Google Ads Optimization Tips for Small Businesses in 2026

To optimize a Google Ads account, start with the search terms report and add negative keywords for searches you do not want. Then confirm that conversion tracking counts only qualified leads, and only after that change bids, ads or audiences. Several older tips, such as manual bid adjustments under Smart Bidding, no longer match Google’s help pages. Our guide to setting up Google Ads conversion tracking covers the tracking step, and a free Google Ads account audit reviews the whole account.

By Donnie Strompf. Updated October 2026.

This post replaces the version published in May 2026. That version recommended manual bid adjustments on top of Smart Bidding and compared responsive search ads with a format Google retired in 2022. Each Google mechanism below links to its Google Ads Help page, read in October 2026.

Older tips that no longer hold

Older tip	What Google’s help pages say	What to do
Stack bid adjustments on Smart Bidding	Smart Bidding strategies “don’t use your manual bid adjustments”	Pick one bid control, covered below
Compare responsive ads with expanded text ads	Expanded text ads could no longer be created or edited after June 30, 2022	Test responsive search ads against each other
Raise Quality Score to win auctions	Quality Score “isn’t an input in the ad auction”	Use it to find weak ads and landing pages
Chase a 100% optimization score	The score is “an estimate” and irrelevant recommendations can be dismissed	Apply only what fits your goal

Sources: About bid adjustments, About expanded text ads, About Quality Score and About optimization score, all Google Ads Help.

Review the search terms report and add negative keywords

The search terms report (Google Ads Help) lists the searches that triggered your ads. Google says the terms can differ from your keyword list depending on match type, and that terms without enough query activity are omitted for privacy. The report omits some low-volume terms and still shows you the irrelevant searches that triggered your ads.

To add a negative keyword, tick the search terms you do not want in the report and choose Add as negative keyword. You can apply it to the ad group, the campaign or a negative keyword list. Google’s guide to negative keyword ideas says negatives added from this report are exact match by default, so check whether you want a broader word such as “jobs” instead of the single phrase you ticked.

A starting list of negatives for a service business:

• Job seekers: jobs, careers, hiring, salary
• Do-it-yourself and free: how to, DIY, template, free
• Price only: cheap, coupon, promo code
• Research: what is, definition, wiki

Read each word against your own offer first. A business that sells a free consultation should not block “free”.

Check search terms weekly, and more often when a campaign is new or its budget increases.

Decide what counts as a conversion before you touch bids

Google describes Smart Bidding (Google Ads Help) as conversion-based bidding that sets each bid from auction-time signals such as device and location. It optimizes toward whatever you tell it is a conversion. If you count spam forms and every phone call as conversions, Smart Bidding can optimize for those actions instead of qualified leads.

For a lead-generation business, count the actions that become work: calls over a minimum length, form submissions that pass your spam filter, and booked appointments.

On volume, Google’s Target CPA page (Google Ads Help) says advertisers can start with no conversion history. It recommends measuring performance over the last 30 days, including at least 30 conversions. That guidance covers evaluation and is not a gate for switching on. If a campaign records fewer than 30 conversions in 30 days, judge it over a longer window.

Choose one way to control bids

Google’s bid adjustment page (Google Ads Help) says Smart Bidding does not use manual bid adjustments, and that a manual adjustment on a Smart Bidding strategy “won’t be supported”. Two controls still work: Smart Bidding respects ad schedule settings, and a device adjustment of -100% stops ads on that device.

Decide whether Smart Bidding will set your bids or you will set them manually. Under Smart Bidding, the conversion definition and the target steer the bids, and the schedule can stop ads when nobody answers the phone. Under manual bidding, Google lists adjustments for location and device, for audiences, and for the ad schedule. Mixing the two leaves some settings unused.

Use broad match only when the tracking is trustworthy

Google’s keyword matching page (Google Ads Help) calls it “critical to use Smart Bidding with broad match” and says Smart Bidding works best with broad match because the wide set of searches lets it learn what works. Do not expand into broad match until you have checked which conversions Google is using to set bids, and until you review search terms on a schedule.

The same page says exact match can show ads on searches with “the same meaning or same intent” as the keyword. That is why single-keyword ad groups, popular when exact match meant the identical query, no longer guarantee one search per ad group. Group keywords by theme and write each ad around its theme.

