Do You Know? What Is the Minimum Budget For Google Ads?

Google Ads, also known as Google AdWords, is one of the most powerful advertising platforms designed for small and big businesses. Although this is central to the marketing campaigns of many brands, budgeting Google Ads is all about how much a business would spend regularly on the Google Ad campaign for a month. Google Ads allows you to select a campaign budget or a daily budget. So, when using the daily budget setting, it is necessary to first determine what you want to spend monthly on the campaign. The budget of Google Ads depends on the overall marketing budget of your company, along with the average value of each sale.

Even though your regular budget can fluctuate, the total spend will never exceed the overall budget. But creating budgets for Google Ads can often be difficult, mainly because of so many costs and so many moving pieces. 

So, when you are planning to decide the Google Ads pricing for your business,here are a few things that you can consider:

1. Check the budget: Creating a budget with the funds you have is the basic step of Google ads. It is also important to assess the role you want Google Ads to play. For instance, decide whether you want to use it as a lead generation tool. Google Ads is a tool for marketing that allows the sellers to directly reach their customers. As the chances of having the customers find them is very rare organically for a new business.

2. Research keyword CPC: This is another most important step while deciding the budget for Google Ads. Different keywords have different CPCs which can affect your budget. So, compile the list of keywords you are planning to target. It is always better to round up, mainly during the peak seasons of competition. Prioritize the keywords according to the importance and decide the ones you want to invest in.

3. Prioritize the keywords and then allocate: This step refers to dividing up the budget for Google Ads in such a way, which will get more results. The budget will yield great results with the right group of keywords in relevant campaigns. So check the keywords that are more valuable for your business and allocate them to campaign accordingly.

4. Connect the Google Analytics and Ad accounts: Google Analytics can help you understand what to do once the potential customers clicks your ad or visits your site. Once Google Analytics is aligned with Google Adwords , you will be easily able to track what your customers are doing on your website.

Google Ads records how many times the ads are shown in the searches or when the ads have been clicked. But, you won’t know whether the interactions result in website conversions- purchasing, filling forms, calling, or whatever the purpose of the ads for the customer to fulfill.

Try different keywords instead of spending cash on the keywords that don’t lead to conversions. Making this type of change will help you offer a better experience to all the potential customers, and it will then result in more conversions.

5. Check the competition: It is also necessary to check the competition, to find out the keywords your competitors are targeting and how much they are spending. It will help you figure out whether you are missing out on anything. There are many tools available for competitor research. Some leading tools also allow users to check the Google Ads history.

6. Set the goals for setting the budget: Before you set the budget, find out what you want to accomplish through online advertisement. Determine whether you want to attract more traffic to your site or you want to build awareness of the business in a specific location, or among a specific customer demographic. Before you decide the goals, create an hypothesis of several adword scenarios on how it will fair in for your campaign to decide the best way. After that, design particular campaigns or plan some strategies to meet the goals.

7. Test the budget: Once you set the budget, the next step is to test the hypothesis and the campaigns you want to create.

When testing the budget, consider it as the real deal. Schedule the campaigns to end within a specific period. Opt for standard delivery method instead of the accelerated one to find out the budget spent. As the test progresses, check on the keywords and campaigns that would offer you the most clicks and the ones that result in more conversions.

Check all these factors against one another while deciding the ways to move forward and to decide whether your budget requires any change. Allocate more budgets to the high converting advertisements, which can yield you more high-value customers. Look for both true conversions and clicks to ensure that you don’t funnel more cash into ad campaigns, which is the wastage of money without getting leads or sales that you need.

8. Concentrate on ROI and not on cost: In case you plan to be the dominant advertiser in the market, you must not concentrate only on managing costs. Instead, focus the energy to maximize the ROI from advertising. Adjust weekly budget allocation to ensure more ROI.


In conclusion, it can be said that deciding Google ads pricing would take some time, and it is not just a glamorous part of the process of Ads creation but also an important one. Having the budget, which is calculated carefully and then allocated strategically, would take loads of guesswork out of the campaign management.

Once you find out how the campaigns are performing, you can change things up. Deciding the budget will help you prioritize the campaigns and keywords while preventing you from scaling the ad budget too fast. Get things right the first time, and it will be easier to move forward while scaling the campaigns.

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