Adwords Hints & Tips #1 – Increase Your Daily Campaign Budget

Google will spread the delivery of your adverts over the entire day based upon your campaign daily budget. Let’s look at the implications of this by using an example. Bear in mind this will not work out precisely, it is just intended to show the general effect, and many factors will conspire to make it unpredictable:

Say you have a campaign daily budget of £24, an average cost per click (CPC) of £0.50 and a click-thru-rate (CTR) of 1%.

Your typical spend should therefore be around £1 per hour (daily budget divided by hours in the day).

Therefore, you should get around 2 clicks per hour (hourly spend divided by average CPC).

With a CTR of 1%, Google will then deliver your advert 200 times each hour (clicks per hour divided by click-through-rate).

Now, it may be that your keywords are being searched-for more often than that. If that is the case then you are potentially missing out on some clicks. What’s more, your competitors may be getting their ads shown when your are not!

So what are the options available to you if you want your adverts to be displayed more often? Simple, just increase your daily budget! I have found that my costs rarely exceed my daily budget. I might be happy spending £10 per day, but find that if I set my Google Campaign Daily Budget to £10 I never really get £10’s worth of clicks. If you have a ‘real’ daily budget of £10, then why not try increasing the Google Campaign budget to £20 or £30 and pause your campaign once you have reached £10?

Beware! Actually, Google will balance your advert delivery over the entire month according to your daily budget. So, for example, if your daily budget is £10 Google will assume you want to spend £310 in the month (assuming there are 31 days in the month), and will adjust your advert delivery accordingly. This means that you could, in theory, spend more than your daily budget on any particular day, and Google should then adjust your spend for the rest of the month to meet your budget. If Google “accidentally” delivers too many adverts in a month they will never charge you more than your daily budget multiplied by the number of days in the month.

Finally, I have only shown you how to increase your advert exposure in this article. Future articles will show you how to increase the click-thru-rate once your ads are displayed, and how you might get better rankings for adverts without spending more money per click!

The Author of this series of articles is Martin Jarvis, who creates and manages Pay-per-Click campaigns for a number of clients. To find out more, please visit us at DMJ Computer Services Ltd.

One Response to “Adwords Hints & Tips #1 – Increase Your Daily Campaign Budget”

  1. Philippine Outsourcing March 4, 2008 at 11:29 pm #

    Really a useful tip to newbies on PPC.

    I look forward for more advanced hints on PPC.

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