Question: Ben is currently managing a campaign that has a total investment of $7,000, generates 1,400 conversions, and has a CPA (cost-per-acquisition) of $5. Ben needs to sell excess inventory. To meet this goal, he's willing to increase his CPA and campaign investment.Which of the following plans, built in the Performance Planner, will assist Ben in achieving his marketing goal of selling excess inventory?
- An investment of $8,400 to generate 1,400 conversions and a CPA of $6
- An investment of $9,100 to generate 1,300 conversions and a CPA of $7
- An investment of $9,600 to generate 1,600 conversions with a CPA of $6
- An investment of $9,800 to generate 1,400 conversions and a CPA of $7
Explanation
To successfully achieve the goal of selling excess inventory, Ben fundamentally needs to generate a higher volume of conversions than his current baseline of 1,400. Because he is explicitly willing to increase both his overall budget and his Cost-Per-Acquisition (CPA) tolerance, the correct plan must mathematically reflect growth across all three of these metrics simultaneously.
An investment of $9,600 (an increase from $7,000) that generates 1,600 conversions (an increase from 1,400, fulfilling the need to move excess stock) resulting in a $6 CPA (an acceptable increase from $5) perfectly aligns with his stated strategic allowances and overarching business objective.
Why the other options are incorrect
An investment of $8,400 to generate 1,400 conversions and a CPA of $6 is incorrect because while the investment and CPA increased, the actual volume of conversions remained flat at 1,400, meaning he would fail to sell any additional excess inventory.
An investment of $9,100 to generate 1,300 conversions and a CPA of $7 is incorrect because the conversion volume actively decreased, meaning he is selling even less inventory than his original baseline.
An investment of $9,800 to generate 1,400 conversions and a CPA of $7 is incorrect because, similar to the first incorrect option, he is spending significantly more money for the exact same volume of sales, failing to move the excess product.
Source for verification
https://support.google.com/google-ads/answer/9230124
https://support.google.com/google-ads/answer/9229976
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