A bidder enters an auction for the query "running shoe" and bids the bare minimum because it can't see that the user is near a retail establishment. What should the marketer do to improve the bidder’s conviction?
Correct Answer
Use store sales and app history signals as instructions.
Why is this the correct answer?
The marketer should use store sales and app history signals as instructions. The bidder is not malfunctioning: it is bidding conservatively because nothing in its data says this user is valuable. Someone standing near a shop who might walk in and buy looks identical to any other searcher if the account only measures website purchases. Feeding in store sales data, store visit conversions and app activity gives the model the missing evidence, so it can recognise the pattern of a nearby, high-intent shopper and bid with conviction. This is the human-in-the-loop principle in its most practical form. When automation behaves timidly, the fix is almost always to supply better instructions and richer conversion data, not to override the bidding or throw budget at the problem.
Why are the other options wrong?
Add more exact match keywords.
More exact match keywords change which queries can trigger ads. They tell the bidder nothing about the value of the person searching.
Increase the daily budget by 20%.
A bigger budget allows more spend overall but does not make the bidder value this particular auction more highly.
Switch to a manual CPC strategy.
Manual CPC applies one bid regardless of context, so it would be even less able to recognise a valuable nearby shopper.
Real-world example
A sportswear chain starts importing store sales and linking its app data. Smart Bidding learns that searches for 'running shoe' within a mile of a branch convert in store at three times the rate of the average click, and begins bidding up on exactly those auctions during opening hours.
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