Categoría: Blog post

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How much I need to
invest in Google Ads?

This question that we hear so many times in our Studio has, I think, one of the most accurate answers among all the existing ones. That answer is…as much as necessary!

Stay a few seconds reading and learn some interesting tricks when it comes to knowing how to invest efficiently in Google Ads.

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What does the investment depend on?

The investment in Google Ads will change depending on several factors such as:

• The type of product/service I am selling
• The country where I want to sell
• The industry I’m part of
• The market I am targeting
• My business goals

As you can see, it is difficult to answer this investment question. Therefore, when we receive a query from a client in our Studio, the first thing we do is an assessment of the product, market and client strategy. After having done this analysis, and having played a bit with the Google Ads keyword planner, we can have a rough idea to start talking about investments and campaigns.

Tools to know how much to invest

One of the tools we have available, free of charge, is Google Ads Keyword planning. It is also the option I personally recommend using.

This tool allows us to simulate a specific campaign, with its keywords, location and bid strategy (among many other things). The simulation offers key Kpis to get an approximate idea of ​​the results, including the one that matters to us in this blog post, the monthly cost of the campaign.

Below we can see a Studio Ideago simulation example for a client done in Goole Ads Keyword Planner.

Another tool (in this case paid) that we can use, but we are already heading to a more professional field, is Semrush, this platform gives us many insights about keywords, values ​​and estimated positioning. It is very common among marketing experts, especially if they work with data and analyze the competition. With these data we can also have an estimate of how much we should invest.

We will always have common sense

Another important aspect when investing in Google Ads is to be aware of the value of my product/service. In other words, if I sell massive products like pens, which can be worth €1, then with little investment I can already sell some product.

In the other hand, if I sell a luxury product, such as watches, which are worth €1000 the cheapest, we cannot expect to invest the same as someone who sells pens for € 1 euro. This is what I mean by always using common sense when it comes to knowing how much we should invest to sell x amounts and have a certain ROI. The investment is directly linked to the price and popularity of your product/service.

So do not expect to have an initial investment of €50 and received €2500 because this game is not that easy. 

Don’t forget the specialist

Always remember when you calculate your investment in Google Ads, to add an extra line there for the professional. That is, who will be in charge of managing and optimizing your campaigns. There are freelance to large marketing agencies that can this for you. Their budgets can range from a few hundred euros to thousands euros per month depending on the challenge and the investment you want to make.

Now you know, there is no quick or easy answer to How much money should I spend on Google Ads? But you have tools and ways to carry out a study to have an approximate. You can always start with a low budget and test.

Remember, the market is changing, so you should always check your Google Ads strategies and campaigns to verify that you are doing things properly.

At Estudio Ideago we have more than 10 years of experience advising companies in the field of Google Ads, you can contact us here, or complete the form below and we will contact you shortly.

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Basic Health Guide
to diagnose
your e-commerce

After receiving the same question dozens of times over the last few years, «What is happening to my e-commerce, why I am not selling?«, at Studio Ideago we decided to design a quick and easy guide to understand the health of your online store.

With this document you will be able to orient yourself to where the problem is and how to solve it.

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What is and how to use the health guide for e-commerce?

This quick guide will help you understand through site traffic and different metrics of your online store, which areas you should strengthen in your strategy to get those sales that you want so much. The only thing you have to do is download the document (you can print it, if it is easier for you, but if you love the planet like us, just download your digital version).

Once you have the digital (or printed) document, all you have to do is start from the beginning and check the different steps mentioned in the guide. Take the time to find the right information and analyse your metrics. We know that sometimes working with data can be a bit heavy, but if you are going to manage an e-commerce, it is important that you understand the basic rules.

Consierations before using it

Having exposed all of the above, we feel obliged to make a very important clarification. In our extensive experience advising online businesses over the years, we have learned a very valuable lesson, each business is a world apart and should be treated as such.

With this, what we mean is, the guide that we have developed below is intended as a basic tool for those who wants to generally understand what happens in their e-commerce. Of course, there are many topics that are analysed within an e-commerce outside the scope of this guide. Therefore, if our guide does not solve your problem in your online store, we ask you to write to us with your particular case so that we can provide you with a more personalised consulting service.

