Target CPA vs Target ROAS
Target CPA tells Google Ads the average cost you want to pay per conversion, and Target ROAS tells it the conversion value you want back for each dollar of spend. Use Target CPA when every conversion is worth about the same, such as a lead, and Target ROAS when order values vary and you track them.
Side by side
| Target CPA | Target ROAS | |
|---|---|---|
| Optimizes for | Number of conversions | Conversion value |
| You set | Average cost per conversion, e.g. $10 | Value per dollar as a percent, e.g. 500% |
| Needs | Conversion tracking; can start with no history | Conversion values; Search and Shopping need 15 conversions in 30 days |
| Fits | Leads, sign-ups, bookings of similar worth | Stores and anything with varying order values |
| Without a target | Maximize conversions | Maximize conversion value |
Sources for each row: Target CPA[1], Target ROAS[2], Maximize conversions.[3]
How Target CPA works
You set the average you want to pay per conversion. Google's example is a $10 target: it sets bids to get as many conversions as possible within your budget at about $10 each.[1] It is an average, so Google says some conversions will cost more than the target and some less.[1]
If the campaign has history, Google suggests a target from the last 30 days' average CPA. Without history you can still start, but you need conversion tracking.[1] A target set too low makes Google pass on clicks that might convert, so total conversions drop.[1]
How Target ROAS works
You set the conversion value you want per dollar, as a percent. Google's example: $5 in sales for every $1 of ads is a 500% target.[2] Google predicts the value of each possible conversion and bids more where it expects bigger orders.
It needs conversion values set on your conversion actions. For Search and Shopping, Google lists at least 15 conversions in the past 30 days.[2] A target that's too high can limit traffic; to get more volume, Google suggests lowering it gradually.[2]
Turning a margin into a Target ROAS
Enter 333% as the target. Work out your own with the ROAS calculator, or read what makes a good ROAS.
How to choose
- Lead generation (law, home services, B2B, clinics): Target CPA. Each lead is roughly worth the same, and you probably don't know its value at the time of the click.
- Ecommerce with varied prices: Target ROAS, once order values flow into Google Ads and you meet the 15-conversion threshold.
- Leads with known values: Target ROAS can work if you import values, for example from your CRM, so a large deal counts more than a small one.
- Not enough data yet: Google's troubleshooting guide suggests starting new campaigns on Maximize clicks or Manual CPC for 5 to 7 days, then moving to a conversion strategy after about 30 conversions in 30 days.[5]
Setting and changing the target
- Start near what the campaign already achieves. A large gap cuts volume.
- Change in steps. If the strategy is limited, Google suggests raising Target CPA by 10 to 20% or lowering Target ROAS.[5]
- Judge over enough data. Google recommends measuring over periods with at least 30 conversions.[4]
- Compare with the average target Google reports, not only the one you typed, because device and ad group targets move it.[1]
RunAds sets the bid strategy and target for each campaign from your margins or cost-per-lead goal, and shows the plan before launch. Signing up is free. Credit packs start at $25, and Google ad spend uses 5 credits per $1.
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Common questions
Is Target ROAS better than Target CPA for ecommerce?
Usually, when you send real order values. Target ROAS can bid more for a likely $300 order than a likely $30 one, which Target CPA can't. If every product sells at a similar price, or values aren't tracked, Target CPA is simpler.
How much conversion data do I need?
Target CPA can start with no conversion history, though conversion tracking must be on. For Target ROAS on Search and Shopping, Google lists at least 15 conversions in the past 30 days. For judging either, Google recommends periods with at least 30 conversions.
What happens if I set the target too aggressively?
A Target CPA that is too low, or a Target ROAS that is too high, makes Google skip auctions it doesn't expect to meet the target, so volume falls. Google suggests raising a limited Target CPA by 10 to 20%, or lowering Target ROAS gradually.
What changed in June 2026?
Google renamed 'Maximize conversions with a Target CPA' to 'Target CPA' and 'Maximize conversion value with a Target ROAS' to 'Target ROAS'. Google says the bidding behavior is the same and no action is needed.
Sources
- About Target CPA bidding, Google Ads Help. Checked Nov 9, 2026.Bids for as many conversions as possible at your average target cost per conversion. Some conversions cost more and some less. Evaluate over 30 days with at least 30 conversions. Can start with no conversion history.
- About Target ROAS bidding, Google Ads Help. Checked Oct 30, 2026.Google's example: $5 of sales for each $1 of ad spend is a 500% target ROAS.
- About Maximize conversions bidding, Google Ads Help. Checked Nov 9, 2026.Tries to spend the full average daily budget for the most conversions. Needs conversion tracking. From June 2026 'Maximize conversions with a Target CPA' is named 'Target CPA', with the same bidding behavior.
- About Smart Bidding, Google Ads Help. Checked Nov 9, 2026.Strategies that use Google AI to bid for conversions or conversion value in every auction, using signals such as device, location, time of day, remarketing lists, browser and the actual search query.
- How to fix Google Ads campaigns not running or low traffic, Google Ads Help. Checked Nov 9, 2026.Ad review takes 1 to 2 days; check the common reasons if there are no impressions after 3 business days. Budget guideline: at least 10x expected CPC or 2 to 3x target CPA. Raise a limited Target CPA by 10 to 20%.
Every outside number on this page links to its source above, with the date we checked it.
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