Target cost-per-acquisition (CPA) bidding can help drive conversions by using your conversion history and:

Question | Explanation | Answer

Question:

Target cost-per-acquisition (CPA) bidding can help drive conversions by using your conversion history and:

a – cost-per-click (CPC) goals to raise your bid when a conversion is more likely

b – cost-per-acquisition (CPA) goals to show the optimal ad when a conversion is more likely

c – cost-per-click (CPC) goals to show the optimal ad when a conversion is more likely

d – cost-per-acquisition (CPA) goals to raise your bid when a conversion is more likely

Explanation:

And yep, welcome to one of the most confusing questions in Google Ads Fundamentals exam. This is by far the most confusing question in this exam and I was asked hundreds of times to explain it. Usually in Youtube video comments. 

Most people select the option “cost-per-acquisition (CPA) goals to raise your bid when a conversion is more likely”. And, it’s wrong. Well, the fun part is that it “was” correct. 1-2 years ago if you wanted to score 100% in AdWords Fundamentals exam (now it’s called Google Ads fundamentals but has many similar questions) you had to choose this option. It WAS correct for Google. If you look at my older Adwords fundamentals live pass videos on YouTube you’ll see that selecting this option always resulted in 100% correct score.  

But that’s no longer a case. After the recent update from AdWords to Google Ads the correct answer for Google is “cost-per-click (CPC) goals to raise your bid when a conversion is more likely”. So, what’s happened? Has something changed in Google Ads platform? No. Simply, the question is so confusing, that probably Google decided that this option is more correct. Let’s see what Google says:

So, “Target CPA is a Google Ads Smart Bidding strategy that sets bids to help get as many conversions as possible at the target cost-per-acquisition (CPA) you set”. So, it means you set a target CPA, right? Well, here is another quote fro the same Google Support article about Target CPA “Using historical information about your campaign and evaluating the contextual signals present at auction-time, Target CPA bidding automatically finds an optimal CPC bid for your ad each time it’s eligible to appear. Google Ads sets these bids to achieve an average CPA equal to your target across all campaigns using this strategy.” Now they are saying CPC in one place, and average CPA in another…. 

However, in Google Ads you can set the max CPC. In this case, max. CPC is bid that you want Google Ads to set for any keywords, ad groups or campaigns using Target CPA bidding. So IF you define a max. CPC Google Ads will use it defining bids as a limit. But setting max.cpc is optional… In this case, Google Ads will use target CPA you set. And, there is nothing said in the question about max. CPC limit. In other words, there are not enough information to answer this question correctly.

However, after passing this exam multiple times, we confirm that the “right” option for Google at the moment is “cost-per-click (CPC) goals to raise your bid when a conversion is more likely”.

Learn more on the official Google support website.

Answer:

cost-per-click (CPC) goals to raise your bid when a conversion is more likely

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When creating text ads to advertise a client’s small chain of Italian restaurants, what should you include in the ad text to make it compelling to potential customers?

Question | Explanation | Answer

Question:

When creating text ads to advertise a client’s small chain of Italian restaurants, what should you include in the ad text to make it compelling to potential customers?

a – Information about Italian food in the description

b – Include call–to–actions, such as “Find the nearest location”

c – An exclamation point in the display URL

d – Use the same headline and description as other advertisers

Explanation:

People often make mistakes in this question despite the fact this question is an aged one. It is in the exam already more than 2 years at least. So, what makes it confusing?

Well the problem is between choosing “Information about Italian food” and “CTA find the nearest ” as two other options are clearly wrong. Keep in mind that you can (and should) use location extensions. So, why you should point to locations when you can achieve that with ad extensions? And, use a description to promote something related to Italian food. This logic leads to selecting the wrong option “Information about Italian food in the description”. 

So, why you should select “Include call–to–actions, such as “Find the nearest location”? Well, first, “information about Italian food” is a way to broad. If you’re trying to reach people who are searching for Italian food restaurants in a specific location, information about Italian food is simply irrelevant. They are searching for places to eat, not to read blogs about food. Second, location extensions do not appear always. So, if your ad appears in the format without location extensions you’re missing the opportunity to show the most relevant information for your targeted audience – where they can find your restaurants.       

Tip: Use Buyers journey methodology to understand at which stage your targeted Buyer personas are and tailor your ads based on this information.

Learn more on the official Google support website.

Answer:

Include call–to–actions, such as “Find the nearest location”

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Which strategy should Giorgio use to increase the number of relevant clicks from his Search Network campaign?

Question | Explanation | Answer

Question:

Which strategy should Giorgio use to increase the number of relevant clicks from his Search Network campaign?

a – Broaden his keyword list for ads with the lowest clickthrough rate (CTR)

b – Increase bids for ads with the lowest average position and clickthrough rate (CTR)

c – Add new relevant keywords and remove keywords with low clickthrough rate (CTR)

d – Increase bids on relevant keywords with low clicks and clickthrough rate (CTR)

Explanation:

Content is not a King. Relevant content is a King. This is true not only about content marketing but also about PPC campaigns. One of the main things you should focus on is to make your ads as relevant as possible for users. 