Test responsive search ads against each other

Google’s responsive search ads page (Google Ads Help) says you can supply up to 15 headlines and 4 descriptions, that Google tests combinations over time, and that pinning “isn’t recommended for most advertisers and can affect ad strength”. It recommends at least 2 responsive search ads per ad group with a Good or Excellent ad strength.

Because the system chooses the combinations, test whole ads. Write two ads that differ in one idea, such as a price offer against a same-day appointment, and give each a few weeks. Judge them by conversions and cost per conversion, and look past click-through rate.

Expanded text ads are gone: Google’s retirement notice says they could not be created or edited after June 30, 2022.

Observe audiences before you narrow to them

Google’s Targeting and Observation page (Google Ads Help) says the Observation setting does not affect campaign reach and is recommended for all Search campaigns. Targeting restricts reach to the audience.

Add the segments that fit your buyers, such as past site visitors, with Observation selected. After a few weeks, compare how each segment converts, then decide. Under Smart Bidding, manual audience bid adjustments are not used, so the comparison informs your next decision and is not a lever.

Use Quality Score to find weak ads and pages

Google calls Quality Score (Google Ads Help) a diagnostic tool, reported from 1 to 10 at the keyword level, and says it is no input in the ad auction. It has three parts: expected click-through rate, ad relevance and landing page experience. Each is rated above average, average or below average.

Add the Quality Score columns on the Keywords page and sort for the lowest keywords. When landing page experience is the weak part, send the ad to a page about that exact service. If your ad offers same-day furnace repair, link to a furnace repair page that explains that service instead of a general homepage.

Treat the optimization score as a to-do list

Google defines the optimization score (Google Ads Help) as an estimate of how well your account is set to perform, on a 0 to 100% scale. It also says that if a recommendation does not seem relevant to your campaign, you can dismiss it.

Check what each recommendation changes before you apply it. A broken landing page link is worth fixing, and a budget increase should not be made only to raise the score. A bigger budget or more keywords should follow a review of your search terms and cost per conversion. A recommendation for a campaign type that does not suit your business can be dismissed.

What Google Ads management costs with us

Google Ads management is $600 to $1,000 a month, and ad spend is paid to Google. The full price list shows every service in one place, and the Google Ads management page describes the service.

If you also want to rank in the organic results, our guide to how SEO works and how long it takes explains the slower channel.

FAQ

How often should I check Google Ads search terms?

Check it weekly, then check more often when something changes. A new campaign, a budget increase or a switch to broad match can each change which queries you pay for, so review the report soon after any of them and add negatives.

Do bid adjustments work with Smart Bidding?

Mostly not. Google says Smart Bidding does not use manual bid adjustments and does not support them. Two controls remain: ad schedule settings, which Smart Bidding respects, and a -100% device adjustment that turns off a device. For everything else, work on the conversion definition and the target.

How many conversions does Smart Bidding need?

Google says Target CPA can start with no history. For judging results it recommends the last 30 days with at least 30 conversions. A campaign below that is still usable, but one slow week proves little, so read it over a longer window before you change the target.

Is Quality Score a ranking factor in Google Ads?

No. Google describes Quality Score as a diagnostic that is not an input in the ad auction. It remains useful for finding keywords whose expected click-through rate, ad relevance or landing page experience is rated below average, so you know which ad or page to fix first.

Should I follow every optimization score recommendation?

No. Google says you can dismiss recommendations that do not fit your campaign. Apply the ones that fix something broken, such as a landing page error. Hold the ones that widen reach until you have reviewed search terms and cost per conversion for the campaign they touch.

How much does Google Ads management cost?

Our Google Ads management runs $600 to $1,000 a month, plus ad spend that goes to Google. The management fee and the ad spend are separate amounts. Our pricing page lists the management fee next to the price of every other service, so you can compare options before you decide.

Next step

If you want an outside look at how your business appears in Google and in AI answers, Get your free AI-visibility audit. The free AI-visibility audit comes first, then a 15-minute call with Donnie Strompf. You can also Book a 15-minute call directly. Good At Marketing is a Google Partner based in Boynton Beach, and we meet clients by Google Meet or Zoom.