How to make the most of your Google Ads budget? Share 4 tips!

You can run an advertising campaign even with a daily advertising budget of just a few dollars. You can limit your budget to a fixed amount of $500 per month, but are you sure that your budget is being fully utilized?

Follow UEESHOP to look at four behaviors that waste Google ad budgets and how to deal with them, so as to avoid repeating the same mistakes in Google ad placement!

1. Ignore negative keyword lists

Those who are familiar with Google advertising should know what a negative keyword list is. The purpose of advertising is to make full use of the budget and to get more potential customers to buy products through advertising.

When you bid on keywords, you pay for relevant search terms based on the match type. So while you may have a campaign directly targeting a certain product, if you’re using broad match you’ll be paying for a large number of keywords that include that product.

For example, when you’re not offering a free consultation, searching for a term like “free consultation” could be costing you $50 per click for some customers looking for a freebie. When they click on your landing page and find out it’s not free, they leave and you spend $50 and get nothing in return.

To fix this, you need to create a negative keyword list.

When adding negative keywords, create your own list on a separate document, separated by match type. For example, you don’t have to block “free consultation” all the time. Instead, you can add “free” as a negative keyword on your Google Ads account. This will block any search terms using the word “free”, meaning that if you don’t offer a “free” service, your ad will never show up to searchers looking for a “free” service.

A good rule of thumb to follow for negative keyword maintenance is:

Clicks: If you generate more than 1,000 clicks per week, you should perform weekly maintenance on your negative keywords to keep your budget under control. As a general rule of thumb, review your negative keyword list once a month and update any keywords you don’t want to spend money on.

2. Bidding too much on popular words

We all hope to bid for the most popular keywords on Google Ads so that our ads can be displayed in front of more people. But here’s the thing: your biggest competitors in your niche are already saturated, and they’ve been advertising on these popular keywords for years. Unless you have brand awareness and a huge budget, it’s not worth it to compete for so many popular keywords.

Let’s take a popular search keyword like “SEO tools” as an example.

That’s $10.54 per click. With a normal conversion rate of 2-5%, it takes many clicks before users contact you or buy your product. Second, the term “SEO tools” is very broad. What kind of SEO tools do users want? There are many SEO tools out there, from backlink analyzers to page checkers and technical scanning tools. What if they want free SEO tools? Therefore, this keyword is too broad and contains almost no information about search intent.

So you should search for keywords that can bring you huge profits. For example, “Best SEO tools for small business.” This keyword is closely related to SEO tools. With specific keywords, the competition will be much less.

3. The budget is spread too thin

When getting started with Google Ads, the options are nearly endless. Depending on your overall business goals and ideas, whether it’s selling products and services directly or getting leads for consultations, etc., you may have many keywords to target. You can target any keyword that users around the world are searching for, but it also makes it more difficult to run Google ads.

From the image above you can see that the maximum budget for the entire account is $500 per month, but their keyword CPCs are as high as $50.

What does a $500 budget get you when the average cost per click is $50? With 10 clicks per month, if your conversion rate averages 5%, it will take two months to make a single sale. So if you have dozens of ad groups with dozens of ads and dozens of campaigns, and a small budget, your ads will barely get you anywhere. Maybe you’ll get a few cheap conversions, but chances are you won’t get anything substantial.

Put all your attention and detail into progress and perfection. Once you are able to successfully profit from that single campaign, then you can increase your budget. Once your budget starts to pay off, repeat the second, third, and fourth auctions. If you have a large enough budget, you can run multiple campaigns at the same time. Don’t stretch your budget too thin, and start focusing on smaller, more targeted keywords.

4. Trials and Testing

I’m sure you’ve all read those “My AB test increased conversions by 500%” articles, and while these tests do work, they’re not for everyone. And the return is not as great as 500%. Sure, changing secondary campaign factors like CTAs and button colors can help, but they are not the root cause.

There are two important factors to testing Google Ads: the creative and your target audience. But if your ad click-through rate does not exceed 1,000 per month and the conversion rate is less than 200, you should not conduct the test because the test sample size is small and has no statistical significance. If you have at least 1,000 impressions per month, at least 200 conversions per month, are willing to spend at least $500-1,000 per month on testing, and have multiple campaigns running for at least 60 days without change, then you can try testing.

Google Ads can bring huge revenue to your business, but it can also cause you to lose money if you don’t use it properly. It’s crucial to reduce unnecessary ad spend while maximizing your budget by avoiding these common, easily overlooked mistakes listed by UEESHOP.

Author:UEESHOP

Source: UEESHOP