Automated Bidding

 

I've always used AdWords' automated bidding for the main reason: Google may not disclose AdWords algo, but an algorithm is just a formula with coefficients to search signals, statistically in the past some signals were present more often than others when a desired outcome (click or conversion) was achieved.

Now, AdWords has a big database of info about my prospects and goes in to present my ad at the right time, when a collection of positive signals indicates that a prospect is likely to click or to convert, depending on my automated bidding settings. While I can manage some of my bidding process, as an AdWords manager I do not have as much visibility into all signals as Google Database does. 

For anyone who is interested in the latest advancements in AdWords automated bidding here is a good read from the official AdWords blog, published in December of 2015.