Bidding overview for hotel ads

The following bid strategies are available for Hotel campaigns in Google Ads:

• Commissions (per stay): You pay a percentage of the room booking value only for guest stays, removing the cost of cancellations.
• Commissions (per conversion): You bid a fixed percentage of room booking value for every time a traveller books through your ad.
• Target ROAS (return on ad spend): Automatically optimise your bid and maximise conversion value based on real-time data.
• Enhanced CPC: Used with CPC or CPC% bidding, this strategy helps you achieve higher total conversion value while trying to maintain the same ROAS that you'd get with manual CPC. This bid strategy is designed to work with in-house or third-party bidding systems.
• Manual CPC (cost per click): Bid a fixed amount whenever a traveller clicks on your ad.
• CPC%: Bid a percentage of the room price per night when a traveller clicks on your ad.

This article contains the following sections:

• Choosing a bid strategy
• About Smart Bidding signals
• Bid levels
• Bid adjustment controls
• Qualifying for auctions

Choosing a bid strategy

Bid strategies are set at the campaign level during campaign setup. Learn how to change your bid strategy

About Smart Bidding signals

Smart Bidding uses auction-time signals to help you automatically improve your performance at a more granular level than what is possible through manual bidding. Learn more about real-time signals in Smart Bidding

Bid levels

For Commissions bidding, you can set the bid amount, or your commission rate, at the campaign level.

For Manual CPC and CPC% bid strategies, you set the strategy at the campaign level. For CPC% you can set a maximum effective bid limit at the campaign level. Specific bid amounts need to be set at the ad group level. Learn how to change your ad group bid

The following table summarises where bids of each type can be set and whether they can be combined with Enhanced CPC or manual bid adjustments.

Bid adjustment controls

Bid adjustments can be used with all bid strategies. You can adjust your bid by factors such as traveller location, device type, length of stay, check-in day, date type, advanced booking window and audience list.

Learn more about bid adjustments for hotel campaigns

Qualifying for auctions

When a traveller conducts a search that would result in hotel ads being displayed, Google first fetches available prices for hotels and then runs the auction. After the results of the auction, Google displays the ads with the winning bids to the end user.

Several factors can affect whether your bids qualify for inclusion in the auction:

• Itinerary matching: Rates from your Hotel Price Feed must match the end-user's exact itinerary. For example, if the traveller searches for a three-night stay that starts on 14 July, then you must have submitted rates that exactly match three nights, starting on 14 July. No other rates for any other combinations of lengths of stays/check-in dates will be considered for the auction.
  • Note: For a particular itinerary, only one Central Reservation System (CRS) is eligible to show their ads.
• All-inclusive vs itemised rates: Your participation in an auction can depend on whether you provide all-inclusive rates or itemised rates (rates that break out taxes and fees).
  • For the US and Canada, hotels with all-inclusive rates are only included in the auction if no hotels with itemised rates bid.
  • For all other countries, hotels with all-inclusive rates and itemised rates are treated the same.
• Incomplete rates: Regardless of geographic location, hotels with incomplete rates are only included in the auction if no other hotels with all-inclusive or itemised rates are part of the auction. Incomplete rates are when Google detects that tax information is missing or incomplete, or if the taxes are set to 0, but the price isn't tagged as all-inclusive.
• Account status: If your account has been disabled due to Price Accuracy Policy violations, your hotels won't be included in the auctions.
• Campaign budget: If your hotel campaign has exceeded your budget, then your hotels won't be included in the auction and you may see a 'limited by budget' status. Learn how to manage your campaign budget
• Account budget: If you use an account budget (monthly invoicing), and the sum of your campaign spend exceeds your account budget, your ads won't serve.

Related links

• Commission-based bid strategies in Hotel ads to sunset
• Finding success with Smart Bidding
• About bid adjustments for hotel ads
• See how hotel bids and adjustments performed
• About hotel groups
• Set up conversion tracking for Hotel campaigns