They have higher budgets & they optimise based on the number of conversions they are getting. Once they have enough data, they get the avg. conversion rate which helps in optimising. Most of the time, they lower the bid once they have fully optimised campaign but do make sure they are getting enough traffic with that bid and if they don't then they move back to their old position. It's all about playing with the bid and optimisation.
You should only optimize when you feel you've gathered enough data and you're therefore ready to know what you should do.
This will depend on the segment, but usually you should let that campaign run for at least two complete full days - one full day in case you've got enormous volumes.
However, you should always let full days run.
Why?
To understand the segment's behavior. Afterward, you can then use the rule of cutting what's 2x/3x above the payout.
A bid is how much you're willing to pay for a specific action. Different types of bids include cost per click or cost per 1,000 impressions (CPM). Your budget is the maximum amount that you're willing to spend on your advert over a period of time.
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