonni Lomax, Company Director at Lomax PPC, spotted the toggle this week and noted on X: “Optimistically, this means that when competition is high, data quality is preserved. Pessimistically, it will lower ROAS overall.”
Bottom line. Advertisers now face a familiar tradeoff – more conversions versus tighter efficiency. For marketers testing Performance Max, Smart Bidding Exploration could uncover untapped demand, but the real test will be whether incremental conversions justify softer ROAS discipline.
Search Engine Land is owned by Semrush. We remain committed to providing high-quality coverage of marketing topics. Unless otherwise noted, this page’s content was written by either an employee or a paid contractor of Semrush Inc.