Google Ads shifts Demand Gen billing to CPM for some Discover campaigns

Google Ads will transition certain Demand Gen campaigns on Discover to cost-per-thousand impressions (CPM) billing starting July 15th, moving away from cost-per-click (CPC). This change specifically impacts campaigns optimized for view-through conversions (VTC) on the Discover platform. Advertisers not utilizing VTC optimization will not be affected by this billing shift. The transition will occur automatically, requiring no manual intervention from advertisers. This adjustment aims to better align billing models with campaign objectives, as Google states that CPM billing more accurately reflects the value delivered by impression-driven view-through conversions. The company also anticipates that this change will enhance the optimization capabilities of its systems for VTC goals. Advertisers who wish to retain CPC billing can opt out of the CPM transition by disabling VTC optimization within their campaign settings. This move signifies Google's effort to link payment structures more directly to the intended optimization outcomes of its Demand Gen campaigns.