Guide to Performance Max Campaigns

Google has recently launched Performance Max campaigns. Marketers can leverage this type of campaign to drive maximum traction for their business. This article will guide you about what is performance campaign, how they are different and how to create them. So let’s get started.

What is a Performance Max Campaign?

Performance max campaign is a type of a campaign in which Google automates the targeting and delivery of the campaign based on the audience signal defined by the advertiser. 

Through performance max campaign advertisers can reach audiences on below networks including Youtube, Display, Search Discovery, Gmail and Maps

Performance Max Campaign

What are the benefits of Performance Max Campaign?

Google machine learning algorithm is used to drive maximum value to advertisers from this campaign

1) Finds more converting customers

As this campaign allows advertisers to target all types of networks across Google inventory, the algorithm identifies more customers who are relevant to your business

2) Maximum value from your budget

The budget used in single campaign is optimised across different network to drive maximum value from your budget

3) Rich Insights 

From insights advertisers can learn which audiences and creatives are driving the performance

4) Saves Times 

As the campaign uses a single budget to target audiences across all Google network, advertisers can save lot of time managing & optimising multiple campaigns within their ad accounts

How do Performance Max ads look? 

Performance Max ads will look the same they way they appear on Search, Display, Video, Shopping & Discovery

How to create Performance Max campaign? 

Creating performance max campaign is quite easy, let’s understand step by step how to create performance max campaign. I am going to create performance campaign for a product which is a resort in hampi

Step 1: 

Creating Performance Max Campaign

Step 2: 

Next is to choose the objective, so I am selecting objective as sales as I want the campaign to be optimised for booking happening on the site

How to create Performance Max Campaign

Step 3:

Next is to define goal, so I am defining purchases as the goal, because I have selected sales as my campaign objective

Setting up Conversion in Campaign

To learn more about conversion tracking, do visit Conversion Tracking Guide 

Step 4:

Next is to select the campaign type, here we need to select performance max campaign type

Guide to performance max campaign

Step 5:

Now Define your campaign name, I have defined it as Hampi Performance max

Step 6:

Next is to define the budget for your campaign, I am defining Rs. 10,000 per day ($133 per day), I am running campaigns for this product and I know my CAC is Rs. 2,500 ($33), so keeping slightly higher budget for the campaign as it’s going to run across different networks on Google

Performance Max Campaign Budget

Step 7:

Next step is to define bidding strategy, there are two bidding strategies to choose from conversions and conversions value. I am choosing conversions, as I want to drive conversions and optimise the campaign for conversions. Also, don’t set a target cost per action, let the algorithm run the ads on different channels, post a period of 12/14 days you will get a clarity to define the right CPA for the campaign

Performance Max Campaign Bidding Strategy

Step 8:

Next step is to define the location in which you would like to run ads. I have defined as Bengaluru, as I want to target users in this location

Google ads location setting

Step 9:

Next is to define language setting, by default it’s English, you can choose based on the audience you are targeting. I have defined English for my campaign

Google Ads Language Setting

Step 10:

Next step is to define the final URL expansion. There are two options as you see in the below screenshot:

Send traffic to most relevant URLs on your site: Won’t recommend this, as Google will auto select the URL for targeting

Only send traffic to the URL’s you’ve provided: Any URLs from Merchant Center or business data feeds will be used in addition to final URLs in the asset group, so would recommend to go with this

Final URL Expansion in Performance Max

Step 11:

The next step is to define ad schedule, start and end dates and campaign URL options, I am not discussing this as these are common settings in all types of campaigns, but do make sure you define the same before you move ahead

Performance Max Setting

Step 12:

Next step is to define the asset group name, which you can define based on your campaign audience, I have defined as Resort in Hampi searches as I want to target users interested in Hampi resort

Performance Max in Asset Group

Step 13:

The next step is to define assets which is your ad copy for search, display, youtube, gmail and discovery ads. I have defined as below, you can define based on the assets you have to promote your business.

Defining Assets in Performance Max Campaign

Step 14:

Next step is audience signal which is the important step in the campaign creation process. The set defines the targeting of your campaign which you give as a signal to Google, and based on this Google targets users on different networks available within Google inventory.

Audience Signal Performance Max

So click on add an audience signal, if you already have an audience you can search from here and choose it. If you don’t have one, you can create a new one and select it as the audience signal .

Audience Signal in Performance Max

So I am clicking on new audience to create a new audience. Now from here define the audience name, and then use custom segment option if you already have an audience, if you don’t have create a new custom segment by clicking on the +new custom segment option

I am creating a new one, my audience is for people who have searched for below keywords.

Now say save and continue, you audience is defined

Step 15:

The last step is to define ad extensions. Once you have defined the ad extensions, publish the campaign. The campaign will go in review and will be live in sometime.

Great you have setup you performance max campaign!


Performance max campaign is a great way to set campaigns at an automation level and target all inventories and types of ads through Google network. The important thing you need to keep in mind, is to have optimum budget for your campaigns because the budget will be auto switched to different types of ads, run the campaign for at least 14 days and after looking at different metrics you can decided on the next steps for your campaign.

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