Google also warns that overly narrow targeting can negatively impact campaign performance. The algorithm uses various signals, including user behaviour and landing page content, to optimise conversions. Narrowing the demographic range may reduce traffic and conversion rates.
Demand Gen campaigns (campaigns focused on generating demand) aim to create interest and demand for products or services. Using precise targeting and advert optimisation, they reach potential customers in the early stages of the purchasing process, thereby increasing brand awareness and preparing them for future purchases.
Other platforms have also recently announced targeting changes – LinkedIn has eliminated lookalike audiences, whilst Meta has gone in the opposite direction. It recommends that companies use lookalike audiences when creating a campaign and move away from precise targeting.
Changes in Gen Campaigns
1. Age and Gender Targeting:
Advertisers can restrict the visibility of their advert to specific age and gender groups. This new option is integrated within the optimised targeting settings of Demand Generation campaigns.
2. Flexible Targeting Options:
Advertisers can opt for unrestricted or restricted targeting depending on campaign goals and audience requirements. This allows marketers to better tailor their strategies to specific business objectives.
Effective Use of Targeting
For e-commerce firms, it’s important to find a balance between precise targeting and campaign performance. The update brings the ability to customise campaigns more precisely to business goals, but also requires careful consideration to ensure that audience restriction doesn’t jeopardise achieving desired results.
The new feature is another step towards allowing advertisers to better customise their campaigns using advanced Google targeting tools, whilst still being able to leverage the benefits of machine learning optimisation.