You want more site visits but gaining them organically is time consuming. What to do? Consider pay-per-click advertising. Pay-per-click (PPC) advertising is a way of buying visits to your site instead of earning them organically. Search engine advertising is one of the most popular forms of PPC. It allows you to place ads on search engines and other websites and pay for each click that your ad receives.
When done correctly, PPC can be a very effective way to drive traffic to your site and generate leads or sales. However, it can also be a costly form of marketing, so it’s essential to have a solid understanding of how to budget for it. In this article, we’ll cover some of the basics of setting a PPC budget and how to keep your costs under control.
How Much Should You Spend on PPC?
The answer to this question depends on a number of factors, including your goals, the competitiveness of your industry, and your marketing budget.
If you’re just starting out with PPC, you may not want to spend a lot of money on it. You can start with a smaller budget and scale up as you see results. On the other hand, if you’re in a highly competitive industry, you may need to spend more on PPC to get the results that you want.
As a general rule, you should start by allocating 10-30% of your marketing budget to PPC. This will give you a good starting point, and you can adjust your budget as needed based on results. However, this number may be higher or lower depending on your individual circumstances.
How to Keep Your PPC Costs Under Control
There are a few things that you can do to keep your PPC costs under control:
Understand Your Current PPC Budget
The first step is to understand your current PPC budget. How much are you currently spending on PPC? This number will give you a good starting point for setting your budget.
Make sure to understand the breakdown of your costs. For example, how much are you spending on each ad campaign? How much are you paying for each click? Knowing this information will help you to make informed decisions about where to allocate your budget.
Identify the Keywords You Want to Use
According to Digital Authority Partners, the next step is to identify the keywords that you want to use for your PPC campaign. These are the words or phrases that people will use to search for your product or service.
You can use a tool like Google’s Keyword Planner to research keyword ideas and get an estimate of how much they’ll cost. Once you’ve selected the keywords that you want to use, you can start to create your ad campaigns which ultimately impact the amount of money you’ll need to budget for your PPC advertising.
Determine the CPC of Each Keyword
In order to determine the CPC of each keyword, you’ll need to research the average cost-per-click (CPC) of that keyword. This is the amount that you can expect to pay for each click on your ad.
The CPC can vary greatly depending on how often people search for a particular keyword and how much competition there is for that keyword.
Explore Profitability with Online Tools
A number of online tools can help you calculate the profitability of your PPC campaigns. This includes taking into account factors like the CPC of your keywords, your conversion rate, and your margins.
One tool is Google’s Campaign Planner. This tool allows you to input information about your product or service and provides estimated data about the profitability of your potential PPC campaigns.
Once you have an understanding of how profitable your PPC campaigns could be, you can start to make decisions about how much to budget for them.
Determine the Reach You Want to Have
The final step is to determine the reach that you want to have with your PPC campaigns. This will help you to understand how many people you need to reach in order to achieve your desired results.
For example, if you’re selling a product that has a low conversion rate, you’ll need to reach more people in order to generate sales. On the other hand, if you’re selling a product with a high conversion rate, you may not need to reach as many people in order to achieve your desired results.
The reach of your PPC campaigns will also impact your budget. If you want to reach a large number of people, you’ll need to allocate more money to your PPC campaigns.
By following these steps, you can develop a clear understanding of how much you should budget for your PPC campaigns. You’ll be able to make informed decisions about your marketing spending and ensure that you’re getting the most out of your PPC campaigns.
How to Work With a PPC Agency With a Budget
Different ways of working with a PPC agency to leverage PPC can help you get the most out of your budget.
The first option is to use an agency that offers a pay-per-click (PPC) management service. This type of service allows you to outsource the management of your PPC campaigns to an expert.
The agency will be responsible for developing and managing your campaigns, as well as optimizing them to ensure that you’re getting the best use of your dollars.
Another option is to use an agency that offers a PPC consulting service. This type of service provides you with the advice and guidance that you need to manage your own PPC campaigns.
The agency will help you to understand PPC and how to use your budget effectively. They’ll also provide you with guidance on how to optimize your campaigns to get the most out of your spending.
The best way to ensure that you’re getting the most out of your budget is to work with a PPC digital marketing agency that offers both services. This way, you can get the benefit of expert advice and guidance, as well as the peace of mind that comes with knowing that your campaigns are being managed by a professional.
Final Thoughts
PPC can be a great way to generate leads and sales for your business. However, it’s important that you understand how to use your budget effectively to get the most out of your campaigns.
By following the steps outlined above, you can develop a clear understanding of how much you should budget for your PPC campaigns.
