Data shows that your client’s ad that appears to people in San Francisco gets 120 conversions at a cost of US$1200 and cost-per-acquisition (CPA) of US$10, while ads showing in Houston get 70 conversions at a cost of US$1400 and CPA of US$20. If you have a CPA goal of US$12, what bid adjustment would you set for each location?
+40% for San Francisco, -40% for Houston
+40% for San Francisco, -20% for Houston
+20% for San Francisco, -20% for Houston
+20% for San Francisco, -40% for Houston
Bid adjustments allow you to show your ads more or less frequently based on where, when, and how people search. For example, sometimes a click is worth more to you if it comes from a smartphone, at a certain time of day, or from a specific location.
Read more here: https://support.google.com/adwords/answer/2732132?hl=en