Improving performance: Updates to Max CPC for new campaigns
Providing the right signals and levers to campaigns to guide bid strategy optimization is one of the many important responsibilities for advertisers to help deliver the best outcomes. In our platform, we see that when advertisers set a Maximum CPC, which overrides advertisers’ own CPA/ROAS targets, this provides conflicting instructions to the system and causes advertisers to miss their overall desired outcomes, even when the cap is above average CPC. Rather than relying on CPC caps, it’s better to manage performance through the controls most directly tied to outcomes: budgets, target CPA, target ROAS, conversion value rules, and seasonality adjustments (where appropriate).
This is why, starting October 1, the Max CPC setting will no longer be available when creating new non-portfolio campaigns using Maximize Conversions (with Target CPA), Maximize Conversion Value (with Target ROAS), or Maximize Clicks. Existing campaigns created before October 1, 2026, that already use Max CPC will keep the setting, and Max CPC will remain available for new and existing campaigns using portfolio bid strategies. We encourage you to leverage experiments to see the impact of removing Max CPC, and manage performance through budgets, targets, conversion value rules, and seasonality adjustments.
Lastly, Microsoft Advertising’s bidding continues to allow campaigns to over-achieve on target CPA or target ROAS efficiency, regardless of budget limited status. On our platform, targets are not rigid values that must be met at the expense of potentially better available ROI, but rather as directional levers to help the system balance volume and efficiency. Continue to leverage budgets and target changes and conversion value rules to steer your campaign, and Microsoft Advertising will continue to maximize efficiency, even when budget constrained.