You want to improve the relevance of your keywords to help boost their Quality Scores. This could be achieved in various ways. For example, modifying match types, deleting irrelevant or duplicate keywords, or adding new targeted keywords. In fact, keyword optimization in a never-ending process. You should always monitor your campaign data and make appropriate and informed decisions. 

So, which strategy should Giorgio use to increase the number of relevant clicks from his Search Network campaign? The option “Add new relevant keywords and remove keywords with low clickthrough rate (CTR)” is obvious. It the best option. However, an option “Increase bids on relevant keywords” could also help. For example, if your CTR rates are low just because your ad is not showing in the first position. Increasing bids could help. This makes a question a bit confusing.

Tip: Broaden your keywords very carefully as it often leads to overspending.

Learn more on the official Google support website.

Answer:

Add new relevant keywords and remove keywords with low clickthrough rate (CTR)

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Using the paid & organic report for her travel website, Karen noticed a relatively high organic clicks/query rate for the search query “Hawaii vacations.” What does this mean?

Question | Explanation | Answer

Question:

Using the paid & organic report for her travel website, Karen noticed a relatively high organic clicks/query rate for the search query “Hawaii vacations.” What does this mean?

a – Karen’s average organic position is higher than other advertisers’, but her average ad position is lower than other advertisers’

b – People who see Karen’s site in relevant organic search results often click through to her site

c – Karen’s ads often show below her organic results for the search query

d – Karen’s ads don’t often show for the search query

Explanation:

In Google Ads, with the paid & organic report, you can see how often pages from your website are showing in organic search results. This could help you better understand how paid text ads and organic search results help you reach people. In this case, Karen’s organic click/query rate is high. What does this mean? Well, if you receive many clicks from particular queries, that usually means, you rank well for this query. Also, if you rank high on search results, it means your CTR rate is good enough.

In other words, if your organic clicks/query rate is high, it means that people often click through to your website after seeing it in search results.

Tip: To use paid & organic report, you must have your Search Console and Google Ads account linked.

Learn more on the official Google support website.

Answer:

People who see Karen’s site in relevant organic search results often click through to her site

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When choosing a maximum cost–per–click (max. CPC) bid, you should consider the amount that you make from a purchase because you want to set a bid amount that’s:

Question | Explanation | Answer

Question:

When choosing a maximum cost–per–click (max. CPC) bid, you should consider the amount that you make from a purchase because you want to set a bid amount that’s:

a – based on how much your product is worth

b – the same amount as the revenue generated by your product

c – the same amount as the profit generated by your product

d – 50% of how much your product is worth

Explanation:

Choosing the right bid is essential for your campaigns. Often finding the optimal bid for your specific business is a long process which requires multiple tests. In other words, there’s no single recommended bid amount that works perfectly for everyone. The bid you choose will depend on your campaign, goals, cost of keywords, location, industry, and many other factors. However, the first thing you should consider is how much a click and your product worth. If you’re selling new cars a bid of 0.10 USD will look just funny. Also, if your product is priced 1 USD, you just can’t pay 2USD for a click. 

Tip: If you’re just starting out in Google Ads, make a budget and bid amount that you’re comfortable with. One of the most common mistakes I see is overspending. Usually, small businesses owners who tend to manage their accounts themselves stop after few weeks saying that it’s too expensive for them. In most cases that happens because of bad account structure, poor optimization, and not tailored bids.  

Learn more on the official Google support website.

Answer:

based on how much your product is worth

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Which is a benefit of advertising online?

Question | Explanation | Answer

Question:

Which is a benefit of advertising online?

a – Reach people who are likely interested in what you’re advertising

b – Make money by showing ads on your website

c – Increase your position in organic search results

d – Automatically collect information about potential customers

Explanation:

A question “Which is a benefit of advertising online?” worth a separate blog post at least. If not a case study. To answer it in one sentence is something more than ambitious. 

But let’s look at the question from Google Ads fundamentals assessment point. If we read carefully all the given options, it’s clear that only one option is valid. Reach people who are likely interested in what you’re advertising. 

Advertising online means showing ads not on “your” website (why you would pay for that?). However, it’s technically possible. Also, ads have nothing to do with organic search. In general. If visitors come to your page via ads, like your content and interact with it. For example share via social platforms, remember and return to the page later, comment etc., that will definitely have an impact on organic rankings. But we should admit that it’s not a goal of online advertising. Automatically collect info about customers? Not quite sure what it means. But its rather pointing to Google analytics even, not advertising and Google Ads.

Tip: The goal of advertising is not just to reach people. This has no value for your business. The goal is to initiate interaction with these people. No matter, it’s just a click, form submission, purchase, call, comment or anything which is an interaction in a very general meaning. 

Learn more on the official Google support website.

Answer:

Reach people who are likely interested in what you’re advertising

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