When To Increase PPC(Pay-Per-Click) Ads Budget?

PPC Ad Budget

PPC ads that appear on websites and online platforms are a core part of online traffic – but that doesn’t mean they’re easy to manage. Bidding on ads and paying per click can feel like an esoteric practice for businesses building online leads. That can make it difficult to plan a PPC budget – or to know when to increase PPC ads budget to see greater results.

The secret is typically found in careful analytics, and we have several tips to help your brand determine if you should be spending more on PPC ads in 2024 and beyond.

Your Keyword Analytics Forecast Excellent Results

If you aren’t using a tool like Google Ads Keyword Planner, we highly suggest it to calculate various PPC ad plans and see what kind of ads have the most potential. The Planner has many different tools to analyze many scenarios, but one of the best ways to jump in is to start analyzing the top keywords you are planning for an ad campaign.

Plug the keywords in, and tools like Google’s planner can show you the estimated cost per click, estimated click-through rate, and how much information, in general, is available for a keyword. This is excellent data for picking the right keywords and understanding how they will work for a PPC campaign. Suppose analysis shows that a particular keyword will get a lot of clicks at a reasonable budget. In that case, that’s an indicator to go ahead and invest more in those particular types of ads. You can also see data like conversion value and potential impressions, or adjust specific budgets to compare the differences and find new efficiencies.

Brands new to the Keyword Planner and similar tools may need to spend time understanding how everything fits together and what types of analysis are right for them, but it’s well worth the knowledge. Agencies like Blue Atlas can also handle these processes for busy companies with other tasks.

You are Studying Impression Share Lost Due to Budget

If you have been running PPC ads for a while, your business has probably built up useful historical data – this is a great time to use it! Using the Google Ads Keyword Planner, businesses can study competitive metrics and modify campaign columns by choosing “Display Lost IS (budget)” and “Search lost IS (budget)” indicators. These aren’t perfectly accurate, but they will show the impression share lost because you didn’t spend enough on the ad campaign.

It’s in Google’s best interest to make these numbers as honest as possible, so if you see that your past campaigns lost display and search ad impressions because you didn’t spend enough, this is an important sign that it’s time to spend more!

You are Moving to Different Kinds of PPC Ads

Is your brand interested in targeting audiences more on social media than via Google Ads? That’s good news for your budget. Google Ads tend to be some of the most expensive PPC ads around. More targeted ads – say, PPC ads on Facebook – are usually much less expensive. That allows you to spend more money on ads without increasing your overall marketing budget. This can vary based on industry, but usually, there are savings to be found by switching your PPC ad focus.

You Have More Historical Data to Use When Bidding

Bidding at the beginning of a new campaign with new keywords can be tricky – and is often done manually to choose specific ad types. But if your brand has been bidding on ads for some time, you may be used to balance the cost of acquisition with top ad ranking and have a clearer idea of what you want. This is a sign it’s time to increase the budget and switch to more automated bidding, as well as customize automated bids based on device, time of day, region, and more. This is a great way to maximize ad performance when your brand is ready to go deeper.

You Need to Compensate for Dropping Conversion Numbers

No brand wants falling conversion rates, but it happens for many reasons. There are plenty of ways to address lower conversion numbers, but one of the simplest is to boost PPC ad spending as part of an overall shift in strategy toward getting more eyes on your site. This is also a good time to start experimenting with alternative keywords and focus more on user intent with your ads and other online content. It’s also smart to look closely at what your competitors are doing online and see if imitating their ad strategies could be useful for your brand’s goals.

Final Notes

Having trouble creating an efficient PPC ad spending plan? You’re not alone: If you would like to help target goals and spend your ad money smartly, Blue Atlas Marketing specializes in helping businesses create the marketing and ad strategies that will work best for their unique positions. Contact us to ask a question or look at specific services.

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