Google Properties Covered
Assets Per Group (Ideal)
Learning Phase Duration
What Is Performance Max?
Performance Max (PMax) is Google's newest campaign type that uses automation and machine learning to show your ads across all Google properties:
- Google Search
- Display Network
- YouTube
- Gmail
- Discover feed
- Maps
Unlike traditional campaigns where you control which networks your ads appear on, Performance Max automatically optimizes placement across all channels to maximize your selected goal (usually conversions or conversion value).
Best Practice
Performance Max works best when you have accurate conversion tracking and at least 30 conversions in the past 30 days. Without conversion data, the algorithm struggles to optimize effectively.
How Performance Max Works
You provide Performance Max with:
- Asset Groups: Collections of headlines, descriptions, images, videos, and logos
- Audience Signals: Hints about who your ideal customers are
- Conversion Goals: What actions you want users to take
- Budget: Daily spend limit
Google's machine learning then:
- Combines your assets into ads automatically
- Tests different placements across all Google properties
- Identifies which combinations and placements drive conversions
- Optimizes toward your goal
When to Use Performance Max
| Scenario | Recommendation |
|---|---|
| 30+ conversions/month, clear goals | ✅ Good fit for PMax |
| E-commerce with product feed | ✅ Excellent for PMax |
| Lead generation with quality tracking | ✅ Works well |
| <30 conversions/month | ⚠️ Start with Search |
| No conversion tracking | ❌ Not recommended |
Common Mistake
Don't launch Performance Max as your first Google Ads campaign. Start with Search campaigns to build conversion history, understand your cost per conversion, and identify what keywords/audiences work best. Use that data to optimize Performance Max.
Campaign Setup Best Practices
Set Clear Goals
Choose conversion goals carefully. Start with one primary goal (purchases, leads, etc.). Don't include micro-conversions initially.
Create Asset Groups
Build separate asset groups for different products/services. Don't combine unrelated offerings in one group.
Add Quality Assets
Upload 10-15 high-quality assets per group. Include variety: different headlines, descriptions, images, and at least one video.
Configure Audience Signals
Add audience signals (custom segments, your data, demographics). These are hints, not restrictions - Google can still reach others.
Budget Recommendations
Performance Max campaigns need sufficient budget to optimize effectively:
- Minimum: 10x your target CPA (cost per acquisition)
- Recommended: 15-20x your target CPA
- E-commerce: Budget for 10-30 sales per day for optimal learning
Pro Tip
Don't start with a tight CPA target. Begin with Target ROAS or Maximize Conversions bidding for 30 days to establish baseline performance, then add CPA targets based on actual data.
Asset Group Strategy
Your assets directly impact Performance Max performance. Google combines your assets into ads automatically, so quality and variety matter.
Asset Requirements & Recommendations
| Asset Type | Required | Recommended |
|---|---|---|
| Headlines | 3-5 | 10-15 (max variety) |
| Long Headlines | 1 | 3-5 variations |
| Descriptions | 2-5 | 5-10 variations |
| Images | 1 landscape, 1 square | 5-10 high-quality (both sizes) |
| Videos | 0 (optional) | 1-3 videos (10-30 sec) |
| Logos | 1 | 1-2 (square, landscape) |
Asset Quality Guidelines
Headlines:
- Include your primary keywords naturally
- Vary length and style (questions, benefits, features)
- Test emotional vs. functional headlines
- Include numbers/stats when relevant
Images:
- Use high-resolution images (1200x628 minimum)
- Avoid text-heavy images
- Include product-only and lifestyle images
- Test different angles and contexts
Videos:
- Keep videos 10-30 seconds for best performance
- Front-load key message (first 3 seconds matter most)
- Include captions (many watch with sound off)
- Show product in action when possible
Audience Signals Optimization
Audience signals are hints you give Google about who your ideal customers are. They're not restrictions - Performance Max can still reach people outside your signals.
Types of Audience Signals
- Custom Segments: Keywords and URLs related to your product
- Your Data: Website visitors, customer lists, app users
- Demographics: Age, gender, parental status, household income
- Detailed Demographics: Education, homeownership, marital status
Best Practice
Start with custom segments and your data (if you have it). Add demographic signals only after reviewing performance data showing clear patterns. Overly restrictive signals limit Performance Max's ability to find new customers.
