HOW MUCH SHOULD I BE SPENDING ON GOOGLE ADS?
In last weeks post, we looked at the how much you should be spending on meta ads. This week, Google will be the subject of our attention as another tech colossus in the field of digital advertising. You've come to the perfect place if you're wondering what your Google Ads budget should be. Let's explore a few crucial points.
Define Your Goals
Understanding your advertising objectives is crucial before establishing a budget. Are you hoping to raise sales, attract more visitors to your website, or spread the word about your brand? Budget allocations may differ for every objective. If you're not sure, begin with a specific goal in mind.
Understand Your Industry
Your Google Ads budget is significantly influenced by how competitive your sector is. Finance and the healthcare industries, which are highly competitive, frequently need higher expenditures to compete successfully. To determine what you would need, research the typical cost-per-click (CPC) in your sector.
Calculate Your Customer Lifetime Value (CLTV)
You can decide how much to spend to get a customer by knowing how much that customer will be worth to your company over the course of their lifetime. If your CLTV is $1,000, you might be prepared to invest more in marketing to attract new clients.
Set a Realistic Budget
There is no one solution that works for everyone, however you might want to start with a small budget so you can test and improve your efforts. Since Google Ads is an auction-based platform, start with a daily budget that feels manageable and adjust it as needed based on results.
Monitor and Adjust
Don't just establish a budget for Google Ads and walk away from it. Maintain regular campaign monitoring, and base your budget adjustments on what is and is not working. Spend less on underperforming campaigns and keywords and more on those that perform well.
Use Google's Tools
Google has a number of tools, such as the Keyword Planner, that can be used to estimate the cost required to accomplish your objectives. These tools include information on search volume, keyword competition, and proposed bids.
Test and Optimise
The constant testing and optimisation of Google Ads campaigns is the secret to success. To identify the most successful combo, experiment with alternative ad wording, landing pages, and targeting choices. You can decide on your budget more wisely as you develop your strategies.
In conclusion, there's no fixed answer to the question of how much you should spend on Google Ads. Your budget should be in line with your objectives, sector, and business model. It's a continuous process that needs monitoring, analysis, and change. Start with a budget that you are comfortable with, and as you learn more about how your campaign is performing, make adjustments. You may maximise the efficacy of your Google Ads campaigns while maximising your budget if you abide by these recommendations and keep up with developments in the digital advertising industry.
