If you are not budget restrained, meaning that you have additional marketing dollars to spend, here is a quick primer on how to know if it makes sense to increase your Google Ads spending budget.
First, look at your campaign level results and sort the data for yesterday. If you did not spend your full budget yesterday, raising your daily budget will have no impact. Make sure to check a few days on top of just yesterday to assure that you are seeing enough results to be sure.
Second, if your program is profitable for you meaning are getting leads which leave room for profit, then the rule of thumb is to increase your ad spend as long as you have a positive ROI or return on investment. Make sure to look at the average cost per conversion when you evaluate what your leads cost versus what you make per lead.
It is important to have an awareness of important facts that are unique for your business such as one out of every ten leads makes a purchase or becomes a regular customer and regular customers typically will stay five years with us and have a lifetime value of X.
I do not recommend raising your ad spend budget without thought to assure that Google Ads is an investment in your growth and not an expense.
That being said for accounts that have taken the approach of increasing the ad spend without a limit while there is still positive ROI, the results can be absolutely, positively, mind boggling and wonderful.
In Google Ads, you can compete effectively against large competitors who are spending a lot of money on Google Ads with a few creative approaches.
First, consider taking the gloves off. We will routinely target competitor names in very competitive spaces. Our ad text will show dynamic keyword insertion and phrases in the ad text like (Competitor’s Name) Too Expensive? Check out (Your Company Name) and then showcase features. Similar to (Competitor Name) is also another great way to get traffic and bleed off prospects who may have never known about you and were searching for your competitor.
Be watchful about the time of day your ads show. If you are competing against a company with a very large advertising budget, consider bidding down slow times of the day or times that do not typically convert for you and show your ads at your regular cost per click in peak times. This strategy keeps your name out there but focuses budget in peak decision making times.
Consider Display advertising and use In Market as a setting. This will show your ads in the Display Network and targets readers or browsing prospects that are actively looking for your competitor or services you offer.
If you are looking to boost your Google Ads exposure and be more competitive in your marketplace, I invite you to visit our website to find out more about McCord Web Services and what we do.
If your business is pulling back where can you realistically chop in your marketing plan and not get hurt?
Social Media – if you are paying to update Facebook, Twitter and Google+ you could easily take a break to save money.
Blogging – try not to kill all your writing as the SEO juice you get from well-written blog posts helps you in the long run, but maybe consider moving from three days a week to two or from two days a week to one. Try to still keep the momentum up but maybe lower the word count or frequency.
Google AdWords – don’t touch it unless you absolutely have to. AdWords is hands down the best way to generate new leads and start cash pumping back into your business.
e-newsletters – they build loyalty and repeat business. Newsletters are especially important to businesses that have annual renewals for service plans like pest control firms and HVAC firms. If you chop this, your name is not kept in front of your customers and come time to renew, they may not see the value of renewing; which will hurt your sales even further.
As a professional Google Ads account manager, I see all kinds of accounts – healthy ones, sick ones, and those that simply need to be started all over. One thing that I have seen consistently is an issue with conversions and what clients decide to track has a big impact on performance. Especially when automated bidding driven by AI is turned on.
In the image above, you can see that this client has no conversion tracking working. This new client is using conversion maximizing automated bidding, but is not tracking any conversions as the codes are all broken.
Here’s what I like to track when it comes to conversions:
Email form completions
Phone calls from the website after 40 seconds
Click to call from ads – sometimes
Free Demos or Trials
Here’s what I do not like to see as tracked:
Visits to a page
Time on a page
Number of website pages in a visit
Set up for a disaster are:
No conversion tracking at all
Broken codes for conversion tracking
Clicks on a button – in most cases
I have also found that changing from 1-conversion to many-conversion can be good, but moving from many-conversion to 1-conversion can be very problematic, for reporting history as well as communicating a strong success story in Google Ads.
From my point of view not tracking the “right” conversions in an account makes it very hard to utilize the Google Ads bidding algorithms to maximize performance and to drop the cost per conversion effectively.
If you do use any automated bidding tools with a conversion boosting focus and your conversion tracking codes are broken or not working, you set yourself up for incredibly high bids as Google has no historical data to base bidding upon.
If you are looking to optimize your Google Ads account join our clients and get quality review by our experienced team. We take a no-nonsense approach to getting you more business.
I have been managing Google AdWords accounts for around thirteen years. This depth of experience has given me a unique point of view.
Here are a few nuggets to share with you on the topic of mobile.
1. Advertising in the mobile space has to be a part of your Google AdWords strategy. For some clients all leads will come in via mobile, for others just a part, and for some none.
2. If you are a lawyer, dentist, or a doctor where you have a mix of patient age groups, you will see strong activity in the mobile ad space and strong conversion activity there.
3. If your product or service deals with immediate decisions such as an animal emergency room your activity will be in the mobile ad space and nearly all of your lead conversions will be by phone.
4. Even if your business is tech software, know that although you may not get leads from mobile, early decision making and research is being done initially on mobile. It is better to control your ad spend on mobile in that case instead of totally moving out of mobile.
5. There is no single combination of what works best for businesses in mobile at this time and there does not seem to be one pattern of behavior that is repeated across diverse industries. What I have definitely seen is that mobile should be a very important part of every AdWords program.
When you start advertising on Google Ads, how do you determine your starting budget?
There is no mystery to deciding your budget for Google Ads. I use the Keyword Planner to determine the best budget for starting out. Here are my tips.
Create a list of 10 two to three word phrases that you feel will help drive qualified traffic.
Go to your Google Ads account or ask your Google Ads consultant to run the numbers for you, but putting each keyword in the Google Keyword Planner to check for traffic, competition, and typical bids.
Plan on these potential bids being about 20% lower than the real auction for clicks when your account is set up.
Take the average of these ten keyword’s click costs and then decide how many clicks you would like to have a day before your ads stop showing.
Look at the number generated in step 4 and determine if you can realistically live with this number. Never get over your head in regards to a budget that is way beyond your means. It is not typical to get leads in Google Ads the day ads serve. For some account it can take as long as three weeks for optimization to start to see the first lead conversion.
Remember a lead conversion or beneficial action you are recording as a conversion is not always a sale. Sometimes it is just the first step in the sales process.
Understand that it takes time for a Google Ads account to become profitable. Google Ads is a dynamic auction with bids changing for each query and many factors determining if your ads show or not.
Work with a professional Google Ads account manager or consultant like McCord Web Services to get the most out of Google Ads.