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4 Tips on Allocating Budget to Your PPC Campaigns


As with so many things in life, you have to spend money to make money with pay-per-click marketing. But how do you intend to spend your money?

Because your monthly and annual budgets are such an essential part of your PPC strategy, it’s worth pausing to consider how a PPC budget can be optimized for minimal risk and maximum payoff. In this article, we’re going to share 4 valuable tips on allocating a budget to your PPC campaigns.

Do the Homework on Search Volumes and Cost

Your ad will be more likely to show depending on the amount of searches and the number of people looking for your product or service. When search volumes are high, it typically means that competition is fiercer in that market, which means that expenditures will be higher.

In this case, your initial Google search budget may need to be higher in order to break into the crowded region and begin to make an impression.

Set a Good Pace for your Ad Spending

The goal of budget pacing is to meet a target budget and/or performance goal at the end of the budgeting cycle. When running pay-per-click (PPC) campaigns, various digital marketers are required to stick to strict budget constraints.

What defines good pacing for ad spending is contextual and requires upfront expectations and realistic goals, which need to be defined internally or with clients before starting a PPC campaign. You can read more on this particular complexity in this helpful guide to PPC budget pacing.

Prepare a Basic Test Campaign for Budget Evaluating

It’s critical to understand that these tests are unlikely to be useful. Indeed, if you’ve never worked with PPC before and don’t plan to hire a campaign manager, you’re likely to lose money.

In this way, if you invest in all of your PPC tactics, you may see any money you lose as an investment that you expect to recoup when you create and test optimized PPC advertising.

On the ad platforms, you may set a maximum budget so you don’t have to worry about finances. As a decent beginning point for setting up a test budget, double the amount of keywords by 100 clicks.

So as an example, say you have a maximum budget of $750 for a five-keyword testing campaign, with a maximum CPC of $1.50 (5 x $1.50 x 100 = $750).

Each ad platform provides industry-defined CPC figures. By initiating a campaign on the platform, the platform may provide more precise information on what a CPC can be, such as specifying a keyword. You may use Google’s products to automate your offering process. To put it another way, it enables Google to make bids that are within your financial constraints.

Pay Attention to the Core Metrics

If you want to get consistently good results from a small PPC budget, you must evaluate the data generated by your PPC advertisements on a regular basis.

While there are things you can do now to ensure your campaign’s success, it will eventually help you track campaign data. As a result, conversion monitoring is critical for your marketing.

Your test campaigns provide you with a wealth of information on which to base efficient marketing. As you get more experience with Google Ads, you’ll be able to utilize almost all of this information to optimize your campaigns and get the best results possible.

All of this is centered on some of the most important factors for determining where your budget may be optimized:


With this data, you can observe which keywords have high enough offers to display users, as well as which ones have been clicked. This gives you an idea of what keywords and proposals you should keep using in your ads.

Quality Score

Google assigns a quality score to the following metrics in general:

  • The CTR of your keywords in the past, as well as the overall performance of your account
  • Your landing page’s quality (i.e. where you send people)
  • Keywords’ relevance to your ad content and user searches

When deciding where to place your ad, pay attention to the score because Google considers both the score quality and the keyword score.

Cost Per Conversion

If you find any keywords with a high click-through rate but a low number of conversions, you might want to look into why they have such a low conversion rate.

The goal of too broad keywords and poorly defined keyword intent might just be a side effect. In this case, consider shipping to more buyer-friendly words (e.g., “Nike white shoes” rather than “white shoes”), such as using brand names rather than generic objects.

If your keywords are clear yet your visitors don’t convert right away, consider objectively looking at how easy it is to browse and find the product on your landing page and website.

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