Constrained of Flying High? The effect of advertising budgets on growth

We see so many businesses find success with PPC yet they never reach their full potential due to a common mindset when it comes to advertising spend.

The screen capture below shows a current successful Google Ads campaign. It is generating 125 enquiries in a 14 day period but, ads are only showing 37 times out of a possible 100. We can see that they are losing over 62% of impressions because their budget is insufficient to meet demand. If they did nothing else but increase their budget, they have the potential to increase their leads by over two thirds – that’s 207 more leads in the same period. Picture that – it’s huge!

 

Google Ads limited budget example

So why don’t they increase budget and get more leads? Because they set their marketing budget for the month/year. There’s nothing wrong with allocating a budget, we don’t all have the luxury of a bottomless pot of money, but when something is working, why actively restrict it’s growth? 

The eagle can fly, open the door and let it soar

It’s not easy to assess how some channels of advertising perform without effective measurement in place. For example, how many leads did that advert in the local paper or national magazine generate? It probably wasn’t cheap and didn’t necessarily hit your target audience at the moment they were needing your product or service. If you can’t quantify the results, how can you warrant the spend? Having a set budget is usually a good idea if you have no way of measuring performance but want to continue with that channel.

PPC advertising is different. With conversion tracking in place, it’s easy to analyse if a campaign is profitable. Simply look for conversion numbers (for lead generation), lead to client conversion rate, conversion value, cost per conversion and conversion value vs cost (for retail). If the statistics meet your targets and your impression share is limited, it’s time to consider removing the budget cap. With Google’s advanced AI signals and learning abilities, growth has never been more easily predictable or attainable.

For a free assessment on the performance and potential of your Google Ads campaigns, get in touch today.

Want to read more? You might be interested in these...

Strong Call To Action on an ad

How To Create Irresistible Ads To Increase Click Through Rates

Ever wondered why some ads you simply can't resist clicking on?Have you ever found yourself unable to resist clicking on certain ads? We've all been there. An ad pops up and immediately grabs our attention, much like a mouth-watering custard slice in a bakery. But...
Retargeting using Google's Customer Match to maximise marketing strategy and generate lookalike audiences

Maximising Your Advertising Strategy with Google Ads Customer Match

Unleashing the Power of Google Ads AI Essentials: Best Practices for Customer Match   Harnessing advanced tools like Google Ads Customer Match is essential for effective marketing. This feature empowers businesses to utilise their own customer data to create...
25 Ways To Get More Website Traffic on a tablet, mobile and desktop

Free eBook: 25 Ways To Get More Website Traffic

Over 130 Pages Of Valuable, Actionable, Content.Unlock Your Website’s Potential with Our Free Ebook: "25 Ways to Get More Website Traffic". Welcome to your ultimate resource for boosting website traffic! If you've been seeking ways to attract more visitors to your...
Man hitting a target with a bow and arrow

How to Identify Your Target Audience in 5 Strategic Steps

Understnading Your Target Audience : A Key to Successful MarketingKnowing your target audience is vital for effective marketing. For businesses, especially new ones, understanding who your customers are and what they want shapes your marketing strategies and ensures...
A-vibrant-digital-collage-for-a-blog-header-about-online-business-directories.-The-image-features-a-large-glowing-computer-screen-displaying-icons-of.webp

9 Essential SEO Directories for Elevating Your Small Business Online

9 Essential Directories for Elevating Your Small Business OnlineIn today's competitive market, small businesses often find it challenging to stand out against larger online retailers and chain stores. Leveraging local directories is a strategic way to enhance...