Fill in the blank: You should use a target CPA bidding strategy when you have _____.

(A) an efficient CPA

(B) an inefficient CPA

(C) a big advertising budget

(D) a small advertising budget

Explanation

You should use a target CPA bidding strategy when you have an efficient CPA. If you don’t have an efficient CPA then the ad algorithm will spend higher than your target CPA to achieve a conversion and this will result in a loss for you.

If you have an efficient CPA then the ad algorithm will spend less than or equal to that target CPA to achieve a conversion which means you will make some profit for every conversion.

Conclusion

This question is a part of the HubSpot Digital Advertising Certification Exam. You can find answers to all the questions asked in this exam on our HubSpot Digital Advertising Certification Exam Answers page.