Google Ads, formerly known as Google AdWords, is a powerful tool for business owners, managers, and marketing experts. It allows you to generate hot leads, promote your business and reach the right audience. If you are looking for ideas on how to plan and invest your Google Ads budget, then read on. Here are some handy tips we have collected for you.
1. Determine the Initial Budget
The first
step to planning the Google ads budget is determining how much money you want to
spend every day, week, or month. For that, you need to take care of the
following:
What do you
expect from Google Ads- Here, you will decide what performance you expect from
Google Ads and how many leads do you want it to generate for you.
How Much
Are the Competitors Spending- Do some online digging to find out the amount set
aside by your competitors from the same industry.
How Much
Costs Per Click for the Keywords You are Bidding On- Use the Google Ads Keyword
Planner to determine which keywords are the right ones for you and how much
each of them will cost you.
Which KPIs
are Vital for You – Most businesses consider that cost per acquisition or CPA
is the key performance indicator for them. If you are all about numbers, you
might make this a KPI. You can also pick other KPIs like brand awareness,
customer influence, etc.
2. Allocate the Budget Wisely
After you
have set the budget for Google Ads, the next step is to allocate it wisely.
Every Google Ads search campaign will fall into one of the five primary categories.
They are research, competitor, branded, top performers, and high intent.
According
to logic, most of the budget should be focused on high-performing keywords. Then,
your focus should turn towards keywords associated with your brand, as you can
use them to boost brand awareness levels and enhance your brand image. The next
logical step will be choosing competitor keywords and ensuring that your
content justifies how you are different from the like you offer better pricing,
more variety, etc.
You should
also reserve some money for high-intent keywords. Examples include keywords
that have words like buy, deal, discount, coupon, or free shipping. Targeting
product/service keywords or branded searches like cheapest, affordable, top,
review, and comparison is also wise.
Make sure
you change the keywords and budget allocation every week to ensure that you get
a maximum Return on Investment.
3. Budget for Other Offerings by Google
Once you
are done planning and investing in Google Ads, the next step is to set some
money aside for other offerings by Google like display, remarketing, etc. The clicks
on display ads are cheaper as compared to traditional search.
The display
ads will help you to highlight the products, boost brand awareness and help
with the sales process.
Remarketing
is also important as it will help convince more visitors to convert into
customers who earlier showed interest but later changed their minds.
Final
Words
Planning
and investing your Google ads budget is easy if you do it right.
Need more? Read
about the types of Google Ads here
Also, have
a look at the costly Google Ad mistakes and how to avoid them by clicking here.
Source:
https://www.wordstream.com/blog/ws/2016/09/14/adwords-budget-guide