Get your copy here

Just fill out the short form below with your information and you’ll get your copy of our quick health guide for online stores right away!

We hope this tool helps you improve your business performance.

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Quick Guide to understand the new Google Ads Performance MAX campaigns

In the last months, Google Ads formally enabled the use of the new Performance MAX campaigns for all users who use the Google’s advertising platform. They timidly started with a beta version, but they quickly stablished as the new «toy» for Google Ads Specialists, showing great results in specific goal campaigns. Google continues to show that artificial intelligence and machine learning will be clearly the future for all advertisers.

With this brief guide you will be able to learn what these new campaigns are, how they work and when it is advisable to use them.

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What are the new Performance MAX campaigns?

In a nutshell, the new Performance MAX campaigns allow us to use the entire Google Ads inventory through a single campaign. When we mention all inventory we mean:

• Search Campaigns
• Display
• Youtube
• Discover
• Gmail
• Google Maps

Before the appearance of these campaigns, if we wanted to appear in the entire Google Ads inventory, we had to carry out campaigns separately in each channel, but thanks to these new campaigns this problem has been solved.

How does the new Google Ads Performance MAX campaign works?

These types of campaigns are easy to create and optimize since they mainly use machine learning and automation of our account and historical data to make the most of our budget and find customers in the right moment and place.

When creating a campaign with a sales, potential customers or visits goal, we can then choose the Performance Max campaign option. The next step is the usual, upload the headlines, descriptions, photos and videos (Don’t worry if you don’t have videos, the platform creates a collage with your images to show on YouTube for example). Once this basic data is loaded, all the rest is left to Google’s artificial intelligence, who will use that information (together with the historical data) to distribute our ads through the whole inventory and learn where and when it is best to push our ads.

When is recommended to use Performance MAX campaigns?

Creating and optimizing these campaigns is very simple as we have seen before, but the key part is understanding when it is convenient to use them.

Based on the experiences we have had with our clients from different industries and countries, these campaigns are recommended for those companies that want to sell a massive product or service. Of course, if we say that through a single campaign we will have the visibility of the entire Google inventory, this implies that it will reach many people through different formats. So if our product/service is something that fits the needs of most people, we recommend trying this type of campaign.

When is NOT recommended to use Performance MAX campaigns?

If you are just starting out with Google Ads, have a new account, and have not had any conversions, we do not advise you to use these campaigns. As we mentioned before, Google uses artificial intelligence and historical data to understand where and when to sell our product/service more efficiently.

Within this historical data we have the conversions of our account, which is a key part for the good use for these campaigns. If we don’t have around 30 conversions in the last 45 days it will be difficult for Google to use historical data and understand where to sell your products and services.

It is also not recommended to use this type of campaign for products or services that target a specific niche audience. As we have mentioned before, these types of campaigns are good for reaching a large part of the population. If you want to sell something very specific, it is best not to invest your budget in campaigns as massive as Performance MAX.

Let’s see some examples of good practices

Example 1

If you want to sell life insurance or shoes, for example, this type of campaign can be very beneficial since the vast majority of people need these services or products.

Example 2

If you want to sell spare parts for a specific industrial machine, then we do not recommend using these types of campaigns. The niche you are targeting is very narrow, and this type of campaign just plasters the internet with your ads, which will generate many impressions, clicks and waste your budget.

Conclusions

Google will continue using artificial intelligence, machine learning and automations in its platform and campaigns. This is the future for advertisers. On one hand, it is beneficial because it will not require great skills to publish on your platforms and get results, but on the other hand, it will not allow the Google Ads specialist to be granular with modifications or changes within their campaigns.

Beyond this quick guide to understand the new Performance MAX campaigns, we always advise you to initially test the new campaigns with a low budget and measure the results such as the cost per click, or the cost per conversion. Once you have certain results you will be able to know if it is a campaign that fits your objectives or not. Remember, in marketing the key is always to test and measure!

If you do not have much experience and want to try these campaigns or if you have any questions, contact us here or use the form below. We are delighted to hear your challenge and help you get the most out of your business and budget.

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