Many small to large businesses create a PPC Campaign not knowing what their budget should be. This can have a negative impact on your campaigns and result in failed activity.
It is vital to work out a Suitable Budget For Your Advertising Campaign, primarily so that you know understand monthly spend.
Once you know how much you have to spend per month,you can use the formula below to calculate your daily budget.
Monthly budget/average number of days per month = daily budget
Google AdWords allows you to choose a daily budget for your campaigns and this should be based on your Advertising Goals.
This isn’t fixed, however. You can Change Your Daily Budget at any time, in line with the success or failure of your activity. It is easy to increase or decrease monthly spend accordingly
Your AdWords spend may vary day-to-day, depending on when you get the most traffic.
For example, you may spend twice your daily budget in one day, but you will never pay more than your monthly budget in a set period.
Your PPC budget is the core element of your campaign. If your budget is too low in a competitive niche, your business could be losing out on leads. Alternatively,if your budget is too high, you could end up not spending less than your dedicated budget or generating a lot of Wasted Spend.
Google introduced a metric called Quality Score. This numerical system assigned a number between 1-10 to your (Ad, Keywords and Landing Page).
Having a higher quality score will result in your Ad being returned higher in the Google AdWords Auction. As a result,you will pay less for a click on that specific Ad.
You could have low-quality scores in your campaign for many reasons, some of which include:
To find out more issues that can cause low quality score, please read the following article – https://www.ppchero.com/ultimate-guide-to-adwords-quality-score/
You must always monitor your PPC campaign to reduce wasted spend. This could be because you are not managing your negative keywords correctly or aren’t monitoring your quality score for each Ad.
Here are a few areas you can look at to lower your wasted spend and improve your quality score:
Your landing pages are crucial for your PPC success – make sure they are tailored accordingly. If you’re sending users to organic pages, you will almost certainly have lower quality scores. In any campaign, you should create proper landing pages that will deliver the best results. A PPC Landing Page can help save on spend and lower your quality score.
Setting a PPC Budget gives you full control over your monthly spend on your campaigns. It also ensures you never pay more than your monthly budget. To get a good ROI, you should Improve your quality score in order to optimise the campaign and lower your wasted spend.
It is quite common for companies to have a big budget and not have any campaign structure or well thought out keyword plan. As a result, they waste 100’s of pounds each year on non-relevant clicks and don’t do well with PPC activity.
To avoid this, plan your campaign before you start and know where your money is being spent.