These are reasonable questions that any person who has entered the realm of Digital Marketing will have at the back of their mind. Investing in a PPC platform like Google Ads can have a significant impact on your business. But how much do Google Ads cost?
Unfortunately, there’s no easy answer as it depends on how much of a budget you are willing to set aside. Google Ads uses an ad auction model, so there is no set cost of an ad. The brand creates campaigns and the amount they set aside for it will affect their ad rank accordingly along with relevance and other factors.
Know about Google Ads Auction
When any user googles a word or phrase in the search bar Googles checks to see if it contains keywords that are currently being bid on. An ad auction begins when there are many active bidders for that keyword. Therefore, we can state that Google Ads pricing is fluid but depends on what your competitors are bidding for amongst the keywords, locations, and audiences you choose. The price can range from a few dollars to a few hundred dollars depending on the type of industry, location and competition.
About Ad position and Ad Rank
The Ad Rank determines if and where your ad will be placed in the paid results section which can be calculated by your maximum bid and Quality Score. Quality Score is Google’s rating of the quality and relevance of both your keywords and PPC ads. They have an enormous influence over the cost and effectiveness of your paid search campaigns.
By optimizing your Quality Scores, you’ll be setting yourself up for higher return on investment (ROI). This is due to the fact that higher Quality Scores correlate with lower cost per conversion. Cost per conversion is how much you pay when someone takes the action you want them to take like registering themselves. Whereas, cost per click is how much you pay for each click. Since not every click results in a conversion, cost per conversion is generally higher than cost per click. But possessing strong Quality Scores can in fact lower both your cost per click and your cost per conversion. Once your Quality Score and Ad Rank have been calculated, Google uses this data to determine how much you’ll pay each time someone clicks on one of your ads.
How Google Ads Budgeting Works?
Unfortunately more often than not many new Google Ads users find themselves in a situation where the ad budget they set gets exhausted more quickly than they would have anticipated at the start. This experience has led to the common notion that Google Ads is way too expensive and feel like their business will take a major hit if they try to accommodate Google in their Digital Marketing strategy. The truth is that there first needs to be some understanding of how Google Ads Budgeting first for before jumping in head first.
What should Initial Google Ads Budget?
First begin with a plan. Set a core figure that will represent the majority of your budget and have some set aside in the case of any mishaps. This sort of thinking is similar to that of any budget you want to set with anything in general. Budgeting should be planned out on a per-campaign basis.
How to set Google Ads Daily Budgets?
Each of your campaigns should have their own daily budget. Spend wisely in the case where you have multiple ads running simultaneously. Every campaign will have its own tab where you can alter the settings in accordance to what you desire. For example, if you set aside a budget of $300 daily for a month then $10 will be spent daily for your campaign by Google Ads. Make sure you allocate your funds depending on the priority of each campaign.
Wrap Up of Everything
If you want to explore a platform like Google Ads, you can’t do it without money even though setting aside a business budget is never that thrilling. Make sure to do some research on the important keywords and their cost. Start small, act smart, and monitor your campaigns on a regular basis.
For the best PPC services in Australia you can contact our team to assist you as you enter the world of Google Ads. Riise Consulting is a Digital and Google Ads Marketing agency in the heart of Australia that discusses, plans and strategizes the best way for your business to grow online.
Visit our website for more information and book a free consultation today!