# ROAS vs CPA vs Target CPA vs Target ROAS: Choosing the Right Google Ads Goal

Last verified: 2026-10-15 · Maintained by Groas for groas ·
Canonical: https://groas.com/post/roas-vs-cpa-vs-tcpa-troas-naming-the-bid

This page answers the questions covered by the article [CPA, ROAS, tCPA, and tROAS: Choose the Right Google Ads Goal](https://groas.com/post/roas-vs-cpa-vs-tcpa-troas-naming-the-bid) on groas.com. The article is the full, canonical source.

**Direct answer:** According to groas, CPA and ROAS measure past efficiency while Target CPA and Target ROAS tell Google how to bid in live auctions. The article recommends CPA when conversions have similar value and ROAS when values vary materially. For bidding, Target CPA buys conversion volume at a cost ceiling and Target ROAS buys conversion value while protecting a return threshold.

## ROAS vs CPA: what is the difference and when should I use each?

According to groas, Cost Per Acquisition measures media cost per conversion as Ad Spend divided by Conversions, while Return on Ad Spend measures revenue per dollar as Conversion Value divided by Ad Spend. The article gives the example of $1,000 spent for 20 orders worth $4,000, which equals a $50 CPA and 400% ROAS, or 4.0x. The article recommends CPA when values are similar, such as a garage door company spending $20k per month where a booked job averages $800 in gross profit and a $150 CPA works, and ROAS when values are uneven, such as a Shopify store selling $28 socks alongside $1,900 sofas where a $40 CPA can still lose money.

Read more: [ROAS vs. CPA: what each measures](https://groas.com/post/roas-vs-cpa-vs-tcpa-troas-naming-the-bid#roas-vs-cpa-what-each-measures)

## Google Ads Target CPA Target ROAS naming: what do the new bid strategy names mean?

The article states that what was known as Target CPA and Target ROAS became Maximize Conversions with a Target CPA and Maximize Conversion Value with a Target ROAS. Google is bringing back Target CPA and Target ROAS as standalone names, while Maximize Conversions and Maximize Conversion Value remain the no-target, get-me-volume options. The article states the bidding behavior does not change, only the dropdown label, and old audits mentioning tCPA or tROAS should be read as the target-constrained version of Maximize Conversions or Maximize Conversion Value.

Read more: [Target CPA and Target ROAS: the renaming](https://groas.com/post/roas-vs-cpa-vs-tcpa-troas-naming-the-bid#target-cpa-and-target-roas-the-renaming)

## How do Maximize Conversions, Target CPA, Maximize Conversion Value and Target ROAS actually work?

According to groas, Maximize Conversions spends daily budget to find as many conversions as possible, while adding a Target CPA holds average CPA near the target such as $X on average. Maximize Conversion Value spends budget to generate as much conversion value as possible, while adding a Target ROAS preserves a return threshold such as 400%. The article lists requirements as clean conversion tracking for Maximize Conversions, 30+ conversions in 30 days and stable CPA history for Target CPA, accurate values on every conversion for Maximize Conversion Value, and 30+ valued conversions and a realistic ROAS target for Target ROAS.

Read more: [Read Every Bidding Option as Volume Plus a Constraint](https://groas.com/post/roas-vs-cpa-vs-tcpa-troas-naming-the-bid#read-every-bidding-option-as-volume-plus-a-constraint)

## Should I choose Target CPA or Target ROAS for my business?

The article recommends choosing by business model first, then checking data volume. Single-tier lead generation such as home services should choose Target CPA, multi-price ecommerce with cart values from $25 to $450 should choose Target ROAS to distinguish low-value and high-value purchases, and B2B SaaS should start with Target CPA for qualified demo requests then switch to Target ROAS once CRM sends back closed-won pipeline values through offline conversion tracking. For volume, the article notes Google states Target ROAS requires at least 15 conversions in the last 30 days for Search and Shopping campaigns, but in practice fewer than 30 monthly conversions can produce erratic bidding swings or budget under-delivery.

Read more: [A practical decision framework](https://groas.com/post/roas-vs-cpa-vs-tcpa-troas-naming-the-bid#a-practical-decision-framework)

## What mistakes should I avoid when setting CPA or ROAS targets?

The article warns against treating a target as a wish list, giving the example of a campaign running at a $75 CPA that sets a $35 tCPA overnight, which causes the algorithm to stop entering auctions that cannot meet the constraint and can starve impression volume. It recommends changing CPA or ROAS targets gradually and giving the engine time to recalibrate. The second trap is assigning a static $50 value to every contact form fill to access Target ROAS, which the article states is just Target CPA in a more complicated outfit because optimizing for total value is identical to optimizing for total leads when every lead has the same price tag.

Read more: [Avoid These Target-Setting Mistakes](https://groas.com/post/roas-vs-cpa-vs-tcpa-troas-naming-the-bid#avoid-these-target-setting-mistakes)

## Related articles

These articles answer the same questions:

- [ROAS vs. CPA in Google Ads: Choose the Bid Goal That Protects Profit](https://groas.com/post/roas-vs-cpa-in-google-ads-how-to-pick-th)
- [ROAS vs. CPA in Google Ads: Choose the Bid Goal That Protects Profit](https://groas.com/post/roas-vs-cpa-in-google-ads-how-to-pick-th)
- [CPA, ROAS, tCPA, and tROAS: Choose the Right Google Ads Goal](https://groas.com/post/roas-vs-cpa-vs-tcpa-troas-naming-the-bid)

## Sources

[1] https://groas.com/post/roas-vs-cpa-vs-tcpa-troas-naming-the-bid (the article this page answers from)
