Google Ads Budget Optimisation

Hello. Are you struggling with your Google AdWords budget and increasing your conversion rates? In this video, I'm going to show you how to increase your conversion rate without increasing your budget. Hello. My name is Uzair, and thanks for joining in. In this short video, I'm going to show you a simple way to increase your conversion rate without increasing your budget.

If you are struggling with your conversion rates not going higher, what you can do is to optimise your campaigns by budget. Let me bring up my spreadsheet and I'll explain this in a bit more detail. Before I do that, if you are struggling with your AdWords campaign, then do get in touch with me via my website which is in the link below, and I'll be happy to have a chat with you.

I offer a free consultation. Whether you're running search, image, video, Gmail campaigns or any kind of campaigns on AdWords, I'd be happy to have a chat with you and see what problems you are experiencing and how I can help you get a better return on your investment in AdWords. Let's go back to our budget optimization, what is that and how we can improve our ROI.

Let's say we're running a campaign, and we've got a budget of 100 pounds, a daily budget, right? We've got two ad groups in it, AdGroup 1 with a handful of keywords, AdGroup 2 with a handful of keywords, and whenever you have got more than one keyword in an ad group, then I would always recommend that you keep those keywords extremely tightly knitted so they're not very loose, and if your campaign is all about direct call to actions and conversions, then I would also avoid broad matched keywords.

We've got two ad groups running at the same time, and for this example, both the ad groups are spending the same amount of budget. However, we can see from our data that AdGroup 1 is converting at double the rate of AdGroup 2. We can work out the stats over here, and we can see that we are getting more conversions, and AdGroup 2 is not converting as well as we would like to.

Instead of carry on running this campaign the way it is right now, what you want to do is to split these ad groups by campaign because obviously if we split these out in Campaign 1 and Campaign 2, then we can allocate its own budget for Campaign 1 and its own budget for Campaign 2, so now we know that this ad group has its own budget, and if the conversion rate stays the same, which is that 10%, then we know that by putting in more budget over here, we are going to increase our conversion rate, our conversions.

Our cost per conversion is going to go down. The way I would do that is then I would allocate most of the budget to my campaign, so let's say I put 80 pounds over here and 20 over there, or I may decide that I want to put all of my budget on there, and I either... well, if a zero budget, that means it's been paused, and I completely stop this ad group running, or instead of doing it this way, what you could do is you can just pause this ad group so that all the budget goes over here.

What you want to be doing is not to stop something completely because if this is working, then I would look at optimizing this ad group by either looking at the keywords which I'm targeting, the ads which are written or I'm running, and also what's happening on the landing page is everything is relevant to the keywords and the ads.

When I do get conversions from an ad group, even though it may be higher than my cost or my target cost per acquisition, I would try to optimize it as much as I possibly can before I'm going to completely stop it. Now the other thing which you will also see is limited by budget. When you do get this message in your campaigns, that means that there is a lot more searches being made on Google, and because of your budget exhausting every day, you are losing on a fair amount of traffic to your website.

If you are keeping a very close eye on your numbers, then this should not be a concern to you because if you can sell more, you can offer more. Let's say you are selling an online course or a downloadable PDF or anything which does not require your physical time, then you can increase it, increase the budget from 100 to 200 because you know that every time a certain number of people come to your website, a percentage convert and you earn X amount of revenue from it.

Then that should not come into play. You should not be scared of increasing it. I know a lot of business owners, especially small business owners, get nervous by increasing the budget, but they are just stopping themselves from earning more because keeping an eye out on these conversions, conversion rate and cost per acquisition, you will be able to work out your profitability and if your campaign is running in profit, i.e., if you spend one pound on Google Ads and Google is giving you three pounds or four pounds back in return, then why would you limit yourself playing that game?

You want to be playing this game 24 hours a day seven days a week. This is where you can really maximize your profits by splitting the campaigns and looking at what is working and what is not working. I hope you found this video useful. Please do like comment and subscribe to our channel to be the first ones to be notified about other similar videos when I upload.

Thanks for joining in, and I look forward to seeing you sometime soon. Bye for now.

Google Ads Budget Optimisation

Video Transcript

Written by Uzair Kharawala

Get our best Google Ads tips by email

You may also like

The Optimisation Score Is A Sales Target, Not A Health Check

Where Half Your Display Budget Quietly Goes

The YouTube Ad Budget That Pays You Back Three Months Later

Your next customers are out there. Let's go and get them.

Don't take our word for it