ROAS Target Feasibility
One or more campaigns use Target ROAS values that diverge materially from the account's historical ROAS performance. Targets set well above achieved ROAS will cause Smart Bidding to suppress spend; targets set well below will leave revenue on the table by over-spending on marginal traffic.
Why It Matters
Target ROAS tells Smart Bidding "I want X dollars of conversion value per dollar of spend." The algorithm achieves this by being more selective about which auctions to enter. When the target is set above the historical achieved ROAS, Smart Bidding cannot meet it without dramatically reducing spend. The campaign chokes itself trying to find auctions it can win at the required efficiency. When the target is set well below, the algorithm leaves performance on the table by bidding into auctions that produce mediocre returns. The right tROAS is generally set near the historical achieved ROAS, then incrementally tightened (5-10% at a time) over multiple weeks. AdLint flags targets > 50% above or below the trailing-90-day actual.
How To Fix It
- Calculate trailing-90-day actual ROAS by campaign or campaign group.
- Compare to the current Target ROAS setting.
- If target > 1.5× actual: reduce the target to within 10-15% of actual; this allows Smart Bidding to maintain spend volume while improving efficiency.
- If target < 0.5× actual: raise the target gradually (10% per week) to capture available efficiency without forcing a learning-period reset.
- Track week-over-week ROAS and conversion volume after each change.
Example
Campaign: Brand Search
Historical ROAS (90d): 580%
Current Target ROAS: 1200% (2× actual. Campaign will throttle spend)
Recommended target: 650% with weekly 10% tightening.Google Ads campaigns using Target ROAS values materially divergent from historical achieved ROAS. Google's Target ROAS documentation, targets that diverge significantly from historical performance produce either spend suppression (target too high) or inefficient bidding (target too low). Fix: set targets near historical actuals and tighten incrementally. Source: support.google.com/google-ads/answer/6268637.
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References
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