Vivian has been put in charge of a few clients who are interested in running Google App campaigns. Some campaigns will use target cost per action (tCPA), while others use target cost per install (tCPI). Which two statements are correct when it comes to setting daily budgets within App campaigns? (Choose two)
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Correct answer: A daily budget should be at least 50 times the tCPI., A daily budget should be at least 10 times the tCPA..
Why this is the answer
For App campaigns, Google Ads recommends specific daily budget multipliers to ensure sufficient data for optimization. When using Target Cost Per Install (tCPI), the daily budget should be at least 50 times the tCPI. This higher multiplier accounts for the typically lower conversion rate of installs compared to in-app actions, providing enough budget to acquire a meaningful number of installs. For Target Cost Per Action (tCPA), the recommended daily budget is at least 10 times the tCPA. This allows the system to gather enough data on in-app actions, which are generally more frequent than installs, to effectively optimize bidding. The incorrect options (5 times tCPA, 25 times tCPI) are too low and would likely hinder campaign performance and optimization.
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