Monitoring Performance Max
Performance Max provides less transparency than traditional campaigns. Here's what to monitor:
Key Metrics to Track
- Search Term Insights: Limited data, but review what's available weekly
- Asset Performance: Check asset ratings (Low/Good/Best) and replace poor performers
- Placement Performance: Review insights by channel (Search, Display, YouTube, etc.)
- Conversion Metrics: Track conversion rate, cost per conversion, ROAS
- Audience Insights: Analyze who's converting (demographics, interests)
Pro Tip
Create a weekly reporting template tracking: conversions, cost/conv, ROAS, asset performance, and top-performing placements. Performance Max optimization requires patience - look for trends over 14-30 days, not daily fluctuations.
Optimization Strategies
Performance Max optimization is different from traditional campaigns. You can't control keywords or placements directly, so focus on these levers:
1. Asset Optimization (Most Impactful)
Review asset performance every 2 weeks:
- Replace "Low" rated assets with new variants
- Test new headlines with different messaging angles
- Add videos if you haven't (they often outperform static assets)
- Refresh images quarterly to prevent creative fatigue
2. Audience Signal Refinement
After 30 days, review audience insights:
- Add custom segments for high-performing search terms
- Include demographics that show strong conversion rates
- Add remarketing audiences if conversion rate is 2x+ higher
- Remove restrictive signals that limit reach without improving performance
3. Budget & Bidding Adjustments
If performance is strong:
- Increase budget by 20% weekly until diminishing returns
- Add more asset groups for related products/services
- Create separate campaigns for different goals
If performance is weak:
- Verify conversion tracking is accurate
- Review asset quality (replace low-rated assets)
- Ensure budget is sufficient (10x target CPA minimum)
- Consider moving budget to proven campaign types while optimizing
Common Issues and Solutions
Issue: Campaign stuck in learning phase for weeks
Cause: Insufficient conversions (needs 30+ per 30 days) or budget too low.
Solution: Increase budget to 15x target CPA or add micro-conversions (form views, add-to-carts) as secondary goals to provide more data.
Issue: High spend on Display/YouTube with low conversions
Cause: Performance Max prioritizes volume over quality early in learning.
Solution: Wait 30 days for learning to complete. If still poor after 45 days, reduce budget or pause this campaign. Run separate Search campaigns for bottom-funnel traffic.
Issue: Poor asset performance ratings
Cause: Assets don't resonate with audience or low quality/variety.
Solution: Test different messaging angles. Replace text-heavy images. Add videos. Ensure headlines include benefits, not just features.
Issue: Can't find irrelevant search terms to exclude
Cause: Performance Max shows limited search term data and restricts negative keywords to brand terms only.
Solution: Build comprehensive account-level negative keyword lists that automatically apply to Performance Max. Focus on universal exclusions (jobs, free, DIY, etc.).
Advanced Tactics
1. Multiple Campaign Strategy
Instead of one Performance Max campaign, create separate campaigns for:
- Brand: Campaigns targeting your brand keywords
- Product Categories: One campaign per major product line
- Remarketing: Separate campaign targeting past visitors only
This provides more control and clearer performance attribution.
2. Layering with Search Campaigns
Run Performance Max alongside standard Search campaigns:
- Use exact match Search campaigns for your most valuable keywords
- Let Performance Max handle broad discovery
- Add your top Search keywords as negative exact match in Performance Max to prevent cannibalization
3. Product Feed Optimization (E-commerce)
If using Performance Max with Shopping:
- Optimize product titles for search (include key attributes)
- Use high-quality product images (white background + lifestyle)
- Include all optional attributes (color, size, material, etc.)
- Segment by margin (create separate campaigns for high-margin products)
Frequently Asked Questions
Should I pause my Search campaigns and use only Performance Max?
No. Run both. Use exact match Search campaigns for your most valuable keywords where you want control. Let Performance Max handle broader discovery. This dual approach typically outperforms using either alone.
How long should I wait before judging Performance Max results?
Wait at least 30 days and 30 conversions before judging performance. The learning phase typically takes 15-30 days. Early results are unreliable - look for trends after the learning phase completes.
Can I use Performance Max for local businesses?
Yes, but with limitations. Link your Google Business Profile for location extensions. Performance Max shows ads locally (Maps, local Search) but also reaches users outside your area. For purely local businesses with small service areas, traditional Search campaigns often perform better.
Optimize Performance Max with LYRA
LYRA monitors your Performance Max campaigns daily, analyzing asset performance, audience insights, and placement data. Get AI-powered recommendations for asset updates, budget adjustments, and audience refinements.