How Much Money Should I Spend on Google AdWords?

Google Ads is one of the most potent advertising, digital marketing, and search engine marketing tools by Google. One of the most common questions that we hear from people about Google Ads is:

How Much Does Google Ads Cost?

It is a valid question that mostly comes from newcomers in the market. It is a fact that those new to PPC are probably mainly interested to know how much they will have to shell out to run ads on Google and whether they can afford it!

How Much to Spend on Google Ads?

What is the right amount one must invest in Google Ads? 

If you are a beginner, a daily budget of AED 30 to AED 150 is appropriate. However, make sure you check your account regularly after applying a new budget to verify the performance of your campaigns.

Further, assuming you are confused about how to start then,

Start with a Test Campaign with a Test Budget

When you have just started, you will want to limit your costs because you are unsure what will work for you.

When you are in testing mode, your test campaign may be profitable initially, but you may lose a bit of extra money. You may not be happy to spend money on test campaigns and see it as a waste, even if you see it bringing returns. But, it is recommended that you see it as an investment in market research.

The initial test campaign will give you an insight into what ad messages are producing with your target market. It will help you discover what keywords are right to convert into qualified leads and customers. Additionally, you can also verify which messages are working best to convert clicks into leads and customers on your landing pages.

Determine a Fixed Amount for the Test Campaign

Start by roughly calculating your test budget by multiplying the keyword numbers you want to test by the cost per click (CPC) and by 100 clicks at least. Usually, you will want at least 100-200 clicks on a keyword to conclude whether it is converting for you or not.

Therefore, as a test sample, if you test 10 keywords, you should plan on a test budget of let’s say  AED 1,500 to AED  3,000. Probably, the results will be mixed. However, you will get both winning and losing keywords, advertisements, and landing pages from this test campaign. So, from here, as the results start showing, you can keep trimming and shaping your campaign by keeping the winners, releasing the losers, and leading your campaign to profitability.

Now that your campaign is successful and making profits, you can stop the budget.

All successful marketers and advertisers do not contain their budgets. They know that for successful campaigning, one cannot restrain investment in the process. If the investment is made sensibly and intelligently, they can easily make profits in their business.

Suppose, you are getting AED 2, AED 3, AED 4, or AED 5 in return by investing AED 1 into Google Ads, why would you limit that?

If you want to grow your business, you must consider multiplying the investment as many times as possible.

Focus on Returns, Not Investments

To make your campaign effective and dominant in your market, you should focus beyond investment. Focus cannot be just on managing costs; you must spend your energy on maximising your return on investment (ROI) from your Google Ads.

So, how can you scale up your campaigns and increase your market share?

Think ahead of cost per click (CPC). Most of the time, marketers add advertisers focus on bringing their CPC down. They concentrate more on creating better ads to enhance their Google Ads quality scores to get cheaper clicks. But that is not all that you need to do.

Undoubtedly, making your advertising more efficient must be a priority, but minimising CPC is not where you can make the most of it.

Ideally, you will win dividends in Google Ads by increasing your Earnings Per Click (EPC). Earnings per click (EPC) is a term that pertains to the average amount of money you earn every time you receive a click on one of your affiliate marketing links.

If you successfully gain the highest EPC in the market, you can outbid your competitors and influence more clicks, leads, and an increased number of customers. And finally, win the Google Ads race!

Do You Need Expert’s Guidance with Google Ads?

If you are just getting started with Google Ads, nothing to worry about, as we are here to help you at every step. For costs and other information, feel free to call us on +971-525638886 or email us at [email protected]