Question 1

What if I have a small budget of $500 monthly?

Accepted Answer

Accounts with small budgets (~$500) can be extremely difficult to optimize because there’s often not enough data to recognize patterns.

For example, if a keyword got 1 click last month and 1 click this month, should we increase the bid for that keyword? Well, 1 click is not enough information to make an educated guess.

In this case you may need to manually edit the budget twice per month because you want to spend the majority of it in a short amount of days and then pull back.

Do not turn on monthly budget because then it will spend that money evenly throughout the month, which isn’t ideal.

Question 2

How do I use landing pages?

Accepted Answer

It used to be standard practice to create a designated landing page that would “squeeze” people into a sale because it focuses on one product, there’s no menu, no distractions, no alternate buttons, etc.

This is not recommended because on average people view 2.8 pages before converting.

So, this means a new visitor who lands on the website’s product page, might also view other products or view the homepage or the contact us page before going back to their original landing page to purchase/convert.

Question 3

What does "Proven ROAS" mean?

Accepted Answer

A campaign that has proven ROAS means that it’s ROAS is or was at whatever number you need it to be at in order to make a profit.

For example, a 100% ROAS means you spend $1 on ads and get $1 back.

This is never a large enough number because the business will undoubtedly have other expenses beyond just ad spend, so this campaign has not proven it’s ROAS.

400% ROAS is a general rule of thumb for the minimum number you should be aiming for if the business doesn’t know it’s exact costs & you therefore can’t calculate an exact ROAS metric.

This is because 400% lets you break even if the business has a 25% profit margin. You get to make at least 4x your money back to break even. If you want to cover an agency fee, then they’ll have to get to 450% ish.

Find current ROAS: All conversion value / cost

Find minimum, break-even ROAS: If 60% profit margin, figure out how many times 60% goes into 100% (60/100 = 1.7). Then, add two zeros to turn that into a percent and you get 160% break-even ROAS.

***Pro tip: If you are an e-commerce company, set up a custom column in Google Ads to display ROAS in a % format (fyi, if you don’t set this column up, you can look at “conversion value/cost” column which gives you the same ROAS number but in decimal format).

Question 4

What impact does running PPC ads have on my brand?

Accepted Answer

Brand Recognition is a by-product of running advertising - Companies that run PPC ads consistently receive more organic, more post ad click calls, & more direct traffic as a result. In fact, Google even takes some data from PPC ads and factors it into Organic rankings (like time spent on page, click through rates, etc.) This is anecdotal, but there is always a correlation when you look at the amount of money spent on ads and compare that with organic traffic to the site. Take this into consideration when you are calculating the impact running PPC ads has on your business.

Question 5

What if a campaign is not spending all of the budget?

Accepted Answer

Sometimes businesses would rather gain more impression share than hit a super high goal because the goal might be more profit than they really need and they want volume/scale.

For example, if you are targeting ROAS, then the campaign prioritizes that ROAS over spending all the budget, which means you’ve reached audience capacity and your options are either:

Find a new/wider audience with different keywords
Lower the bid strategy goal

Question 6

How do I decide whether a campaign can spend more even when it doesn’t say “limited by budget”?

Accepted Answer

If you have extra ad spend to work with (or if you pause another campaign and need to allocate its budget), check out the impression share (IS) lost to see if an existing campaign can take on the new spend. If (IS) is lost due to budget OR due to rank, then it most likely can. This is due to the cyclical nature of bids:

Rank determines your ad’s position in the results.
Rank is affected by bid.
Bid is set based on what the business can afford (for example, [Max CPC] = [Break Even CPL] * [Conversion Rate]).
Higher Bid = Higher Ad Position = Better Website Visitors = Higher Conversion Rate (clicks to leads) = A Higher Bid can be afforded. So, you can sometimes raise the bid in the anticipation that the conversion rate will increase by guesstimating what it will increase to and “putting the cart before the horse.”
If NOT Smart Shopping campaign - you might temporarily switch the campaign to a manual CPC (with enhanced CPC enabled) bidding strategy if it was using an automated bidding strategy before, because the algorithm most likely isn’t intelligent enough to push the max bid in this way.
If Smart Shopping - it’s not possible to switch to manual, so here are some other options:
- Give it more budget in order to get it to increase the bid
- Before increasing the budget, make sure the product feed is optimized by including a lot of optional information that helps with rank. Be sure to optimize your feed during the eCommerce setup process.

Question 7

Should I share budget between multiple campaigns?

Accepted Answer

Shared budgets are not ideal but they can be useful - In the beginning of a campaign launch, you might decide to put campaigns into a shared budget in order to help determine how to divide up the budget. You will be able to let the algorithm decide what to show based on how much demand (impressions) there is.

Question 8

Should I use search with my e-commerce business?

Accepted Answer

Shopping campaigns are way more effective than Search campaigns when you’re targeting a wide audience. This is because search campaigns require search terms to run whereas shopping campaigns use Google’s 70 million signals to determine whether to show the product to someone. The former is inbound and the latter is outbound.

However, always build both Search and Shopping campaigns for your eComm companies, because:

Shopping Ads and Text Ads (from Search) have different formats and they do appear in different placements/properties throughout Google network
Being different, there are instances when both shopping and text ads can appear at the same time. This increased exposure is beneficial.
In most cases, shopping ads do perform better but this is no guarantee so you also need to, at least, test search ads.
There are accounts where the reach for the shopping ads is not sufficient to spend the monthly budget. Thus, you need to supplement shopping with search.
Aside the above reasons, presenting a setup with search and shopping ads (and explaining the differences and the performance projections for each ad format) is better than the alternative (not having Search ads and wondering "why not").

Question 9

When should I consider using Remarketing?

Accepted Answer

Hold off on remarketing in the beginning to test the quality of the traffic in the campaigns, and if a campaign isn’t performing well then you don’t want to limit the ad spend by pushing customers back.

Question 10

How can we make use of my existing customer base? / What is "customer match" used for?

Accepted Answer

If you have a large customer list, and if your Google account is eligible for "customer match," then you can implement some cross-selling and retargeting campaigns.

Because the audience size is limited and much smaller than an audience found on Google, we won't need a large budget for this strategy.

After about a month or two of gathering conversion data, we can also create a "similar audience" based on the customer list. Similar audiences are often effective, and we will incorporate it into our proactive targeting campaigns.