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.
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.
In our new world where over 65% of all Google.com searches are done on smartphones, what happens to a website that is not mobile-friendly in regards to lead conversions, store sales, and organic placement?
The PPC Picture
Google has lots to say on this topic of mobile friendliness. For sites that are not mobile-friendly and the business owner is advertising in Google Ads, Google flags the account with messages such as this:
“Avoid losing customers on mobile devices by improving your mobile site. Recommended because 98.57% of your mobile clicks go to non-mobile-friendly pages on your site. 68.97% of clicks from all devices come from mobile. 98.57% 138 of 140 clicks go to pages that are not mobile-friendly.“
As Google Ads is incredibly focused on relevance and offering the best user experience, I expect in the future ads that are not showing mobile-friendly pages to start to receive very poor quality scores driving up the click cost and reducing exposure due to a low ad rank.
Google has been pretty forthcoming in regards to page speed as well. A 1-second delay in page response can result in a 7% reduction in conversions. For a store generating $60,000 in sales a month, that is a loss of $4,200 in monthly sales. In a year, that translates into $50,400. A non-mobile friendly site is not optimized for speedy download and may be virtually impossible to use on a smartphone driving away potential customers. Many will never come back to visit. This is a very serious impact for Google Ad activity.
For sites that do not have a mobile-friendly website, conversion numbers are dropping in Google Ads. Mobile activity is a very big part of the conversion path now for sales and leads.
For some websites that are not mobile-friendly using Duda Mobile to do a scripted redirect to a Duda Mobile mini site worked – but no longer. Google Ads is aggressively disapproving ads for our clients that are using this approach and we are now having to remove the code from those websites effectively making them now not mobile-friendly for organic or for pay per click activity.
The Organic Picture
For organic traffic, know that Google now spiders the mobile version of a website and this is the content that now determines your site’s organic ranking on Google.com for all devices, not just mobile.
Additionally, Marketing and Growth Hacking states “Based on the blogs Google is putting out, we can confidently assume companies who don’t optimize for mobile will see their rankings disappear. At the same time, companies who adopt and take advantage of mobile-friendly sites early-on have and will continue to see higher rankings.”
I agree that if you mean to be in business, grow sales, and compete effectively, your website and store must be mobile-friendly.
Personally, I look for a higher number than 15 in a 30 day period before I turn on maximize conversion bidding.
When Google Ads does not have enough 30 day historical data, the click costs will be very high and you will not see a nice increase in conversions; rather only higher cost conversions.
If you have under 15 conversions in a 30 day period or your campaign drops below 15 conversions. Move out of automated bidding programs like maximize conversions or Target CPA bidding and move to enhanced CPC (Cost per Click) bidding until you get back to the 15 number.
If you are doing automated bidding make sure you are looking at the average cost per click and maximum bid compared to the first and top of page bid. If you see numbers that you are spending with Google setting the bid that you think are ridiculously high, then move out of that bidding algorithm into one where you have greater control, pause the problem keyword, or review what you can do to add negative keywords.
Maximize conversion and Target CPA bidding can be great for a high converting account, but those at the margin of 15 leads in 30 days may find these algorithms generate click costs that are simply “too rich”.
If you need help from an experienced Google Ads manager, I encourage you to find out more about our services and programs. We are small business friendly!
We get a chance to check our current Google Ads strategy against your needs.
We get feedback from you on what is trending in your business and in sales so as to rearrange our program if needed.
We get an opportunity to review your budget to keep on track with your marketing plan and revise budgets up or down.
I personally find that when we have regular feedback from the client in regards to how Google Ads is working for them, that performance is better and customer satisfaction with Google pay per click is higher.
As a Google Ads consultant, I offer several tips on how to find and work with a consultant to boost your Google Ads response and conversions.
First, Look for a Google Partner
Google Partners have had to meet very specific qualifications in order to carry the Google Partner badge. A badged agency will have the technical know how, best practices, and be up to date on Google Ads services. Start first by using a Google Partner for your Google Ads consulting needs.
Second, Interview Your Consultant
We offer free account reviews if you are considering using our Google Ads consulting services. After review of your account, an interview with me will showcase my firm’s and my own level of experience. Thoughtful suggestions to help improve your account performance that are shared during your interview will assure that you are working with an experienced expert.
One question you may want to ask is, “Will you be the one updating my account and planning my Google Ads strategy?” When you work with my firm, I personally manage and plan the strategy for all accounts and routinely work each account. Many other services may have you interview with a marketing rep who will never talk to you again after the sale is closed, or ever even manage your account. Make sure you are clear about the level of hands-on that the person you are interviewing will take with your Google Ads account.
Third, Check References or Reviews
If your potential Google Ads consultant does not have names and phone numbers of satisfied account owners to share with you or does not have performance ratings or reviews, you may want to move on. We post our client ratings and can offer access to clients we manage. We want you to speak with our clients before you make a decision to use our services.