Source: Search Engine Roundtable by barry@rustybrick.com (Barry Schwartz). Read the original article
TL;DR Summary of Google Ads AI Max Performance Concerns
Recent LinkedIn discussions highlight that Google Ads AI Max campaigns are underperforming, with conversion costs significantly higher than traditional match types. Early tests show AI Max has up to 90% higher cost per conversion compared to phrase match. Industry experts express skepticism about AI Max’s effectiveness, especially for smaller advertisers, noting that it may only benefit very large-scale campaigns.
Optimixed’s Overview: Evaluating the Effectiveness of Google Ads AI Max versus Traditional Match Types
Insights from Recent Industry Testing and User Feedback
Multiple advertisers and marketing professionals on LinkedIn have shared data and opinions regarding the performance of Google Ads AI Max campaigns. Despite Google’s claims of a 14% lift in conversions, practical results suggest otherwise.
- Conversion Costs Comparison: AI Max campaigns show the highest cost per conversion at approximately $100.37, compared to phrase match at $43.97 and exact match at $52.69.
- Industry Expert Opinions: Professionals like Xavier Mantica and Mike Ryan report consistent underperformance of AI Max across hundreds of campaigns.
- Concerns About Applicability: Experts suspect AI Max may only be beneficial for very large enterprises with vast data, while smaller advertisers may not see advantages.
- Skepticism Toward Automation Recommendations: There is growing distrust of automated campaign types like Performance Max (pmax), Broad Match, Demand Gen, and AI Max, as many feel these recommendations may not align with optimal campaign results.
Overall, advertisers are advised to carefully monitor AI Max campaign performance compared to traditional match types and not rely solely on automated solutions without thorough testing and analysis.
