Google Ads sunsets Travel Commission bidding strategies

Google Ads sunsets Travel Commission bidding strategies

Google Ads this week announced the sunset of commission-based bidding strategies for hotel campaigns, suggesting alternative solutions for improved campaign performance and future-proofing.

Google this week unveiled upcoming changes to bidding strategies for Hotel Ads. Recognizing the limitations of commission-based solutions relying on third-party cookies amidst industry changes and privacy regulations, Google Ads is phasing out these strategies in favor of more durable and effective options.

The Sunset Timeline

  • October 2024: Both "Commissions (per Stay)" and "Commissions (per Conversions)" bid strategies will be retired.
  • February 2024: "Commissions (per Stay)" will no longer accept new allowlist requests.
  • April 30, 2024: Both commission-based strategies will be removed as available options.
  • October 31, 2024: Active campaigns using these strategies will cease operation.

The Alternatives to Travel Commission Bidding Strategies

  • target Return on Ads Spend (tROAS): This AI-powered strategy helps advertisers achieve specific return-on-ad-spend goals for their hotel campaigns.
  • Performance Max for travel goals: This solution leverages Google AI to optimize campaign performance across diverse inventory, including Google Search, Display Network, YouTube, Gmail, and Discover.

Benefits of the New Options

  • Improved bidding accuracy: tROAS helps optimize campaigns for specific performance goals.
  • Greater reach: Performance Max leverages diverse inventory for broader audience reach.
  • Future-proof solutions: Both options are less reliant on third-party cookies, ensuring continued effectiveness in an evolving privacy landscape.

Google Ads encourages advertisers to explore tROAS and Performance Max for travel goals before the commission-based strategies sunset. This allows for seamless transition and continued campaign performance.

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