Google has implemented a significant change to its Target Return on Ad Spend (tROAS) recommendation system in Google Ads, potentially impacting advertisers' budget management.
Key Changes:
Integrated Budget Adjustment: The tROAS recommendation now includes an automatic increase to the daily budget.
One-Click Application: Applying the tROAS recommendation now simultaneously applies the suggested budget increase.
Previous vs. New System:
- Previously: The system suggested a new daily budget, but advertisers had to set and confirm it manually.
- Now: The new budget is directly integrated into the recommendation and applied automatically when accepted.
Potential Implications:
Increased Spending Risk: This update could lead to unintended budget increases, especially for accounts managed by multiple people or through the Google Ads mobile app.
Agency Concerns: Agencies may face challenges if clients have access to the Google Ads app and apply recommendations without consultation.
Budget Control: Advertisers may need to be more vigilant about reviewing recommendations before applying them.
Advertiser Advice:
- Review all tROAS recommendations carefully before applying.
- Communicate this change to all team members with access to the account.
- Consider restricting recommendation application permissions if necessary.
- Regularly monitor campaign budgets for any unexpected changes.
This update underscores the importance of careful management and oversight of Google Ads accounts, particularly when it comes to budget-related recommendations.