Google intermediate 45-60 minutes

How to Set Up Google Ads Performance Max Campaigns

Learn how to master Google's most powerful AI-driven campaign type to reach customers across Search, YouTube, Display, and Maps.

Angus 9 February 2026

Performance Max (or PMax, as we call it in the industry) is currently the 'all-in-one' powerhouse of Google Ads. Instead of managing separate campaigns for Search, YouTube, and Gmail, PMax uses Google’s AI to find your customers wherever they are browsing. For Brisbane business owners, this is a game-changer because it automates the heavy lifting of bidding and placement, letting you focus on running your business.

Before You Start: The Prerequisites

Don't dive in just yet! Performance Max is hungry for data. To make this work, you’ll need:

  • Conversion Tracking: This is non-negotiable. If you aren't tracking leads or sales, PMax will spend your money blindly. (Check your Google Tag Manager or GA4 setup first).
  • High-Quality Assets: You'll need at least 5-10 high-res images, your logo, and ideally a short video (even a 15-second smartphone clip works!).
  • A Daily Budget: Usually at least $20–$50 per day to give the algorithm enough 'fuel' to learn.
  • Your ABN/Payment Info: Ensure your billing is up to date in the Google Ads dashboard.

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Step 1: Create a New Campaign

Log into your Google Ads account. Click the blue plus (+) button and select New Campaign.

Google will ask for your campaign objective. For most Australian small businesses, you’ll want to choose 'Sales' or 'Leads'. If you’re a local shop in Fortitude Valley or Milton looking for foot traffic, you might choose 'Local store visits and promotions'.

Pro Tip: If you see a list of conversion goals, make sure only the ones that actually matter (like 'Form Submits' or 'Purchases') are selected. Remove things like 'Page Views' or 'Directions' if they aren't your primary goal, otherwise, Google will optimise for the 'easy' wins rather than the profitable ones.

Step 2: Select the Campaign Type

This is the easy part. Select Performance Max from the list of campaign types.

Give your campaign a clear name. I usually recommend something like PMax - [Product Category] - [Month/Year]. It makes life much easier when you're looking at reports six months from now.

Step 3: Bidding and Budget

Next, you’ll set your budget and bidding strategy.

  • Budget: Enter your daily average. Remember, Google might spend more on some days and less on others, but it will average out over the month.
  • Bidding: If this is a brand-new account, start with 'Maximise Conversions'.
The 'Gotcha': Google will try to get you to set a 'Target Cost Per Acquisition' (CPA) right away. If you’re just starting, leave this unticked for the first 2-3 weeks. Let the system learn what a conversion actually costs in your niche before you start putting handcuffs on the AI.

Step 4: Campaign Settings (Location & Language)

This is where many people accidentally waste money by targeting the whole world.

  • Locations: Select 'Enter another location'. If you only serve Brisbane, type 'Brisbane' and select the city or Greater Region.
  • Location Options: Click this tiny dropdown! Change it from 'Presence or Interest' to 'Presence: People in or regularly in your targeted locations'. This stops your ads from showing to people in Sydney who are just searching for 'Brisbane plumbers' out of curiosity.
  • Languages: Set this to English.

Step 5: Asset Groups – The 'Creative' Engine

This is where the magic happens. An Asset Group is a collection of headlines, images, and videos that Google will mix and match.

  • Final URL: Where do you want people to land? (Make sure it’s a fast-loading page!)
  • Images: Upload up to 20 images. Use a mix of landscape and square. Real photos of your team or your work in the local area always perform better than cheesy stock photos.
  • Logos: Upload your square and landscape logos.
  • Videos: If you don't provide one, Google will create a 'slideshow' video for you. Honestly? They usually look a bit rubbish. Even a simple video shot on an iPhone 15 is better than the automated version.
  • Headlines & Descriptions: Fill out as many as possible. Use your 30 characters wisely. Mention things like 'Free Quotes', 'Family Owned', or 'Serving Brisbane since 1998'.

Step 6: Signal Your Audience

This is the most misunderstood part of PMax. You aren't 'targeting' an audience; you are giving Google a 'Signal' (a head start).

Click 'Add an audience signal'. Create a new one and include:

  • Custom Intent: Add keywords your customers search for (e.g., 'best pest control Brisbane').
  • Your Data: Upload your existing customer email list (if you have over 1,000 contacts) or target 'Website Visitors'.
  • Interests: Select categories relevant to your business.

Don't worry if this feels broad—Google's AI will go beyond these signals once it starts finding people who convert.

Step 7: Ad Extensions (Assets)

Do not skip this! Sitelinks, Callouts, and Call Assets make your ad look much larger on the screen.

Add your phone number (the Call asset) and at least four Sitelinks (links to other pages like 'About Us', 'Our Services', or 'Gallery'). For a local business, adding your Location Asset (linked to your Google Business Profile) is essential so people can see how far away you are.

Step 8: Review and Launch

Google will run a quick check to see if you’ve missed anything. You might see a warning about 'Limited Budget'—Google always wants you to spend more, so take that with a grain of salt.

Review your settings one last time, especially your location targeting, and hit Publish Campaign.

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Common Mistakes to Avoid

  • The 'Set and Forget' Trap: PMax takes about 2-4 weeks to 'learn'. Don't touch it during this time! Every time you change a setting, the learning phase restarts. Be patient, even if you don't see results in the first 48 hours.
  • Leaving 'URL Expansion' On Unchecked: By default, Google will send traffic to any page on your site it thinks is relevant. If you have a blog post from 2015 that doesn't convert, Google might send people there. Use 'Exclusions' to keep traffic on your high-performing sales pages.
  • Bad Assets: If your images look blurry or your headlines are full of typos, no amount of AI magic will save the campaign.

Troubleshooting

"My ads aren't spending any money!" Check your Target CPA. If you set it too low (e.g., $5 when the industry average is $50), Google simply won't show your ads because it knows it can't meet your goal. Try removing the Target CPA limit for a few days. "I'm getting lots of clicks but no leads." Check your 'Insights' tab. PMax might be spending all your money on 'Display' (random apps and websites) rather than 'Search'. If this happens, you might need to improve your Audience Signals or refine your headlines to be more specific. "The leads are all spam." This is a common PMax issue. Ensure you have 'reCAPTCHA' on your website forms. You can also go into the campaign settings and exclude 'Display' placements if the quality stays low.

Next Steps

Once your campaign has been running for a month, it's time to look at the 'Insights' tab to see which search terms are driving sales. You can then use this data to build even better Search campaigns or refine your PMax assets.

Setting up PMax can feel like giving the keys to your car to a robot. It’s a bit nerve-wracking at first, but when it clicks, it’s the most efficient way to grow your business in the Australian market.

Need a hand getting your conversion tracking sorted or want a professional eye on your creative assets? We’re here to help. Contact the team at Local Marketing Group and let’s get your ads performing the way they should.

Google AdsPerformance MaxPMaxDigital Marketing

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