Question

Hi Guys, would love to know how you recomend spending budgets for Clients. Obviously all clients are different but I work with SMB’s where they will usually have around £450/£600 a month to spend on Google Advertising. However I sometimes think this is too small for their keywords. How can I provide some information that having a bigger budget would improve the quality of the campaign? Are their any tools that you use? Any and all information and resources is gratefully appreciated!  

Answer 1

So all my clients fit into this spend range. We start off by telling them that their budgets are small so it possibly wont achieve alot of results because it's an auction. Usually then after the first 2 months we tell them about their search impression share and show them auction insights. I find at these types of budgets you actually have to be prepared to say "hey you shouldn't do Google ads" usually we then move them to Facebook as there is usually always a far better ROI for small businesses. Though if they have branded products we run those at the same time on Google ads primarily to feed the Facebook pixel

Comments

Hi Scott, Thank you for this feedback. It's actually really helpful and gives me a bit of confidence in what I'm communicating with clients. Often I see articles and posts that only relate to companies that have a budget of thousands of pounds a month which don't help many SMB's and start ups with PPC advertising.  

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@ad totally it also depends on you clients knowledge of the sales funnel. If they arent getti g conversions directly for adwords how are they retargeting those clients. Especially with ecommerce clients I use alot of the conversions path report in analytics especially if they have a long research process

Answer 2

I typically just show them the math Spend Approx clicks Approx conversion rate = total number of conversions Net earning on product - Retainer cost - Ad spend = ROI Essentially I show them how much they need to spend to make money

Answer 3

You could also ask them what they'd be prepared to pay per lead, and how many leads they'd like per month. Making them do the maths themselves might help them to see what they want, and what they need to spend to get it.  

Answer 4

Everyone has a different sides so I go for a personal approach buddy

Comments

Personal approach is it exactly it. You’re talking about a sales strategy that gets them comfortable with putting out more dollars. The problem is the existing budget is too small to paint a picture so I’d bring in a case study or a model that shows how when they scale dollars it may scale conversions. Good luck!